Details: Wage inequality growing in Belarus
<p> MINSK, Aug 6 - PrimePress. In 2021, salaries in Belarus in dollar equivalent remain below 2013-2014 levels even without adjusting for the fall in the purchasing power of the dollar. </p> <p> </p> <p> When adjusted for the purchasing power of the dollar in different years and possible sanctions and macroeconomic risks are taken into account, the recovery of consumer activity to 2013-2014 levels will be shifted to a faintly determinable timeframe, PrimePress says in its review “Belarus Consumer Market in H1 2021. Trends and Outlook”. </p> <p> </p> <p> Belarus is characterized by growing wage inequality, which does not stop in the years covered with matching official statistics. The widening gap between median and average wages in the country indicates wage growth mainly at the expense of high-paid categories of workers. </p> <p> </p> <p> While the average wage in Belarus in May 2021 decreased by 2.4% year on year, the median wage decreased by 13.5%. Adjusted for the decline in the purchasing power of the dollar, the real decline of median wages in the country for 2013-2021 is estimated to exceed 20%. </p> <p> </p> <p> The greatest wage stratification is observed in Minsk. A concentration of high-paid workers (the IT sector), as well as a smaller share of the public sector, which is characterised by a flattening of the wage gap, and a larger share of those employed in the private sector form a large earnings gap in the capital city. </p> <p> </p> <p> The modal wage reflects the most common level of earnings in a given territory. In Minsk alone, the modal wage is slightly higher than 1,000 Belarusian roubles, while in all regions it is significantly lower. </p> <p> </p> <p> Data on the distribution of wages in enterprises (excluding micro and small organizations) in Belarus are collected twice a year, in May and November. Belstat publishes anonymised results in July and January, respectively. </p> <p> </p> <p> Minsk has the most favourable wage structure in terms of consumer demand. In Minsk, approximately 30.5% of salaried employees of large and medium-sized enterprises have wages in the range of Br1,000-1,500, 16.4% have wages of Br1,500-2,000, 11.7% have wages of Br2,000-3,000, and 9.6% have wages over Br3,000. </p> <p> </p> <p> The difference between Minsk and the regions is particularly pronounced in the latter salary range. The capital is home to the High-Tech Park, whose resident companies can afford paying high wages to employees thanks to social security benefits. </p> <p> </p> <p> In May 2021 about 4.5% of salaried employees in Minsk were paid salaries higher than Br5,000. On average, the share of wages in this category in Belarus is only 1.4%, including 0.3% to 1% in the regions. End </p> <p> </p>
2021-08-07
Primepress
Details: Wage inequality growing in Belarus
MINSK, Aug 6 - PrimePress. In 2021, salaries in Belarus in dollar equivalent remain below 2013-2014 levels even without adjusting for the fall in the purchasing power of the dollar.
When adjusted for the purchasing power of the dollar in different years and possible sanctions and macroeconomic risks are taken into account, the recovery of consumer activity to 2013-2014 levels will be shifted to a faintly determinable timeframe, PrimePress says in its review “Belarus Consumer Market in H1 2021. Trends and Outlook”.
Belarus is characterized by growing wage inequality, which does not stop in the years covered with matching official statistics. The widening gap between median and average wages in the country indicates wage growth mainly at the expense of high-paid categories of workers.
While the average wage in Belarus in May 2021 decreased by 2.4% year on year, the median wage decreased by 13.5%. Adjusted for the decline in the purchasing power of the dollar, the real decline of median wages in the country for 2013-2021 is estimated to exceed 20%.
The greatest wage stratification is observed in Minsk. A concentration of high-paid workers (the IT sector), as well as a smaller share of the public sector, which is characterised by a flattening of the wage gap, and a larger share of those employed in the private sector form a large earnings gap in the capital city.
The modal wage reflects the most common level of earnings in a given territory. In Minsk alone, the modal wage is slightly higher than 1,000 Belarusian roubles, while in all regions it is significantly lower.
Data on the distribution of wages in enterprises (excluding micro and small organizations) in Belarus are collected twice a year, in May and November. Belstat publishes anonymised results in July and January, respectively.
Minsk has the most favourable wage structure in terms of consumer demand. In Minsk, approximately 30.5% of salaried employees of large and medium-sized enterprises have wages in the range of Br1,000-1,500, 16.4% have wages of Br1,500-2,000, 11.7% have wages of Br2,000-3,000, and 9.6% have wages over Br3,000.
The difference between Minsk and the regions is particularly pronounced in the latter salary range. The capital is home to the High-Tech Park, whose resident companies can afford paying high wages to employees thanks to social security benefits.
In May 2021 about 4.5% of salaried employees in Minsk were paid salaries higher than Br5,000. On average, the share of wages in this category in Belarus is only 1.4%, including 0.3% to 1% in the regions. End