The hourly labour costs in Cyprus recorded a 5 per cent increase during the first quarter of 2023, compared to the corresponding quarter of the previous year, according to a report utilising preliminary data released by the state’s statistical service on Friday.

The two components of labour cost, namely wages and salaries per hour worked, and non-wage costs per hour worked, experienced increases of 5.2 per cent and 4.3 per cent respectively, compared to the corresponding quarter of the previous year.

Moreover, the hourly labour cost, which takes all costs into account, and adjusted for seasonal fluctuations, experienced a 1.7 per cent increase, compared to the previous quarter.

The hourly labour cost referring to wages and salaries, adjusted for seasonal fluctuations, increased by 1.6 per cent.

In contrast, the hourly non-wage cost, adjusted for seasonal fluctuations, rose by 2.2 per cent.

It is noted that the statistical service has adopted a new base year for its comparisons, with that year being 2020.

Furthermore, the service clarified that the assumptions used in the calculation of variables have been revised based on the methodology that has already been used for some time.

Finally, the report utilised the results of the Labour Cost Survey, with 20202 being the reference year.