Wages and salaries worldwide statistics & facts

Wages and salaries around the world

Wages and salaries are the main source of income for most households on the planet. Around half of all workers in the world are employees who earn a wage or salary, and in rich economies the share is far higher. What those workers are paid, and how quickly their pay rises compared with prices, shapes living standards, consumer spending, inequality and, in the end, the political mood of whole countries. That is why wage data is watched closely by governments, central banks, employers and trade unions alike.

The past five years have been one of the most turbulent periods for pay in recent memory. The inflation shock that followed the pandemic and the war in Ukraine pushed real wages, meaning pay adjusted for inflation, into decline across much of the world in 2022. According to the International Labour Organization (ILO), global real wages fell by 0.9 percent that year, the first fall in the modern data. Since then pay has recovered: global real wages rose 1.8 percent in 2023 and were projected to rise 2.7 percent in 2024, the fastest growth in more than 15 years.

The recovery has been uneven. In the OECD group of advanced economies, real wages were still below their early 2021 level in about a third of countries in the first quarter of 2026. Pay levels also vary enormously: the average full-time employee in Luxembourg earned about 94,400 US dollars in 2024 after adjusting for purchasing power, more than four times the level in Mexico. This report brings together the latest data from the ILO, the OECD, Eurostat and national statistics offices on real wage growth, average pay, minimum wages, wage inequality, the gender pay gap, the labour share of income and the impact of artificial intelligence on pay.

Global real wage growth since 2006

The ILO Global Wage Report tracks the average change in real wages across the world, weighting each country by the size of its workforce. For most of the period since 2006, global real wage growth has been positive but modest, typically between 1 and 2 percent a year. Growth slowed sharply during the global financial crisis, to 0.6 percent in 2008 and 0.8 percent in 2009, and was again weak in 2017 and in 2021, when rising prices began to eat into pay.

From a fall to a 15-year high: global real wages fell 0.9 percent in 2022 as inflation surged, then rose 1.8 percent in 2023 and a projected 2.7 percent in 2024.

The year 2022 stands out as the only fall in the series. Inflation rose to multi-decade highs in most countries as energy and food prices soared, and pay rises did not keep up. The recovery since then reflects two things: inflation has come down, and tight labour markets have pushed nominal pay growth higher. Excluding China, whose large workforce and steady wage growth have a big effect on the global average, real wages fell 1.5 percent in 2022, rose 1.3 percent in 2023 and were projected to rise 2.3 percent in 2024. Our data on inflation worldwide and the global inflation rate show the price side of the story.

Advanced and emerging economies

The global average hides a sharp divide between rich and developing economies. In the advanced economies of the G20, real wages fell 2.8 percent in 2022 and a further 0.5 percent in 2023, as high inflation in the United States, Europe and Japan outpaced pay rises. Only in 2024 did they return to growth, at a projected 0.9 percent. In the emerging economies of the G20, including China, India, Brazil, Mexico, Indonesia and Turkey, real wages kept rising throughout the crisis, by 1.8 percent in 2022, 6.0 percent in 2023 and a projected 5.9 percent in 2024.

A two-speed world: real wages in advanced G20 economies fell in both 2022 and 2023, while in emerging G20 economies they grew 6.0 percent in 2023.

Faster wage growth in emerging economies is part of a long-term process of catching up. Workers in these countries start from much lower pay levels, and as productivity rises with investment, urbanisation and better education, wages tend to rise faster than in rich countries. Over time this has narrowed the gap in average pay between richer and poorer countries, even though the absolute difference in pay remains very large.

Real wage growth by region

Regional figures show just how varied the picture is. In 2024, the fastest real wage growth was projected in Central and Western Asia, at 17.9 percent, after an exceptional 25.1 percent in 2023. These figures are heavily influenced by very high nominal pay rises in a few countries recovering from high inflation, and should be read with care. Eastern Europe followed with 9.3 percent, and Asia and the Pacific with 2.9 percent.

East outpaces West: real wages were projected to rise 9.3 percent in Eastern Europe and 2.9 percent in Asia and the Pacific in 2024, but to stagnate in Africa and the Arab States.

At the other end of the scale, real wages were flat in Africa, where they had fallen 2.4 percent in 2023, and slightly negative in the Arab States, at minus 0.1 percent. In Northern, Southern and Western Europe, real wages returned to growth of 2.7 percent after a small fall of 0.2 percent in 2023, while Northern America recorded only 0.3 percent growth. Latin America and the Caribbean saw real wages rise 1.5 percent. The differences reflect local inflation rates, the strength of labour markets and the role of minimum wages and collective bargaining in each region.

Average wages in OECD countries

For advanced economies, the OECD publishes comparable figures on average annual wages per full-time employee, converted into US dollars using purchasing power parities. This adjustment accounts for differences in the cost of living, so that the figures show what pay can actually buy in each country. In 2024, Luxembourg had the highest average wage at about 94,400 dollars, followed by Iceland at 89,900 dollars, Switzerland at 87,500 dollars and the United States at 82,900 dollars.

Luxembourg on top, Mexico at the bottom: the average full-time wage ranged from about 94,400 dollars in Luxembourg to 20,400 dollars in Mexico in 2024, after adjusting for living costs.

Western and Northern European countries fill most of the next places: Belgium at 76,100 dollars, Austria at 75,800 dollars, the Netherlands at 75,400 dollars, Norway at 74,900 dollars and Denmark at 74,000 dollars. Australia, Germany and Canada all had average wages of around 69,000 to 71,000 dollars. The United Kingdom stood at 63,700 dollars and France at 60,600 dollars.

Southern Europe and East Asia sit lower in the ranking. Spain had an average wage of about 54,600 dollars, Italy 51,000 dollars, South Korea 50,900 dollars and Japan 49,400 dollars. Japan is a notable case: despite being one of the richest economies in the world, its average wage has barely grown in real terms for three decades, and it has been overtaken by Korea. Poland, at 44,200 dollars, has been one of the fastest risers in the OECD since the 1990s. Mexico, at 20,400 dollars, had the lowest average wage in the group. These figures are closely related to overall prosperity, as shown in our data on GDP per capita by country.

Real wages in 2026: recovery loses steam

More recent OECD figures show that the post-inflation recovery in real wages is slowing. In its Employment Outlook 2026, published in July 2026, the OECD reported that real wages across member countries grew 2.2 percent year on year in the first quarter of 2026, down from 2.7 percent a year earlier. Growth slowed in about two thirds of countries, although it remained positive almost everywhere.

The damage done by the inflation shock has still not been fully repaired. In the first quarter of 2026, real wages were below their level of the first quarter of 2021 in about 13 of the 37 OECD countries with data. The gap was more than 2 percent in Australia, Czechia, Denmark, Italy, New Zealand and Sweden. In these countries, the typical worker can still buy less with a monthly pay packet than five years ago. The OECD warned that a new energy price shock linked to conflict in the Middle East could put further pressure on real pay in the rest of 2026.

Labour markets, meanwhile, remain relatively strong. The OECD employment rate reached 72.1 percent in the first quarter of 2026, a record high, and the unemployment rate across OECD countries was 4.9 percent in May 2026. But the median unemployment rate edged up to 5.7 percent from 5.4 percent a year earlier, a sign that demand for workers is cooling in some countries, which usually slows wage growth.

Pay in the largest economies

In the United States, average hourly earnings for all private sector employees reached 37.75 dollars in August 2026, according to the Bureau of Labor Statistics, up 3.1 percent from a year earlier. For production and non-supervisory workers, average hourly earnings were 32.53 dollars. With consumer prices rising slightly faster, real average hourly earnings fell 0.3 percent over the year to August 2026, although real weekly earnings rose 0.3 percent because people worked slightly longer hours. Employers expect pay budgets to stay broadly stable: in a WTW survey carried out between March and May 2026, US companies reported average salary increase budgets of 3.5 percent in 2026 and planned 3.4 percent for 2027. The cost side is covered in our data on the monthly US inflation rate and the US cost of living.

In the United Kingdom, the Office for National Statistics reported that regular pay, excluding bonuses, grew 3.5 percent in the three months from May to July 2026, while total pay grew 3.9 percent. After adjusting for inflation using the CPIH measure, real regular pay rose 0.6 percent and real total pay 0.9 percent. Public sector pay grew much faster than private sector pay, at 6.3 percent against 2.9 percent, reflecting large settlements for public workers. See also our data on inflation in the UK.

In the European Union, Eurostat estimated that the average hourly labour cost, which includes wages plus employer social contributions, was 34.9 euros in 2025, up 4.1 percent from 33.5 euros in 2024. In the euro area it was 38.2 euros. Costs ranged from 12.0 euros an hour in Bulgaria and 13.6 euros in Romania to 56.8 euros in Luxembourg and 51.7 euros in Denmark. Non-wage costs made up 24.8 percent of total labour costs in the EU, from 4.8 percent in Romania to 32.3 percent in France. The fastest increases were in Bulgaria, up 13.1 percent, and Croatia, up 11.6 percent, as lower-wage member states continue to catch up. Our overview of inflation in Europe provides context.

In Japan, the annual spring wage negotiations between unions and large employers, known as shunto, produced an average pay rise of 5.01 percent in 2026, according to the final tally by the Japanese Trade Union Confederation, Rengo. It was the third year in a row with a result above 5 percent, after decades in which pay barely moved, although slightly below the 2025 result. Smaller companies with fewer than 300 employees agreed rises of 4.69 percent, short of the 6 percent target set by Rengo.

In China, the National Bureau of Statistics reported that the average annual wage of employees in urban non-private units, mostly state-owned and larger firms, was 129,441 yuan in 2025, up 4.3 percent. In urban private units, the average was 71,590 yuan, up 3.0 percent. Pay varies widely by sector: employees in information technology services earned an average of 248,752 yuan, almost four times the 62,461 yuan earned in hotels and catering. Wages fell 2.4 percent in real estate, reflecting the long downturn in the property market.

Minimum wages around the world

Most countries set a legal minimum wage, and in recent years governments have raised them sharply to protect low-paid workers from inflation. The ILO found that about 60 percent of the countries it studied adjusted their minimum wages in 2022, but only a quarter achieved an increase in real terms. In 2023, 55 percent achieved real increases, although these were often not enough to make up for earlier losses. By April 2026, real statutory minimum wages in the 30 OECD countries with a national minimum were above their January 2021 level and still rising, according to the OECD.

In the European Union, 22 of the 27 member states had a national minimum wage in January 2026. The other five, Denmark, Italy, Austria, Finland and Sweden, set pay floors through collective agreements instead. Monthly minimum wages ranged from 620 euros in Bulgaria to 2,704 euros in Luxembourg, with Ireland at 2,391 euros, Germany at 2,343 euros and the Netherlands at 2,295 euros.

From 620 to 2,704 euros: Luxembourg had the highest monthly minimum wage in the EU in January 2026, more than four times the level in Bulgaria.

The gap narrows considerably once differences in living costs are taken into account. In nominal euros, the highest minimum wage was 4.4 times the lowest, but measured in purchasing power standards the ratio was only 2.4. Eight countries, led by Germany, Luxembourg, the Netherlands, Belgium, Ireland and France, and including Poland and Spain, had minimum wages above 1,500 purchasing power standards a month. Latvia and Estonia were the only two below 1,000.

Outside the EU, the United Kingdom raised its National Living Wage for workers aged 21 and over from 12.21 pounds to 12.71 pounds an hour in April 2026, and the rate for 18 to 20 year olds from 10.00 pounds to 10.85 pounds. In the United States, the federal minimum wage has remained at 7.25 dollars an hour since 2009, but most states and many cities set higher rates. Our data on the minimum wage in the United States and minimum wages by US state show the details, while our figures on support for a higher minimum wage by party and by income show how the issue divides Americans.

Wage inequality: who earns what

The ILO estimates show how unequally pay is distributed across the global workforce. In 2021, the latest year analysed, the lowest paid 10 percent of wage earners in the world earned less than 250 dollars a month in purchasing power parity terms, working full time. The median worker earned 846 dollars a month, and the highest paid 10 percent earned more than 4,199 dollars. Put another way, the bottom 10 percent of workers received just 0.5 percent of the global wage bill, while the top 10 percent received almost 38 percent.

Seventeen times apart: the top 10 percent of wage earners in the world earned more than 4,199 dollars a month, while the bottom 10 percent earned less than 250 dollars.

There is some good news. The ILO found that wage inequality within countries has fallen in about two thirds of countries since the start of the century. The ratio between the pay of workers at the 90th percentile and those at the 10th percentile fell by 28 percent globally between 2006 and 2021. The decline was fastest in low-income countries, where inequality fell by between 3.2 and 9.6 percent a year, and slowest in high-income countries, at 0.3 to 0.7 percent a year. Stronger minimum wages, more formal jobs and rising education levels all played a part.

Low-paid workers

Low pay remains common, especially in poorer countries. The ILO defines low-paid workers as those earning less than half the median hourly wage in their country. On that measure, 22 percent of wage earners in low-income countries were low paid, compared with 17 percent in lower-middle-income countries, 11 percent in upper-middle-income countries and only 3 percent in high-income countries.

Low pay concentrated in poorer countries: 22 percent of wage earners in low-income countries were low paid, against 3 percent in high-income countries.

These figures only cover employees. In developing countries, a large share of workers are self-employed or work informally, often for very low incomes. The ILO estimates that 57.9 percent of the global workforce was in informal employment in 2025, and 284 million workers, 7.9 percent of all employed people, lived in extreme poverty. When these workers are included, the share of people on low incomes rises sharply, reaching close to half of all workers in some low-income countries.

The gender pay gap

Women earn less than men in every region of the world. The OECD reported that in 2024, women working full time in the average OECD country earned 89 cents for every dollar earned by men, a gap of about 11 percent. The gap has narrowed by around three percentage points over the past decade, but progress is slow. South Korea had the largest gap in the OECD, at 29 percent, followed by Japan at 22 percent, while the gap in Italy and Lithuania was around 4 percent.

In the European Union, the unadjusted gender pay gap, which compares the average hourly earnings of men and women, was about 11 percent in 2024, according to Eurostat. It was widest in Estonia, at 19 percent, and around 16 percent in Germany, and smallest in Belgium, at about 1 percent, with Romania and Poland at 4 percent. In Luxembourg, women earned slightly more than men on average. These unadjusted figures reflect differences in the jobs, sectors and hours of men and women as well as unequal pay for the same work.

Globally the gap is larger. The ILO estimates that female employees earn about 78 cents for every dollar earned by male employees, and that the total labour income of women worldwide is just 52.4 percent of that of men, up from 49.4 percent in 2015. The EU pay transparency directive, which member states must apply from June 2026, requires employers to publish pay gap information and give workers the right to know pay levels, and is expected to put further pressure on companies to close gaps.

The labour share of income

Another way to look at pay is to ask what share of total national income goes to workers rather than to owners of capital. The ILO estimates that the global labour income share, which includes the wages of employees and the labour income of the self-employed, fell from 53.0 percent of GDP in 2014 to 52.4 percent in 2024, before edging up to 52.6 percent in 2025. The fall may sound small, but the ILO calculates that if the share had stayed at its 2014 level, workers worldwide would have earned about 1 trillion dollars more in 2024, or roughly 290 dollars per worker.

A related trend is the gap between productivity and pay. In high-income countries, labour productivity rose by 29 percent between 1999 and 2024, while real wages rose by only 15 percent, according to the ILO. Most of that gap opened up between 1999 and 2006; since then, pay and productivity have moved more or less in parallel, except during crises. The gap means that a growing share of the gains from economic growth has gone to profits rather than to wages, a trend that economists link to globalisation, technology, weaker trade unions and the growing market power of large firms.

Artificial intelligence and wages

Artificial intelligence is emerging as a new force in the labour market, and early data suggest it is creating large pay premiums for workers with the right skills. The PwC 2026 Global AI Jobs Barometer, based on more than 1 billion job advertisements in 27 countries, found that jobs requiring AI skills offered a wage premium of 62 percent in 2025, up from 57 percent a year earlier. The premium was as high as 118 percent in consumer markets and 16 percent in government and public services.

PwC also found that wages grew faster in the industries most exposed to AI, by 24 percent, than in the least exposed industries, at 17 percent, and that productivity in the most exposed sectors rose 34 percent between 2018 and 2025. The ILO takes a more cautious view: it estimates that 7.5 percent of workers worldwide are in jobs with high exposure to generative AI and 16.3 percent in jobs with medium exposure, with office and clerical roles most affected. Whether AI ends up raising pay broadly or concentrating gains among a smaller group of highly skilled workers is one of the key questions for wages over the coming decade.

Top-end pay also continues to attract attention. In sport and entertainment, the highest earners make tens of millions of dollars a year, as our data on the highest paid NBA players and the highest paid NFL players show, figures that are thousands of times the median wage in most countries.

The outlook for wages

After the shock of 2022 and the recovery of 2023 and 2024, wage growth is settling into a slower rhythm. Real wages are still rising in most countries, but more slowly, and in a third of advanced economies they have not yet recovered their 2021 level. Employers in the United States plan salary budgets of about 3.4 percent for 2027, and WTW reports that companies are moving away from broad pay rises towards targeted increases for key roles and skills. In Europe and Japan, minimum wages and collective agreements continue to push up pay at the bottom, while in emerging economies wages are still catching up with richer countries.

The main risks come from prices and technology. A renewed rise in energy prices could once again push inflation above pay growth, as the OECD warned in 2026, and slowing labour markets could weaken the bargaining power of workers. At the same time, AI could raise productivity and pay for some workers while putting pressure on others. The data suggest that the gap between the best and worst paid workers, between men and women and between rich and poor countries is narrowing, but slowly, and that for billions of people a decent wage remains out of reach.

Wages and salaries in numbers

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