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Pay and income

Pay and income are central to employment relations and quality of life. The issue has received even more attention at EU level due to crisis-inflicted developments in the economy and in society as a whole.

Topic

Recent updates

Eurofound research

Eurofound reports on various aspects of pay and income in light of changing economic circumstances across Europe.

Pay monitoring

Eurofound research brings together a range of information on pay. The regular nature of reporting generates a longer series of observations on collectively agreed pay, so that trends can be monitored. Eurofound publishes regular reports on statutory minimum wages and collectively agreed pay. It also monitors national-level developments in relation to wage-setting mechanisms, equal pay, variable pay, low pay and the gender pay gap.

Working life country profiles contain information on pay at national level and are regularly updated. 

Eurofound's European Jobs Monitor (EJM) assesses shifts in employment by job, according to various qualitative measures including pay. In particular, it contributes to our knowledge on the phenomenon of employment polarisation – that is, the extent to which employment growth is likely to be greater at the top and bottom of the wage distribution than in the middle.  

Pay transparency

In light of the discussion around pay discrimination and equal pay in the EU, Eurofound research looks at the issue of pay transparency, including measures to promote gender pay transparency in companies and experiences in different Member States. 

Survey data

Eurofound’s surveys also monitor pay conditions in the EU. Pay is central to Eurofound’s research in assessing quality of work. In the European Working Conditions Survey (EWCS), earnings  is one of seven indicators of job quality. The EWCS also reports on the gender pay gap. Explore the EWCS data explorer.

The European Quality of Life Survey (EQLS) monitors the impact of income on living standards and how income inequality is related to social cohesion and well-being. It analyses how the crisis has affected families, looking at low-income families, household debt and those groups at risk of poverty. The EQLS also gathers information on income in retirement and options for extending working lives. Explore the EQLS data explorer.

The European Company Survey (ECS) captures the use of variable pay schemes in establishments, as well as the coverage of the employees in those establishments by collective wage agreements. The survey allows to link the information on variable pay and wage bargaining with information on work organisation, human resource management, direct employee participation and social dialogue, as well as with performance and workplace well-being.

Eurofound also looks at the issue of wages as a key aspect of inclusive labour markets. Research explores the concept of a living wage, which differs from statutory minimum wages or minimum income schemes. The research investigates how this has been implemented or advocated as a means to provide an adequate income allowing a decent standard of living and full participation in society.

Key outputs

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This 2024 annual review of minimum wages provides a synopsis of minimum wage setting during 2023 in the EU27 and Norway. It reports in detail on the processes and outcomes...

26 Giugno 2024
Publication
Research report
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This report explores the distribution of household wealth in the EU Member States and analyses the role of wealth in social mobility. Using data from three datasets (the Household Finance...

30 Marzo 2021
Publication
Research report

EU context

The European Pillar of Social Rights sets out the EU’s commitments on wages: the right of workers to fair wages that provide for a decent standard of living; ensuring adequate minimum wages; preventing in-work poverty.

Following a proposal by the European Commission in October 2020, the European Parliament and Council of the EU adopted a new Directive on adequate minimum wages on 19 October 2022. It aims to reduce in-work poverty, promote collective bargaining on wages and increase access to minimum wage protection.

On 30 January 2023, the Council adopted a Recommendation on adequate minimum income ensuring active inclusion. 

To strengthen the principle of equal pay for work of equal value between men and women, the Council adopted a new Directive on pay transparency on 24 April 2023. The directive aims to tackle pay discrimination and help close the gender pay gap in the EU.

 

European Industrial Relations Dictionary 

Eurofound expert(s)

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Christine Aumayr-Pintar is a senior research manager in the Working Life unit at Eurofound. She coordinates Eurofound’s research on social dialogue and industrial relations and...

Senior research manager,
Working life research unit
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Carlos Vacas Soriano is a senior research manager in the Employment unit at Eurofound. He works on topics related to wage and income inequalities, minimum wages, low pay, job...

Senior research manager,
Employment research unit
Publications results (127)

This report maps the impact of the global financial, economic and public debt crisis on industrial relations and working conditions at national level in the EU Member States from 2008 to end 2012. The impact of the crisis on industrial relations is mapped with regard to the actors, processes and

22 April 2014

The issue of wages has attracted particular attention at European level since the onset of the economic crisis. Changes in economic governance, notably within the European semester, have prompted discussions on wage‑setting mechanisms. While, overall, wage‑bargaining regimes have remained relatively

13 April 2014

This issue of Foundation Focus looks at issues surrounding pay, wages and income in Europe in the face of sustained difficult economic circumstances. For example, what sort of hardship are ordinary people experiencing? Which workers are being most affected by wage cuts? Are wage cuts the best way to

20 January 2014

During the last few decades, public administration workers have been subject to a number of structural, modernising reforms, in a framework often designated as ‘new public management’. The current economic and financial crisis has also meant that the steep rise in public debt has prompted many

12 January 2014

This report examines social inequalities in the distribution of freedoms and opportunities among individuals and population subgroups in Europe. Using data from the European Quality of Life Survey (EQLS), the report builds up an evidence base on social inequalities in four critical areas of life

03 December 2013

Il presente documento programmatico espone le conclusioni relative a una tematica specifica dell’indagine europea sulla qualità della vita (EQLS), che presentano un particolare interesse da un punto di vista politico. Esso riunisce i risultati dell’analisi di tali dati con elementi comprovati

08 November 2013

Despite much legislative progress in gender equality over the past 40 years, there are still gender gaps across many aspects of the labour market. Inequalities are still evident in areas such as access to the labour market, employment patterns and associated working conditions. This report explores

29 October 2013

In recent years, practices such as outsourcing and contracting-out have increasingly blurred the boundaries between dependent employment and self-employment. A new group of workers has emerged, which comprises workers who are formally ‘self-employed’, but present some characteristics of employees

29 September 2013

EIRO’s annual analysis of collectively agreed pay for 2012 finds that although average nominal agreed increases were slightly greater than in 2011 in many countries, the rise in prices diminished people’s purchasing power. In real terms, only a handful of countries had positive collective pay

09 July 2013

With the average age of the population rising, people aged 55–64 make up an increasing share of workers in Europe. This demographic shift, as well as ongoing threats to the sustainability of national welfare and pension systems, has increased pressure for reforms to encourage longer careers. This

29 April 2013

Online resources results (925)

Minimum wages have a significant effect on negotiated and actual wages

In recent years, national minimum wages have risen sharply across EU countries, making their influence on collective wage bargaining and general wage developments increasingly relevant. The findings show that national minimum wages have a positive impact on raising negotiated wage levels. However,

Substantial rises in national minimum wages for 2025 – linked to the EU directive?

The picture emerging across most countries following the uprates for 2025 is one of gains in purchasing power among minimum wage earners, even though the nominal rate increases are generally lower than in 2024.

A snapshot of income inequality and middle class across the EU

After years of being sidelined in the European policy debate as labour markets recovered in the wake of the Great Recession, inequality is back on the agenda following the COVID-19 pandemic and the ensuing cost-of-living crisis. A widespread public perception is that inequality is growing while the

Real-term value of negotiated wages eroded – what can be done?

Inflation and economic uncertainty continued to influence collective wage bargaining in 2023. As a result, any gains made in real terms (in the ‘median’ EU country) since 2009 were eroded between 2020 and 2023.

Mary McCaughey speaks with Eurofound Research Manager Carlos Vacas about the situation of the middle class in Europe. They look at developments over the past two decades, the significance of income adequacy and equality in the development of a robust middle class in Europe.

30 Settembre 2024

Labour disputes across Europe in 2023: Ongoing struggle for higher wages as cost of living rises

The year 2023 was marked by several significant labour disputes across Europe, even in countries with a traditionally ‘quiet’ industrial relations landscape. The main reason for industrial unrest was wages not keeping pace with the increasing cost of living. The most affected sectors were transport,

Towards adequate minimum wages: Fairness and a decent standard of living

The adequacy of minimum wages established by the EU Minimum Wage Directive shall be assessed on two dimensions: fairness and the provision of a decent standard of living. It is up to the Member States to decide on their approaches to assessing the adequacy of minimum wage levels.

Working life in Bulgaria

This profile describes the key characteristics of working life in Bulgaria. It aims to provide the relevant background information on the structures, institutions and relevant regulations regarding working life.

Working life in Cyprus

This profile describes the key characteristics of working life in Cyprus. It aims to provide the relevant background information on the structures, institutions and relevant regulations regarding working life.

Working life in Croatia

This profile describes the key characteristics of working life in Croatia. It aims to provide the relevant background information on the structures, institutions and relevant regulations regarding working life.


Blogs results (22)

The housing crisis could be tackled by improving public services, better urban planning and ensuring that social protection benefits reach the people who need them most.

2 Maggio 2024
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The COVID-19 pandemic has changed the way we live and work. With the lifting of restrictions across the globe, we are now able to examine the many repercussions on the world of work. In particular, the unique demands of the last few years have shone a harsh spotlight on the pressures brought to bear

17 Gennaio 2023
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Rising energy prices are putting more people under increased financial pressure and at greater risk of energy poverty. In this data story, we take a closer look at the data from the fifth round of the Living, working and COVID-19 e-survey to explore the extent of the issue and the threat of energy p

3 Agosto 2022
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Minimum wages have risen significantly in 2022, as the EU Member States leave behind the cautious mood of the pandemic. However, rising inflation is eating up these wage increases, and only flexibility in the regular minimum wage setting processes may avoid generalised losses in purchasing power amo

15 Giugno 2022
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While the number of employees earning the minimum wage has increased across Europe over the last decade, spurred by significant minimum wage hikes, a clear gender divide emerges, with minimum wage earners more likely to be women. Minimum wage earners are also more likely to live in materially depriv

26 Ottobre 2021
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With its proposed directive on gender pay transparency, the European Commission has significantly bolstered the set of tools for delivering its objectives compared to those presented in its 2014 Recommendation. The proposed portfolio of measures addresses many shortcomings of the instruments that na

18 Giugno 2021
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Decision-makers approached minimum wage setting for 2021 cautiously due to the economic uncertainty caused by the pandemic. Despite this, nominal statutory minimum wages rose in most Member States and the UK, although at lower rates than in recent years.

8 Giugno 2021
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The pandemic has had differential impacts on women. Raised consciousness about them must be applied to advance gender equality in recovery measures. All crises have a strongly gendered impact and none more so than the current pandemic, across a range of indicators. While the virus itself seems to ta

28 Aprile 2021
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This year’s theme to mark International Women’s Day on 8 March is Choose to Challenge (or #ChooseToChallenge, if you prefer). The idea is to highlight that ‘from challenge comes change’ and that ‘we can all choose to challenge and call out gender bias and inequality’.

8 Marzo 2021
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​​​​​​​To date, close to six million workers in the EU have lost their jobs due to COVID-19. Many businesses have closed their doors forever or been pushed to the brink, bringing severe financial and psychological hardship to the individuals and families affected. However, the toll of the pandemic c

9 Febbraio 2021

Upcoming publications results (4)

Why are higher rates of female educational attainment, relative to those of men, and an increasing gender education gap not translating into a faster reduction in the gender pay gap? To what extent are different educational choices responsible for this gap? This report analyses the extent to which

January 2026
Forthcoming
Publication
Policy brief

This research is carried out in the context of the ongoing transposition of the gender pay transparency directive. The first part updates previous Eurofound research by looking into the experiences of Member States with implementing pay transparency measures and their effectiveness. It also reviews

October 2025
Forthcoming
Publication
Research report

This study examines wealth inequality trends across European Union countries, utilising data from the European Central Bank’s Household Finance and Consumption Survey (HFCS) and covering the period 2010 to 2021. It explores key drivers of wealth distribution, including housing wealth, savings behavi

July 2025
Forthcoming
Publication
Research report

The 2025 annual review of minimum wages provides a synopsis of minimum wage setting across the EU27 and Norway during 2024. It reports in detail on the processes and outcomes of setting the minimum wage rates for 2025 and beyond.

July 2025
Forthcoming
Publication
Research report
Data results (8)

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