Page 26 - IDEA Study 3 2018 Low skilled

Since inflation was very low over the three considered years, we report nominal wages rather than deflated levels. As indicated below, the CPI barely changed between 2014 and 2016 (Table 19). Table 19. Consumer Price Index According to COICOP (basic index) Source: Czech Statistical Office In addition to the tight labor market, the rise in low-skilled wages (especially at the bottom of the wage distribution) was undoubtedly also a consequence of a substantial increase in the statutory minimum wage over the 2014-2016 period. Specifically, the statutory minimum wage was raised from CZK 8,500 to CZK 9,200 (EUR 340) in January 2015, to CZK 9,900 (EUR 366) in January 2016 and to CZK 11,000 (EUR 407) in January 2017, reaching approximately 40% of the current average gross monthly wage. Low-skilled jobs in Elementary Occupations are the least paid. The low-skilled in Elementary Occupations receive the lowest wage (median gross monthly wage of CZK 13,890), whereas Technicians and Associate Professionals earn the highest wage (median gross monthly wage of CZK 25,451, see Table 20). Table 20.Median Gross Monthly Wage (in CZK) of the Low-skilled by Occupation Year 2014 2015 2016 CPI 99.7 100 100.7 Occupation Managers 19,553 Professionals 16,990 Technicians and Associate Professionals 25,451 Clerical Support Workers 20,194 Services and Sales Workers 15,689 Skilled Agricultural, Forestry and Fishery Workers 20,722 Craft and Related Trades Workers 20,548 Plant and Machine Operators and Assemblers 21,953 Elementary Occupations 13,890 Source: AEIS data 2016, own calculation. 24