Italian Wages Decline 8.8% in Real Terms Since January 2021

Rome: Istat reported Wednesday that hourly contract wages in Italy were 8.8% lower in real terms in September 2025 compared to January 2021. The decline highlights a significant reduction in purchasing power for Italian workers over this period.

According to Ansa News Agency, the national statistics agency noted that nominal wages remained unchanged in September compared to August. However, they showed a 2.6% increase from September 2024. This nominal growth has not translated into real-term gains due to inflation and other economic factors impacting the cost of living.

The agency also detailed the year-on-year wage increases across different sectors. Civil servants saw a 3.3% rise, while those employed in industry experienced a 2.3% increase. Private service employees witnessed a 2.4% growth in their wages over the same period. Despite these nominal increases, the real-term decline underscores ongoing economic challenges faced by workers in various sectors across Italy.