Salary Growth Across Sectors Outpaces Inflation By 2,6%
In the second trimester of 2024, the average gross monthly salary per worker in the Autonomous Region of Madeira increased by 6.1% compared to the same period in 2023, reaching 1,589 euros. The rise in salaries surpassed the regional inflation rate, resulting in a real salary increase of 2.6%. Both regular and base salaries saw significant growth, with increases of 6.4% (1,258 euros) and 6.7% (1,212 euros), respectively.
Sectors with Notable Salary Increases
The most substantial salary growth was observed in the “Extractive Industries” (businesses that take raw materials) and “Other Service Activities,” which saw increases of 17.7% and 16.2%, respectively. The public sector also experienced a notable salary rise of 8.1%. Companies employing between 5 to 9 workers and those with 50 to 99 workers reported a salary growth of 9.8%, reflecting the broader economic improvements in the region.
Salaries In Madeira Remain Below Average
Despite the salary growth, the average gross monthly salary in Madeira remained lower than the national average by 51 euros. While Madeira's average salary was 1,589 euros, the national average stood at 1,640 euros. Nationally, salaries also saw a robust increase of 6.4% in gross salaries and 3.6% in real terms.
Public vs. Private Sector Salary Growth
In Madeira, the public sector outperformed the private sector in terms of salary growth, with an 8.1% increase compared to a 5.6% rise in the private sector. Nationally, both sectors experienced equal salary growth rates of 6.6%, reflecting consistent trends across the country. The highest salaries were recorded in the "Electricity, Gas, Steam, and Air Conditioning Supply" sector, with average gross salaries of 3,501 euros in Madeira and 3,588 euros nationwide.
Significant Seasonal Variations in Salaries
The numbers reported by DREM indicate a high fluctuation of the average salary.
First trimester of 2024: The average gross monthly salary was 1,375 euros after a 6.6% increase from the first trimester of 2023.
Second trimester of 2024: The average gross monthly salary was 1,589 euros after a 6.1% increase from the second trimester of 2023.
According to the information provided, the second trimester of 2023 would have a higher average salary than the first trimester of 2024. Here’s a possible reason:
First trimester of 2024: The average gross monthly salary was 1,375 euros after a 6.6% increase from the first trimester of 2023.
Second trimester of 2024: The average gross monthly salary was 1,589 euros after a 6.1% increase from the second trimester of 2023.
If we back-calculate the salary for the second trimester of 2023 using the 6.1% increase that led to 1,589 euros in the second trimester of 2024:
This gives us the following numbers
Second Trimester of 2023 = 1,498 euros
First Trimester of 2024 = 1,375 euros
This suggests that the average salary in the second trimester of 2023 (1,498 euros) was higher than the average salary in the first trimester of 2024 (1,375 euros). This could be due to various factors, such as seasonal variations (tourism) in earnings, bonuses, or economic conditions that might have influenced the salaries in those specific periods.
Source: DREM
Care for a share?
Comments