Effects of the COVID-19 pandemic on socioeconomic indicators

Earnings

In December 2021 compared to November 2021, the average monthly paid off net earnings per person in employment in legal entities decreased by 0.7% and amounted to 7 280 kuna.

The increase in the average monthly paid off net earnings in legal entities was recorded in nine activity sections, with the largest increase, of 7.2%, being recorded in activity section D (Electricity, gas, steam and air conditioning supply), which is not necessarily associated with the COVID-19 pandemic, because oscillations in this activity section are common at the monthly level due to the payment of other taxable income.

A decrease in the average monthly paid off net earnings in legal entities was recorded in ten activity sections, with the largest decrease, of 4.8%, being recorded in activity section C (Manufacturing). This decrease is probably not associated with the pandemic because net earnings increased the most in this activity section in November compared to December 2021, so the decrease was expected. In activity section I (Accommodation and food preparation and serving activities), which proved to be the most affected by the COVID-19 pandemic, after a gradual recovery, the average monthly paid-off net earnings decreased by 2.2%. In this activity section, the average monthly paid off net earnings for December 2021 decreased by 20.7% compared to the average monthly paid off net earnings in the Republic of Croatia, which is an increase of the difference by 1.2 percentage points compared to the difference from November 2021. However, comparing net earnings from December 2021 with earnings from February 2020, when the pandemic broke out, and with the same month of the previous year, indicators point to a recovery in earnings in activity section I.

In December 2021 compared to November 2021, the average monthly gross earnings per person in employment in legal entities amounted to 9 835 kuna, which was a decrease of 0.8%.

An increase in the average monthly gross earnings in legal entities was recorded in eight activity sections, with the largest increase, of 9.4%, being recorded in activity section D (Electricity, gas, steam and air conditioning supply), the same as in net earnings.

The average monthly gross earnings in legal entities decreased in 11 activity sections, with the largest decrease, of 5.6%, being recorded in activity section C (Manufacturing), the same as in net earnings.

In December 2021 compared to November 2020, the month in which the coronavirus pandemic broke out, the average monthly paid off net earnings per person in employment in legal entities increased by 7.2%.

They increased in all of the 19 activity sections, with the largest increase, of 21.4%, being recorded in activity section D (Electricity, gas, steam and air conditioning supply). An increase larger than 10% was also recorded in activity sections A (Agriculture, forestry and fishing), L (Real estate activities) and Q (Human health and social work activities). It cannot be said that the increase in the activity section A is associated with the COVID-19 pandemic, while for activity section L, along with other impacts, such as the recent increased inflation and preparations for joining the eurozone, indirect association with the pandemic is possible.

Since the beginning of the pandemic, in February 2020, the greatest effects on developments in earnings, related to COVID-19, have been present in activity sections I (Accommodation and food service activities) and Q (Human health and social work activities). After the summer, these effects slightly increased again in activity section Q, as the average monthly paid-off net earnings in December 2021 were 10.4% higher than in February 2020. In activity section I, after being neutralised in August 2021, these effects started increasing slightly again in September 2021 due to the impact of the end of the summer season. In activity section I, the average monthly paid off net earnings for December 2021 decreased by 20.7% compared to the average monthly paid off net earnings in the Republic of Croatia, while in February 2020, this difference amounted to 18.6%.

In December 2021 compared to February 2020, the average monthly gross earnings per person in employment in legal entities increased by 6.0%. They increased in all of the 19 activity sections, with the largest increase, of 24.1%, being recorded in activity section D (Electricity, gas, steam and air conditioning supply), the same as in net earnings. Increased payments of overtime hours and COVID bonus due to the increased need for hospital accommodation because of the pandemic resulted in an increase in the average monthly gross earnings in activity section Q (Human health and social work activities) compared to the month when the disease broke out, of 9.1%.

In December 2021 compared to December 2020, the average monthly paid off net earnings per person in employment in legal entities increased by 4.0%. The average monthly paid off net earnings increased in 18 activity sections, with the largest increase, of 12.4%, being recorded in activity section I (Accommodation and food service activities).

As in the previous months, a significant increase in the average monthly paid off net earnings was recorded in activity section J (Information and communication), of 5.8%, which may be associated with the impact of the COVID-19 pandemic, due to the increased need of citizens for information.

After a series of months, comparing each month with the same month of the previous year, in which the average monthly net earnings have been decreasing, the average level of paid off net earnings has been growing in activity section I for the tenth month in a row. Despite the noticeable recovery of earnings in activity section I, it is important to note that in 2020, due to the negative impact of the pandemic and epidemiological measures related to the hotel and restaurant activity, the base of comparison was much smaller and, therefore, in 2021 the growth in earnings is more pronounced in that activity section. The average monthly paid off net earnings decreased by 7.5% in activity section B (Mining and quarrying).

In December 2021 compared to December 2020, the average monthly gross earnings per person in employment in legal entities increased by 4.6%. This increase was recorded in 18 activity sections, with the largest increase, of 14.5%, being recorded in activity section I (Accommodation and food service activities), the same as in net earnings.

The average monthly gross earnings decreased by 9.3% in activity section B (Mining and quarrying), the same as in net earnings, which is probably not associated with the pandemic as oscillations in earnings in this activity section are common due to the increased payment of other taxable income.

NKD 2007. activity sections

A Agriculture, forestry and fishing
B Mining and quarrying
C Manufacturing
D Electricity, gas, steam and air conditioning supply
E Water supply; sewerage, waste management and remediation activities
F Construction
G Wholesale and retail trade; repair of motor vehicles and motorcycles
H Transportation and storage
I Accommodation and food service activities
J Information and communication
K Financial and insurance activities
L Real estate activities
M Professional, scientific and technical activities
N Administrative and support service activities
O Public administration and defence; compulsory social security
P Education
Q Human health and social work activities
R Arts, entertainment and recreation
S Other service activities

Additional information:

AVERAGE MONTHLY NET AND GROSS EARNINGS OF PERSONS IN PAID EMPLOYMENT, 2021
Statistics in line - WAGES