FX.co ★ Euro Area Wage Growth Slows in Q2

Wages and salaries in the euro area increased by 3.0% year-on-year in the second quarter of 2026, down from a 3.4% rise in the previous quarter. Growth in compensation eased in both industry and services, slowing to 2.8% from 3.4% and to 2.9% from 3.3%, respectively, while wage growth in construction remained steady at 4.1%. Among the bloc’s largest economies, wage growth moderated in Germany (2.9% vs 3.3%), Spain (4.3% vs 5.2%), Italy (2.1% vs 2.7%) and the Netherlands (3.1% vs 3.9%). France was the outlier, with wage growth accelerating to 2.1% from 1.9%.