Average and real monthly wages and salaries
Data on wages and salaries has been presented in breakdown by activity sector, regions and industries.
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Terms and definitions
Calculated or gross wage and salary
Average monthly gross wages and salaries
The average monthly gross wages and salaries are estimated by dividing the gross or calculated wage and salary fund by the average number of employees at full-time units.
Regular average monthly wages and salaries
Regular average monthly wages and salaries are regular cash payments paid regularly at each pay period (weekly, monthly). including annual leave payments.
Net wages and salaries
Monthly median wages and salaries [experimental statistics]
Experimental statistics is produced by using new data sources and methods in making attempts to expand the range of statistics or the level of detail thereof based on the needs of data users.
It should be noted that the methods used in experimental statistics are not constant, approbated or internationally harmonized and can be changed to improve data quality.
Central Statistical Bureau (CSB) publishes experimental statistics to get user feedback, evaluate analytical potential of the data and relevance thereof to the actual reality and data user needs. By publishing experimental statistics, the CSB provides data users with new sources of information that may be used for decision making.
To meet data user needs for another average earnings indicator not influenced by very high and very low salaries and characterising typical level of earnings in the country, CSB is estimating median wages and salaries. The estimate is based on information acquired with the help of quarterly survey (questionnaires 2-ES, 2-ES-local governments and 2-ES short questionnaire) and administrative data available in the State Revenue Service.
Median is the value separating higher half from the lower half of the indicators listed in ascending or descending sequence. Median may be regarded as the middle value separating the indicators into two equal parts. Usually median earnings are lower than mean arithmetic ones (average wages and salaries). The difference between median and mean arithmetic shows the asymmetry in the distribution of earnings. If distribution is completely symmetrical, median and mean arithmetic are equal.
Real wage and salary index
Private sector
Private sector includes commercial companies with central or local government capital participation up to 50%, commercial companies of all types without central or local government capital participation, individual merchants, and peasant and fishermen farms with 50 and more employees.
Public sector
General government sector
Data collection and statistical processing
Survey method and data source
Information is acquired by compiling questionnaires developed by the CSB – quarterly statistical reports on activities of merchants, state and local government budgetary institutions, foundations, associations and funds (2-Labour, 2-Labour-municipalities, 2-Labour (short)), and administrative data.
Statistical report form 2-Labour (short) is submitted by individual merchants, foundations, associations and funds employing 10–49 persons. Form 2-Labour-municipalities submitted by local governments and municipal institutions. All other statistical units included in the sample submit statistical report form 2-Labour.
Administrative data are acquired from reports on employees submitted by employers to the State Revenue Service from the Report on state social security compulsory payments from employee income, Income Tax and Business Risk State Duty during the reference month, from the Report regarding the employment income, personal income tax and state mandatory social insurance contributions of the payers of the income tax for seasonal farm workers and from Micro-enterprise Tax Declaration.
Information is compiled on all fields. Data by kinds of economic activity are compiled by the main kind of activity which includes also all the other activities of the respondent, except centralized accountancies of the local governments, which submit data separately on following sectors:
- Electricity, gas, steam and air conditioning supply;
- Public administration and defence; compulsory social security;
- Education;
- Residential care activities;
- Social work activities without accommodation;
- Creative, arts and entertainment activities;
- Libraries, archives, museums and other cultural activities;
- Cleaning activities.
CSB compiles information in breakdown by territorial units based on the address of the company office.
Target population
Target population covers all statistical units (state and local government budgetary institutions, state and local government merchants, private commercial companies, individual merchants, peasant and fishermen farms employing 50 persons and more, foundations, associations and funds employing 1 and more persons) economically active in 2020.
Target population of the survey does not include:
- religious organisations;
- rural handicraft enterprises;
- family businesses;
- individuals performing economic activity.
Target population does not include also statistical units having NACE Rev. 2 classification economic activity code starting with 97 or 98.
Sample size
Each quarter of 2020 more than 6 thsd respondents are surveyed.
Budgetary institutions, businesses with government or local government participation 50% and more and all businesses of the private sector with 50 employees and more are surveyed completely. Other statistical units are surveyed with the help of simple stratified sample, which is carried out in earlier formed stratum by kind of economic activity and size of enterprise (by number of employees). Sample, regardless all other pre-conditions, included general government sector enterprises (institutional sector classification code starts with S13).
When building the sample, population frame includes all statistical units meeting the description of the target population. Population frame was formed based on the information in Statistical Business Register. At the moment when the sample was formed, population frame consisted of 110 184 units (2 956 of which were surveyed with the full-scope survey and made the first part target population, 9 453 of which were surveyed with a sample survey and made the second part of the target population and 97 775 of which were not surveyed directly and made the third part of the target population). The sample size used consisted of 6 182 units (49.8 % out of the 12 409 frame units).
Target population group |
full-scope survey |
sample survey |
not surveyed, but imputed |
total |
State and local government budgetary institutions |
696 |
0 |
0 |
696 |
State and local government merchants – *SVTK code starts with 1 or 2, or 82 or 83 |
432 |
0 |
0 |
432 |
Private commercial companies – SVTK code does not start with 1 or 2, or 82 or 83, or third or fourth digit is not 71 or 77 and Individual merchants – third or fourth digit of SVTK code is 71 or 77 |
1793 |
9199 |
87101 |
98093 |
Peasant and fishermen farms |
7 |
0 |
0 |
7 |
Foundations, associations, funds |
28 |
254 |
10674 |
10956 |
total |
2956 |
9453 |
97775 |
110184 |
*SVTK – CSB typological classification of statistical units.
Calculation methods
Information was obtained from the statistical surveys every quarter in breakdown by months. Annual data are obtained by summing quarterly information received during the year. Information obtained from respondents is extrapolated using the weights set for the each sample unit. Report indicators multiplied with the weights firstly are summed at class (4-digit), group (3-digit), division (2-digit) and section (letter) level in compliance with the statistical Classification of Economic Activities NACE Rev. 2.
Wage and salary indicators are cover employees working time of which is registered and wages and salaries of which are calculated.
The average monthly gross (net) wages or salaries are calculated by dividing the gross (net) wage and salary fund by the average number employees in full-time units.
Average number of employees in full-time units is calculated separately for full-time and part-time employees, for whom wages and salaries were calculated, and result is summed. Out of the full-time employees only those who were not in labour relations for full month are recalculated in full-time units, and it is done by using information on hours paid of such employees indicated in the reports. Part-time employees in full-time units are recalculated as follows: number of hours paid of part-time employees is divided by number of hours paid of full-time employees, and the result is multiplied with the number of full-time employees.
The gross wage and salary fund includes basic wage and salary (monthly wage, post wage), remuneration for the time worked or the amount of work done, regular and irregular additional payments and bonuses, earnings related to over-time work, payment for the annual and supplementary vacations, additional payment for vacation, holiday allowances, compensation for the vacation not used, sick pay (medical certificate A), payment for other days not worked, social security compulsory contributions paid by employees and personal income tax, as well as labour remuneration subsidies.
Classifications
Data on monthly average and real wages and salaries are compiled, calculated and published by using:
- Statistical Classification of Economic Activities in the European Community, Rev. 2 (NACE Rev. 2);
- Classification of Administrative Territories and Territorial Units of the Republic of Latvia (CATTU);
- Classification of Institutional Sectors (only for data on wages and salaries).