Inflation & Prices

ECB’s Preferred Pay Gauge Accelerates in New Inflation Warning

  • Pay per employee rose 5.1% in first quarter from year earlier
  • Officials are wary about committing to further rate cuts
Lagarde: Can't Confirm ECB Moving to Dialing-Back Phase
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The European Central Bank’s preferred measure of euro-zone pay showed acceleration at the start of 2024, in the latest sign that price pressures in the region are proving stubborn.

Compensation per employee rose by 5.1% from a year ago in the first quarter, up from a revised 4.9% in the previous three months, ECB data showed Friday. That exceeded a Bloomberg Economics forecast of 4.6%.