Central Banks

Key ECB Measure of Wage Growth Slows Before Likely Rate Cut

  • Compensation per employee rose 4.3% in second quarter
  • Officials are seeking evidence that price pressures are fading
Photographer: Krisztian Bocsi/Bloomberg
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A key measure of euro-zone wage growth eased — providing further assurance to European Central Bank officials seeking to lower interest rates next week.

Compensation per employee rose by 4.3% in the second quarter — down from 4.8% in the first three months of the year, according to calculations by Bloomberg Economics based on Eurostat data published Friday. In June, the ECB had predicted pay growth of 5.1% for the period.