Inflation and wages in 2022

Report: Inflation and wages in 2022

Based on the original predictions, most companies were looking to increase wages by an average of 6% for 2022. The speed at which inflation rose towards the end of 2021 due to the unexpected energy crisis was further amplified by the events of February 2022 - the invasion of Ukraine and the associated rise in the prices of goods and commodities, especially oil and gas, and the sharp rise in food prices.

Given these circumstances, it is understandable that the labour market, and more specifically potential job seekers, reacted to this situation. The hard-won willingness of candidates in 2021 to change jobs in the “post-Covid” era has once again diminished.

At the beginning of this year, this trend was not so noticeable, but as time went on and it became clear that the problem of high inflation would not be short-term, applicants began to increase their wage demands. This is confirmed by 70% of employers who took part in our May 2022 survey.

The survey involved 417 companies operating mainly in Prague (72%), with 28% of respondents from other regions of the Czech Republic.

You can download the full report here and get more detailed information and updated estimate on skilled professions wage growth for 2022.