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Public wage and pension indexation in the euro area

Author

Listed:
  • Checherita-Westphal, Cristina

Abstract

This box reviews indexation schemes and other mechanisms for setting public wages and pensions across euro area countries. It concludes that price indexation of public wages is relatively limited, while public pensions are overwhelmingly automatically indexed, fully or partially, to prices and wages. JEL Classification: E62, J3, H55

Suggested Citation

  • Checherita-Westphal, Cristina, 2022. "Public wage and pension indexation in the euro area," Economic Bulletin Boxes, European Central Bank, vol. 1.
    • Handle: RePEc:ecb:ecbbox:2022:0001:8
    Note: 1790315
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    File URL: https://www.ecb.europa.eu//pub/economic-bulletin/focus/2022/html/ecb.ebbox202201_08~ac43e1199c.en.html
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    Citations

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    Cited by:

    1. Bańkowski, Krzysztof & Checherita-Westphal, Cristina & Jesionek, Julia & Muggenthaler, Philip & Frutos, Mario Alloza & Avgousti, Aristoklis & Briodeau, Clémence & Brusbārde, Baiba & Caprioli, Francesc, 2023. "The effects of high inflation on public finances in the euro area," Occasional Paper Series 332, European Central Bank.
    2. Simonovits, András, 2023. "Változó infláció és a nyugdíjak - Magyarország, 2010-2023 [Varying Inflation and Public Pensions: The Case of Hungary, 2010-2023]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(4), pages 381-397.
    3. András Simonovits, 2023. "Unexpected inflation and public pensions: the case of Hungary," Public Sector Economics, Institute of Public Finance, vol. 47(4), pages 505-520.
    4. Pallotti, Filippo & Paz-Pardo, Gonzalo & Slacalek, Jiri & Tristani, Oreste & Violante, Giovanni L., 2023. "Who bears the costs of inflation? Euro area households and the 2021–2022 shock," Working Paper Series 2877, European Central Bank.

    More about this item

    Keywords

    Fiscal Policy; Fiscal projections; Public wage and pensions;
    All these keywords.

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions

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