A few days ago, “World of statistics” published data on salary growth at the global level, and the first two places were occupied by Serbia and Bosnia and Herzegovina.
According to data related to December 2022, the nominal salary growth of neighbors was 15.2 percent, which is the highest in the world.
In Bosnia and Herzegovina, salaries in December last year were higher by 14.86 percent.
In this way, Bosnia and Herzegovina left behind Portugal (14.2 percent), Belarus (13.2 percent), Romania (13 percent) and Poland (12.6 percent) in this parameter.
Croatia and Slovenia were also left behind, where December salaries were higher by 11.8 percent and 10.66, respectively. According to these data, even the United States of America remained behind Bosnia and Herzegovina, where wages increased by 7.04 percent.
These data are accompanied by information from the BiH Statistics Agency, which says that in the first quarter of 2023 (January, February and March) the average gross salary per employee in Bosnia and Herzegovina compared to the fourth quarter of 2022 (October, November , December) was higher by 83 BAM. More precisely, from 1,806 KM, it increased to 1,889 BAM, which is 4.6 percent.
Also, there was an increase in the net salary for March this year compared to February by 3.6 percent, so the average salary paid in March amounted to 1,260 BAM.
The Agency also states that the average monthly net salary paid for March 2023 compared to March 2022 is nominally higher by 15.4 percent, but that its real index is 4.6 percent.
For those who deal with statistics, this is great data. However, the reality in Bosnia and Herzegovina is far from this picture. The profession is clear on this issue and says that the data has no relation to reality.
“In the conditions of an inflationary wave, all statistical data lose their relevance, and even the economic indicators shown in those data obscure reality to a good extent. The waves of inflationary shocks in these regions have reached serious heights, the highest since the crisis and war nineties. This applies to Serbia and Bosnia and Herzegovina. Inflation rates in Bosnia and Herzegovina last year were over 16 percent, in Serbia slightly above 14 percent. Just a cursory look at these amounts and wage growth rates will show that there was no real income growth in any country,” he explains. economist Milenko Stanić.
He continues that if we take into account that the prices of food and utilities increased the most, almost 30 percent, and that these products participate in the consumer basket by over 90 percent, it is clear that there was no real increase in wages, on the contrary.
“We had a decline in population standards. The statistics do not take that structure of the consumer basket into account, but stick to the average. That’s why we have inaccurate data,” Stanić claims, adding that a serious analysis is lacking in this case.
“I almost read an analysis of real wage growth in the United States of America which showed that from 1970 to today there was no real wage growth in this country, but a decline. All increases were eaten up by inflation. You can imagine if such a analysis of what the result would be,” Stanić told “Nezavisne novine”.
Consumers say that the real situation can really be seen on the shopping basket.
“The amount of the consumer basket is over 3,000 BAM. Two average salaries cannot settle that amount. That tells you the best how much it is worth,” Marin Bago, president of the “Futura” consumer association from Mostar, told Marin Bago.
According to him, even in the most ideal situation, which is that both parents work and have average salaries, they cannot meet all monthly obligations.
“They still lack a thousand marks, and they have to do everything they can to ensure that the family survives the month normally and with dignity. So, even with two salaries, they have to give up quality food, education, hygiene and other things,” said Bago.
