Informations Rapides ·
13 December 2024 · n° 307
In Q3 2024, hourly wages increased by 2.8% over a year, hourly costs by 3.2% Labour cost index (LCI) - Detailed results - third quarter 2024
In Q3 2024, hourly wages increased by 0.8% over the quarter and by 2.8% over a year
In the third quarter of 2024, hourly wages in the non-agricultural market sector (excluding services to households) barely accelerated: +0.8% over the quarter, after +0.7% in the previous quarter (seasonally and trading day adjusted data).
Over a year, the wage growth decreased slightly: +2.8%, after +2.9% in the previous quarter. This was significantly less than the last peak reached at the end of 2022 (+5.4%). This slowdown was mainly due to the decline in inflation: the consumer price index rose by 1.7% over a year on average in the third quarter of 2024, after +2.2% in the previous quarter and +6.1% as its last peak reached in the fourth quarter of 2022. However, hourly wages had remained a bit more dynamic than prices since the beginning of 2024. The payments of Value Sharing Premium (PPV) were almost stable over a year: €450 million were paid to the employees in the third quarter of 2024, versus €460 million in the third quarter of 2023.
By sector, hourly wages accelerated in construction in the third quarter of 2024 (+3.2% over a year, after +2.7%), driven in particular by an increase in PPV payments over a year. In industry, wages rose at the same rate over a year than in the previous quarter (+3.3%), whereas they slowed slightly in services (+2.6%, after +2.7%).
tableauYear-on-year changes of LCI – hourly wages
| Total | Industry | Construction | Services | |
|---|---|---|---|---|
| 2024-Q3 | 2.8 | 3.3 | 3.2 | 2.6 |
| 2024-Q2 | 2.9 | 3.3 | 2.7 | 2.7 |
| 2024-Q1 | 2.9 | 2.9 | 2.3 | 2.9 |
| 2023-Q4 | 3.2 | 3.2 | 2.8 | 3.2 |
| 2023-Q3 | 4.2 | 4.5 | 3.8 | 4.1 |
| 2023-Q2 | 5.0 | 5.1 | 5.0 | 4.9 |
| 2023-Q1 | 4.2 | 4.2 | 5.0 | 4.1 |
| 2022-Q4 | 5.4 | 5.8 | 5.4 | 5.3 |
| 2022-Q3 | 3.9 | 3.4 | 4.4 | 4.0 |
| 2022-Q2 | 2.0 | 2.9 | 3.0 | 1.5 |
| 2022-Q1 | 2.5 | 3.2 | 2.8 | 2.2 |
| 2021-Q4 | 0.6 | 1.2 | 1.7 | 0.3 |
| 2021-Q3 | 1.5 | 1.6 | 2.1 | 1.3 |
| 2021-Q2 | -2.3 | -1.6 | -3.0 | -2.1 |
| 2021-Q1 | 2.4 | 1.3 | 1.2 | 3.3 |
| 2020-Q4 | 4.3 | 2.9 | 3.9 | 4.9 |
| 2020-Q3 | 3.0 | 2.3 | 2.5 | 3.5 |
| 2020-Q2 | 8.0 | 4.8 | 7.4 | 9.0 |
| 2020-Q1 | 2.2 | 1.6 | 1.8 | 2.3 |
| 2019-Q4 | 1.3 | 1.5 | 2.8 | 1.2 |
| 2019-Q3 | 1.7 | 1.7 | 2.7 | 1.7 |
| 2019-Q2 | 1.4 | 1.6 | 2.0 | 1.3 |
| 2019-Q1 | 2.4 | 2.7 | 4.4 | 2.1 |
| 2018-Q4 | 2.2 | 2.1 | 0.6 | 2.4 |
| 2018-Q3 | 1.9 | 1.8 | 2.2 | 1.9 |
| 2018-Q2 | 1.8 | 1.7 | 1.6 | 1.9 |
| 2018-Q1 | 1.6 | 2.1 | 0.7 | 1.6 |
| 2017-Q4 | 1.8 | 2.0 | 3.7 | 1.6 |
| 2017-Q3 | 1.5 | 2.3 | 2.3 | 1.3 |
| 2017-Q2 | 1.7 | 2.3 | 3.1 | 1.4 |
| 2017-Q1 | 1.3 | 1.7 | 2.2 | 1.1 |
| 2016-Q4 | 1.1 | 1.4 | 1.6 | 0.9 |
| 2016-Q3 | 1.3 | 1.5 | 2.5 | 1.1 |
| 2016-Q2 | 1.2 | 1.7 | 1.5 | 1.0 |
| 2016-Q1 | 1.6 | 1.9 | 2.4 | 1.4 |
| 2015-Q4 | 1.7 | 1.9 | 2.1 | 1.5 |
| 2015-Q3 | 1.4 | 1.6 | 1.0 | 1.2 |
| 2015-Q2 | 1.4 | 1.7 | 1.6 | 1.2 |
| 2015-Q1 | 1.3 | 1.8 | 1.2 | 1.1 |
| 2014-Q4 | 1.1 | 1.8 | 0.8 | 0.8 |
| 2014-Q3 | 1.4 | 1.6 | 0.8 | 1.3 |
| 2014-Q2 | 1.6 | 1.7 | 1.2 | 1.5 |
| 2014-Q1 | 2.2 | 2.2 | 2.5 | 2.1 |
| 2013-Q4 | 2.1 | 2.2 | 1.9 | 2.1 |
| 2013-Q3 | 2.3 | 2.6 | 2.1 | 2.1 |
| 2013-Q2 | 2.4 | 2.6 | 2.2 | 2.4 |
| 2013-Q1 | 2.1 | 1.9 | 1.3 | 2.2 |
| 2012-Q4 | 2.4 | 2.3 | 2.0 | 2.5 |
| 2012-Q3 | 2.4 | 2.6 | 2.3 | 2.4 |
| 2012-Q2 | 2.2 | 2.2 | 1.5 | 2.2 |
| 2012-Q1 | 1.8 | 2.6 | 1.0 | 1.6 |
graphiqueYear-on-year changes of LCI – hourly wages
- Scope: non-agricultural market sector excluding services to households.
- Source: URSSAF Caisse nationale, INSEE – Labour cost index (LCI), detailed results.
tableauChanges in LCI - hourly wages
| Quarterly variations | Yearly variations | |||
|---|---|---|---|---|
| Q2-24 | Q3-24 | Q2-24 | Q3-24 | |
| Industry | 0.5 | 1.2 | 3.3 | 3.3 |
| Mining and quarrying | 1.2 | -0.1 | 7.1 | 3.4 |
| Manufacturing | 0.5 | 1.1 | 3.6 | 3.2 |
| Electricity, gas, steam and air conditioning supply | 0.4 | 2.5 | -0.7 | 4.1 |
| Water supply; sewerage, waste management and remediation activities | 0.4 | 0.4 | 3.1 | 2.8 |
| Construction | 0.6 | 2.6 | 2.7 | 3.2 |
| Services | 0.7 | 0.4 | 2.7 | 2.6 |
| Wholesale and retail trade; repair of motor vehicles and motorcycles | 0.8 | 1.0 | 2.8 | 2.0 |
| Transportation and storage | 0.9 | 1.3 | 3.1 | 3.3 |
| Accommodation and food service activities | -0.5 | -0.1 | 2.2 | 2.1 |
| Information and communication | -0.2 | 1.8 | 2.2 | 2.5 |
| Financial and insurance activities | 0.0 | 1.1 | 3.2 | 3.9 |
| Real estate activities | 4.0 | -0.5 | -0.4 | -0.1 |
| Professional, scientific and technical activities | 0.4 | 1.1 | 2.6 | 2.7 |
| Administrative and support service activities | 1.7 | -1.9 | 2.7 | 2.7 |
| TOTAL | 0.7 | 0.8 | 2.9 | 2.8 |
- Scope: non-agricultural market sector excluding services to households.
- Source: URSSAF Caisse nationale, INSEE - Labour Cost Index (LCI), detailed results.
In Q3 2024, hourly labour costs increased by 0.6% over the quarter and by 3.2% over a year
In the third quarter of 2024, hourly labour costs in the non-agricultural market sector (excluding services to households) slowed slightly: +0.6% over the quarter, after +0.8% in the previous quarter.
Over a year, hourly labour costs also slowed: +3.2% in the third quarter of 2024, after +3.4% in the previous quarter. By sectors, hourly labour costs accelerated in construction in line with wages, whereas they slowed in industry and services. The rise in labour costs was higher than the rise in wages due to a clear downturn in exemptions of employers’ contributions, which fell back over a year in the second and third quarters of 2024, after a sharp increase due to successive reevaluations of the minimum wage since the end of 2021.
tableauYear-on-year changes of LCI – hourly costs
| Total | Industry | Services | Construction | |
|---|---|---|---|---|
| 2024-Q3 | 3.2 | 3.7 | 2.9 | 3.7 |
| 2024-Q2 | 3.4 | 3.9 | 3.2 | 3.2 |
| 2024-Q1 | 3.3 | 3.4 | 3.3 | 2.7 |
| 2023-Q4 | 3.3 | 3.5 | 3.3 | 2.7 |
| 2023-Q3 | 4.1 | 4.5 | 4.0 | 3.5 |
| 2023-Q2 | 4.5 | 4.5 | 4.5 | 4.1 |
| 2023-Q1 | 3.8 | 3.6 | 3.7 | 4.2 |
| 2022-Q4 | 4.9 | 5.0 | 4.9 | 4.2 |
| 2022-Q3 | 3.8 | 3.1 | 4.0 | 3.8 |
| 2022-Q2 | 2.0 | 2.9 | 1.5 | 3.0 |
| 2022-Q1 | 2.3 | 3.0 | 2.0 | 2.8 |
| 2021-Q4 | 0.4 | 0.9 | 0.2 | 1.1 |
| 2021-Q3 | 0.9 | 1.2 | 0.8 | 1.4 |
| 2021-Q2 | -2.8 | -2.0 | -2.4 | -4.5 |
| 2021-Q1 | 1.9 | 0.8 | 2.9 | -0.1 |
| 2020-Q4 | 3.5 | 2.5 | 3.9 | 3.3 |
| 2020-Q3 | 2.1 | 1.7 | 2.5 | 1.4 |
| 2020-Q2 | 7.2 | 4.4 | 8.0 | 7.3 |
| 2020-Q1 | 2.1 | 1.8 | 2.1 | 2.1 |
| 2019-Q4 | 1.0 | 1.5 | 0.8 | 1.8 |
| 2019-Q3 | 1.9 | 2.0 | 1.9 | 2.5 |
| 2019-Q2 | 1.6 | 2.0 | 1.6 | 1.9 |
| 2019-Q1 | 2.3 | 2.7 | 2.1 | 3.7 |
| 2018-Q4 | 3.0 | 2.9 | 3.4 | 1.1 |
| 2018-Q3 | 2.7 | 2.6 | 2.8 | 3.2 |
| 2018-Q2 | 2.6 | 2.4 | 2.8 | 2.4 |
| 2018-Q1 | 2.2 | 2.7 | 2.2 | 1.4 |
| 2017-Q4 | 1.6 | 1.9 | 1.4 | 4.0 |
| 2017-Q3 | 1.2 | 2.1 | 0.8 | 2.2 |
| 2017-Q2 | 1.3 | 2.1 | 0.9 | 3.0 |
| 2017-Q1 | 0.3 | 0.9 | -0.1 | 1.7 |
| 2016-Q4 | 0.7 | 0.8 | 0.5 | 1.9 |
| 2016-Q3 | 1.0 | 0.9 | 0.8 | 2.8 |
| 2016-Q2 | 1.0 | 1.1 | 0.8 | 1.9 |
| 2016-Q1 | 2.0 | 1.9 | 1.8 | 3.3 |
| 2015-Q4 | 1.0 | 1.3 | 0.8 | 1.3 |
| 2015-Q3 | 0.7 | 1.0 | 0.6 | 0.3 |
| 2015-Q2 | 0.8 | 1.1 | 0.5 | 0.9 |
| 2015-Q1 | 0.8 | 1.2 | 0.5 | 0.5 |
| 2014-Q4 | 0.1 | 0.8 | -0.2 | 0.0 |
| 2014-Q3 | 0.5 | 0.6 | 0.5 | -0.1 |
| 2014-Q2 | 0.7 | 0.7 | 0.7 | 0.3 |
| 2014-Q1 | 1.4 | 1.3 | 1.4 | 1.6 |
| 2013-Q4 | 0.4 | 0.3 | 0.4 | -0.1 |
| 2013-Q3 | 0.6 | 0.9 | 0.5 | 0.3 |
| 2013-Q2 | 0.6 | 0.7 | 0.5 | 0.1 |
| 2013-Q1 | 0.3 | 0.0 | 0.4 | -0.7 |
| 2012-Q4 | 2.1 | 2.3 | 2.1 | 1.9 |
| 2012-Q3 | 2.3 | 2.6 | 2.2 | 2.2 |
| 2012-Q2 | 2.2 | 2.4 | 2.2 | 1.7 |
| 2012-Q1 | 1.9 | 2.9 | 1.6 | 1.3 |
graphiqueYear-on-year changes of LCI – hourly costs
- Scope: non-agricultural market sector excluding services to households.
- Source: URSSAF Caisse nationale, INSEE – Labour cost index (LCI), detailed results.
tableauChanges in LCI - hourly costs
| Quarterly variations | Yearly variations | |||
|---|---|---|---|---|
| Q2-24 | Q3-24 | Q2-24 | Q3-24 | |
| Industry | 0.7 | 1.1 | 3.9 | 3.7 |
| Mining and quarrying | 1.4 | -0.1 | 7.8 | 4.0 |
| Manufacturing | 0.7 | 1.0 | 4.1 | 3.6 |
| Electricity, gas, steam and air conditioning supply | 0.4 | 2.4 | 0.5 | 4.2 |
| Water supply; sewerage, waste management and remediation activities | 0.5 | 0.3 | 3.6 | 3.3 |
| Construction | 0.8 | 2.3 | 3.2 | 3.7 |
| Services | 0.9 | 0.3 | 3.2 | 2.9 |
| Wholesale and retail trade; repair of motor vehicles and motorcycles | 0.9 | 0.8 | 3.3 | 2.3 |
| Transportation and storage | 1.3 | 1.3 | 3.8 | 4.0 |
| Accommodation and food service activities | -0.4 | -0.1 | 2.8 | 2.5 |
| Information and communication | -0.1 | 1.6 | 2.5 | 2.7 |
| Financial and insurance activities | 0.0 | 1.0 | 3.5 | 4.0 |
| Real estate activities | 4.1 | -0.6 | 0.0 | 0.3 |
| Professional, scientific and technical activities | 0.4 | 1.1 | 2.9 | 3.0 |
| Administrative and support service activities | 1.8 | -1.9 | 3.3 | 3.2 |
| TOTAL | 0.8 | 0.6 | 3.4 | 3.2 |
- Scope: non-agricultural market sector excluding services to households.
- Source: URSSAF Caisse nationale, INSEE - Labour Cost Index (LCI), detailed results.
LCI revisions
Compared to the flash estimate published on 14 November 2024, the year-on-year change in LCI - hourly wages in the non-agricultural market sector (excluding services to households) in the third quarter of 2024 was revised upwards by 0.1 points; the one in the LCI - hourly costs was revised upwards by 0,3 points. These revisions were the result of the integration of new information on the wage bill (in particular the inclusion of late administrative declarations), and on the amounts of exemptions of employer’s contributions.
Compared to the previous publication of detailed results on 13 September 2024, the year-on-year change in LCI - hourly wages in the non-agricultural market sector (excluding services to households) in the second quarter of 2024 was revised downwards by 0.1 points; the one in LCI - hourly costs remained unchanged.
For further information
Since December 2023, the results of the revised hourly labour cost index – All employees (ICHTrev-TS) are provided alongside this publication. The ICHTrev-TS is therefore now available approximately 75 days after the end of each quarter, rather than 100 days after. The methodological notes for this index are available in the “Documentation” tab, and the results can be consulted via the downloadable supplementary data file or the times series attached to this publication.
The ICHTrev-TS is primarily intended for users who need indicators of labour costs to upgrade their contracts. Therefore, this index (base 100 in December 2008) is not usually subject to any revision after publication. It is computed, every quarter, on the basis of data from the detailed results of the LCI then smoothed and made monthly to ensure less volatility. The choice of an index for the purpose of indexing a contract, or the appropriateness of temporarily deviating from the indexation rule provided for in a contract, is at the discretion of the contractors.
The ICHTrev-TS comprises a cost index and an employer contributions index. The latter measures changes in the variable “1 + rate of employer contributions”, where the rate of employer contributions is the percentage of employer social contributions and taxes minus subsidies based on wages and employment. Unlike the cost index, the employer contributions index is not made monthly (the three monthly values for the same quarter are identical).
Next publications :
Flash estimate of the fourth quarter of 2024: 14 February 2025 at 8:45 am.
Detailed results of the fourth quarter of 2024: 19 March 2025 at 8:45 am.
Pour en savoir plus
Since December 2023, the results of the revised hourly labour cost index – All employees (ICHTrev-TS) are provided alongside this publication. The ICHTrev-TS is therefore now available approximately 75 days after the end of each quarter, rather than 100 days after. The methodological notes for this index are available in the “Documentation” tab, and the results can be consulted via the downloadable supplementary data file or the times series attached to this publication.
The ICHTrev-TS is primarily intended for users who need indicators of labour costs to upgrade their contracts. Therefore, this index (base 100 in December 2008) is not usually subject to any revision after publication. It is computed, every quarter, on the basis of data from the detailed results of the LCI then smoothed and made monthly to ensure less volatility. The choice of an index for the purpose of indexing a contract, or the appropriateness of temporarily deviating from the indexation rule provided for in a contract, is at the discretion of the contractors.
The ICHTrev-TS comprises a cost index and an employer contributions index. The latter measures changes in the variable “1 + rate of employer contributions”, where the rate of employer contributions is the percentage of employer social contributions and taxes minus subsidies based on wages and employment. Unlike the cost index, the employer contributions index is not made monthly (the three monthly values for the same quarter are identical).
Next publications :
Flash estimate of the fourth quarter of 2024: 14 February 2025 at 8:45 am.
Detailed results of the fourth quarter of 2024: 19 March 2025 at 8:45 am.
Times series: Labour cost index - Base 2020
Times series: Revised Hourly Labour Cost Index - All employees (ICHTrev-TS)
Informations Rapides: Labour cost index (LCI) – Flash Estimate