1. Home
  2. Studies
  3. International Comparison of Labor Costs in Manufacturing
Christoph Schröder IW-Trends No. 4 25. December 2011 International Comparison of Labor Costs in Manufacturing
International Comparison of Labor Costs in Manufacturing
Christoph Schröder IW-Trends No. 4 25. December 2011

International Comparison of Labor Costs in Manufacturing

Share this article:

or copy the following link:

The link was added to your clipboard!

In 2010, average hourly labor costs in the West German industry amounted to 36.28 euro. This was 25 percent above the average of the countries compared excluding the new member countries of the EU and other emerging countries. Only in some small countries – Norway, Switzerland, Belgium, Sweden and Denmark – labor costs were still higher. In spite of this, favorable exchange rates in the second half of the 1990s and improved cost discipline in the new millennium have reduced Germany’s cost disadvantage considerably since 1995, especially in comparison with the other EU countries. The gap between labor costs in West and East Germany hovers at 40 percent because the growth rate of labor costs in East Germany was only 0.2 percentage points higher than the West German rate over the past decade.

Share this article:

or copy the following link:

The link was added to your clipboard!

More on the topic

Read the article
The Costs and Benefits of Continuing Further Training
Susanne Seyda / Beate Placke IW-Trends No. 4 4. December 2017

The 9th IW Survey of Further Training

In 2016 some 85 per cent of companies in Germany were active in continuing vocational training, using a broad mix of methods.

IW

Read the article
IW Research Group Macroeconomic Analysis and Forecast IW-Trends No. 4 27. November 2017

Has the German Economy Reached its Limit?: Skilled Labour Shortages as a Brake on Growth

The German economy is performing significantly better than was expected in the first few months of this year. During the course of 2017, certain early fears – especially of a weakening of the global economy due to increasing protectionism – have proved ...

IW

Content element with id 8880 Content element with id 9713