In 2024, labor costs in the European Union averaged €33.5 per hour, while in the eurozone countries, the average was €37.3 per hour, according to Eurostat's latest data. This represents an increase from 2023 when labor costs were €31.9 per hour in the EU and €35.7 per hour in the eurozone.

Bulgaria recorded the lowest labor costs in the EU, at just €10.6 per hour, followed by Romania at €12.5 and Hungary at €14.1. On the other end of the spectrum, Luxembourg had the highest labor costs in the EU at €55.2 per hour, with Denmark at €50.1 and Belgium at €48.2.

The data from Eurostat also divides labor costs into wages and salaries and "accompanying costs," which include social security, pension, and health contributions. In the EU, "accompanying costs" made up 24.7% of total labor costs, while in the euro area, this figure was slightly higher at 25.5%.

Labor costs were highest in the industrial sector, averaging €33.9 per hour in the EU and €39.8 in the eurozone. In construction, the costs were €30 per hour in the EU and €33.4 in the eurozone. The services sector saw labor costs of €33.3 per hour in the EU and €36.4 in the eurozone.

Across the EU, labor costs rose in 2024, with the largest increases observed in Croatia and Romania, both seeing a 14.2% rise. Bulgaria also saw a significant increase of 13.9%, followed by Hungary at 13.6% and Poland at 12.8%. The smallest increases were recorded in Belgium (2.4%), Luxembourg (2.1%), and Finland (1.8%).

As a result of these increases, Bulgaria moved up one position in the rankings, from fourth place in 2023, when it had experienced a 14% rise in labor costs.