Breaking news

Eurostat Data Highlights Steady Rise in Labor Costs Across the EU With Cyprus Tracking the Trend

Overview of Rising Labor Costs in Europe

New figures released by Eurostat reveal that Cyprus experienced a 3.5% increase in hourly wage costs during the third quarter of 2025—a trend that mirrors broader labor cost pressures across the euro area and the European Union. In the same period, the euro area and the EU recorded increases of 3.3% and 3.7% respectively, underscoring a sustained upward trajectory amid economic uncertainty.

Detailed Analysis of Wage and Non-Wage Components

The comprehensive report details that total labor costs comprise two primary components: wages and salaries, alongside non-wage expenses such as social contributions. Specifically, wages and salaries in the euro area rose by 3.0% in Q3 2025, while non-wage costs surged by 4.0%, suggesting that employers are facing considerable pressure from ancillary expenses. Across the EU, hourly wages increased by 3.5%, with non-wage costs climbing by 4.2%.

Sectoral and Economic Impact

Examining economic activity, the analysis differentiates between the mainly non-business and business economies. In the euro area, hourly labor costs advanced by 3.1% in the non-business sector and by 3.3% in the business sector. Detailed figures show that within the business economy, the industrial sector experienced a 3.3% rise, construction led with a 4.3% jump, and services increased by 3.2%. Similar trends were observed across the broader EU, where non-business sectors saw a 3.4% rise compared to a 3.8% increase in the business segment.

Country and Sector Comparisons

At the country level, some EU member states reported notably higher increases in hourly wage costs. Bulgaria, Lithuania, Croatia, and Hungary recorded increases of 12.4%, 9.7%, 9.1%, and 8.8% respectively, compared with minimal rises in France (1.3%), Slovenia (1.6%), Spain (2.0%), Austria (2.1%), and Italy (2.4%). Notably, Malta was the only country to observe a decline, with costs decreasing by 1.4%.

Sectoral analysis further reveals that within the EU, hourly wage costs surged most substantially in other service activities (4.5%) and also saw significant increases in construction and professional, scientific, and technical activities (both at 4.3%). Conversely, the energy supply sector experienced the smallest increase at 2.5%, while non-wage costs spiked dramatically in construction by 5.8%.

Conclusion

The consistent rise in labor costs across the European landscape, as illustrated by the recent Eurostat data, underscores an environment of escalating employee compensation demands. For Cyprus, with its 3.5% increase, the trend reflects moderate but persistent cost pressures—a dynamic that will undoubtedly influence both employer strategies and broader economic policies across the region.

SEC Drops Lawsuit Against Gemini: A Major Turning Point In Crypto Regulation

SEC Dismisses Legal Action Against Gemini

The Securities and Exchange Commission has formally withdrawn its lawsuit against Gemini, the prominent crypto exchange founded by twins Cameron and Tyler Winklevoss. The move follows a joint court filing in which both the regulator and Gemini sought dismissal of the case that centered on the collapse of the Gemini Earn investment product, a debacle that left investors without access to their funds for 18 months.

Settlement And Regulatory Reassessment

In a significant development, a 2024 settlement between New York and Gemini ensured that investors recovered one hundred percent of their crypto assets loaned through the Gemini Earn program. The legal reprieve comes on the heels of actions initiated by New York Attorney General Letitia James, who accused Gemini of defrauding investors.

Political Backdrop And Industry Implications

This dismissal reinforces a broader trend of regulatory leniency toward the crypto sector noted during the Trump administration, which saw the SEC dismiss, pause, or reduce penalties in more than 60 percent of its pending crypto lawsuits. Meanwhile, Gemini’s recent public offering filing underscores its ambitions to solidify its status as a major player in the evolving digital asset market.

eCredo
Aretilaw firm
Uol
The Future Forbes Realty Global Properties

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter