Page 28 - UKRRptJun20

The largest nominal average wage decline was in hospitality and restaurant services (-46.4%), real estate services (-13.1% y/y), and information and telecommunication services (-10.7% y/y). Within the industrial sector, the highest decline of nominal wages was in the textile industry (-31.6% y/y), machinery (-16.1% y/y), and furniture manufacturing (-13.9% y/y).
Meanwhile, nominal wages jumped the most in electricity and gas distribution (14.5% y/y), water utilities (12.8% y/y), and coke and oil production (7.5% y/y).
The average income in Ukraine has been rising steadily in recent years
and rose from a mere UAH6.659 ($221) in January 2017 – making Ukrainians the poorest people in Europe – to almost double to UAH10.727 ($439) this January. A feel-good factor was starting to kick in as in parallel to steadily rising incomes inflation fell fast thanks to the prudent management of the National Bank of Ukraine (NBU) that meant the money went even further.
Incomes reached UAH10.847 ($441) in February, but in March the effects of the mounting oil price and coronavirus (COVID-19) crises were already starting to make themselves felt. By March despite nominal wages rising to over 11,000 for the first time (UAH11,446) the dollar value fell to $412 that month.
But much will depend on how quickly the economy can be restarted following the month and half lockdown and also how many of the migrant workers leave to look for employment in the neighbouring countries. Nearly half a million workers had registered as out of work as of the end of May according to the labour ministry, but at the same time employers in Poland and Germany are getting increasingly desperate for the return of seasonal workers that will alleviate the unemployment pressure if most leave again.
28​ UKRAINE Country Report​ June 2020 ​ ​www.intellinews.com