SWITZERLAND DATA
The SNB has introduced a new monthly wage growth measure, which stands at broadly around +1.9% Y/Y in August.
- The measure shows the "median year-on-year growth rate across all wage relations identified", and is based on "anonymised transaction data from the Swiss Interbank Clearing (SIC) payment system".
- Former SNB President Jordan has previously mentioned that Swiss wage growth is compatible with the SNB's inflation target (which has an upper threshold of 2%) and the new data does not call this into question. The timing of the release shortly after the last SNB meeting (our review here: https://roar-assets-auto.rbl.ms/files/67708/SNBReview-2024-09.pdf) suggests that the SNB does not want to send a policy signal with the data.
- Even though the SNB notes that it "aligns well" with other national measures of wage growth, to us it appears that it is running a bit higher than the official Swiss quarterly nominal wage index (see lower chart). Although note that there are methodological differences and the new measure reports median wages instead of average wages.
- An up to date time series appears to not be published yet but we will cover on a regular basis once available.
- For the note introducing the new measure, see https://www.snb.ch/en/publications/research/economic-notes/2024/economic_note_2024_02
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