Hourly labor costs in Cyprus rose 2.7% in the fourth quarter of 2025 compared with the same period a year earlier, according to preliminary figures released by the Statistical Service.
Both components of the index increased: wages and salaries per hour were up 2.7%, while non‑wage costs — including employer social‑insurance contributions and taxes minus subsidies — rose 2.9%.
Seasonally adjusted, total hourly labor costs increased 0.7% from the previous quarter, with wages and non‑wage costs showing the same quarterly rise.
The Labor Cost Index is one of the EU’s key indicators for assessing potential inflationary pressure stemming from labor‑market developments.