How Ukrainians earn: how the rising average wages and prices in Ukraine

Ukraine entered the top ten most “poor countries” according to financial publication Bloomberg. The real incomes of Ukrainians for several years, was significantly reduced inflation overtook the rate of growth of income. Faster during this period increased the cost of utilities. If in 2012 the Ukrainian family gave for utilities 16% of the average wage, in 2017 the average bills for communal made up 33% of the average wage. Sociologists note: 30% of Ukrainians actually live below the poverty line, with poverty have affected not only the retirees and working. The website “Today” figured out how to change the income and expenses of Ukrainians for the last six years.

What Ukrainians live

At the moment the average salary in Ukraine – 5406 hryvnia. Least get the people of the Ternopil region (4641 UAH) and the championship in the level of earnings have traditionally occupied Kiev – 9292 hryvnia. According to the survey portal rabota.ua that extra money found only 32% of Ukrainians. The majority of the additional work brings only 30% of main income. Every fifth managed to earn up to 50% of basic income, laboring “on the side” and only 2% of survey participants doubled their income thanks to the combination of the main and additional jobs.

According to official statistics, over six years, the average salary in Ukraine has increased from 3098 to 5406 hryvnia. At the same time, the average pension in Ukraine for 2012 has increased from 1245 until 1828 UAH.

Senior analyst “Alpari” Vadim Iosub notes: statistics take into account only the official income of Ukrainians, while according to tax specialists, 60% of employers a portion of wages paid “in envelopes”.

“Of course, statistics on the average nominal and real wages takes into account only “white” incomes. And taking into account the wages “in envelopes” income of Ukrainians is higher than the official statistics. However, the “gray” income is distributed among workers is very uneven, therefore, to assess the income from them is almost impossible,” explains the analyst.

“Of course, statistics on the average nominal and real wages takes into account only “white” incomes. And taking into account the wages “in envelopes” income of Ukrainians is higher than the official statistics. However, the “gray” income is distributed among workers is very uneven, therefore, to assess the income from them is almost impossible,” explains the analyst.

The minimum salary of 3,200 hryvnia, according to the Ministry of social policy, such income declare 40% of employed Ukrainians. To the income returned at least to the figure of 2014, economists explain, at current prices, the average salary should be 50% higher. So, from 2014, the year prices rose by at least 81%, and social standards is only 36%.

As told by the main countries demographer Ella Libanova, 30% of Ukrainians live below the poverty line. “We have widespread poverty of working people. And this applies to people of high qualification doctors, scientists, teachers. People with high educational level are really poor,” says a scientist.

“We have widespread poverty of working people. And this applies to people of high qualification doctors, scientists, teachers. People with high educational level are really poor,” says a scientist.

How changing the cost structure of the

In 2012, according to the State statistics service, the Ukrainians gave utilities an average of 16% of salary. The amount of the payment at that time reached 502 hryvnia, at the same time the average salary was at the level of 3098 USD.

In January 2017 the average bills for communal 1807,9 reached UAH (33% of the average wage), this is a record in the history of Ukraine money. However, in the structure of population expenditures utilities is less than 10%, this is due to the fact that every second family has issued a grant.

The system of subsidies, explained in the Cabinet to protect the Ukrainian population from the high payment and the full amount pay only Ukrainians with a relatively high income. To learn about how varied the amounts in the payment since 2012, after reviewing the infographic:

After 2014, Ukrainians rose not only communal. CENES in Ukraine for several years has increased 1.8 times in 2014 to 25%, and in 2015 – by 43.3%, and in 2016-m – 12.4%. As a result of inflation change in the structure of consumer basket of Ukrainians, says the Executive Director of the International Fund blazer Oleg Ustenko. If earlier 50-55% of income a family spent on food, at this point, the expert believes, up to 85% of the income of Ukrainians of minimum wages is spent on food, the rest is on bills.

“Those who have minimum income, the consumer basket is divided into two large groups: utilities and food. They receive subsidies, have the opportunity to receive a subsidy. I would assume that the consumer basket of the poor Ukrainians, who receives a subsidy is: 85% of their income a family spends on food, the rest is “communal”, – said the Executive Director of the Blazer.

“Those who have minimum income, the consumer basket is divided into two large groups: utilities and food. They receive subsidies, have the opportunity to receive a subsidy. I would assume that the consumer basket of the poor Ukrainians, who receives a subsidy is: 85% of their income a family spends on food, the rest is “communal”, – said the Executive Director of the Blazer.

The poorer Ukrainians, the harder it “hits” on their budget inflation. So, the inflation rate is considered for all groups of goods approved by the Cabinet of Ministers of the consumer basket (more than 2000 items). Those whose diet is limited to the most necessary products (some of which with 2014 the year rose by 300%), can spend on products in 2 times more than three years ago.

By the way, this year, according to the plans of the Cabinet, the increase of social standards will outpace the rate of inflation. So, in the beginning of the year the minimum wage raised twice, and during the year the pension and the subsistence minimum will increase by 10.1%. In this case, scheduled for 2017-the year the inflation rate is only 8.1%.

Comments

comments