HomeEconomyInflation, salary increases... What French companies plan for 2023

Inflation, salary increases… What French companies plan for 2023

Questioned by the Banque de France, business leaders estimate that the increase in consumer prices will remain high, at 6%, by the end of 2023. At the same time, half of them plan to increase wages by at least less than one 4 %.

At 6.2% in November for a year, French inflation stabilized although it remained at a particularly high level. A situation not escaped by companies that, questioned by the Banque de France, only slightly overestimate the level of price increases.

Half of the 1,700 leaders surveyed between the end of November and the beginning of December by the institution believe that inflation exceeds 6.5% in France in the last quarter of 2022, when the other half believes that it is lower. This feeling of inflation was 6% in the third quarter.

They also raised their inflation expectations for next year: while they had expected 5% in the third quarter, they now estimate that prices will have risen 6% by the end of 2023 compared to today. Finally, business inflation expectations for 3-5 years remain at 3%.

An average salary increase of 4% before the end of 2023

If they anticipate a rise in consumer prices of 6% in the next twelve months, employers do not plan to increase wages in the same proportions. In contrast, the managers interviewed count on an average increase in base salaries (gross, excluding bonuses and overtime) of 4% over a year.

However, it is more than at the beginning of 2022, when they foresee salary increases of 2.8% year-on-year in the first quarter and 3% in the second.

Author: Paul-Louis
Source: BFM TV

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