The average hourly labour costs were estimated to be €23.1 in the EU27 business economy in 2011, and €27.6  in the euro area (EA17).

But they were estimated to be €12 in Malta, Eurostat said yesterday.

At €12, Malta’s average labour cost were on the same lines as Portugal, with only the Czech Republic, Slovakia, Estonia, Hungary, Poland, Latvia, Lithuania, Romania and Bulgaria being lower.

This average however masks significant differences between Member States, with hourly  labour costs ranging from €3.5 to €39.3. Labour costs are made up of costs for wages & salaries, plus non-wage  costs such as employer's social contributions.

In 2011, the highest hourly labour costs were estimated for Belgium (€39.3), Sweden (€39.1), Denmark (€38.6),  France (€34.2), Luxembourg (€33.7), the Netherlands (€31.1) and Germany (€30.1). The lowest hourly labour  costs were estimated for  Bulgaria (€3.5),  Romania (€4.2 in 2010),  Lithuania (€5.5) and  Latvia (€5.9). While  comparing labour cost estimates in euro over time, it should be noted that data for those Member States outside  the euro area are influenced by exchange rate movements.

These preliminary estimates for 2011, published by Eurostat, the statistical office of the European Union, cover  enterprises with more than 10 employees and are based on the 2008 Labour Cost Survey and the Labour Cost  Index.