Good figures are emerging: in 2011 real wages increased substantially by 6 percent
It has been a sign of the success of reform that in spite of tough market conditions in 2011 labour market indicators changed favorably after the proportionate flat-rate tax had been implemented. According to the data from the Central Statistical Office, in 2011 average net wages increased by 9.9 percent in the national economy in comparison to the previous year, which corresponds to a 5.8 percent real wage growth at an inflation rate of 3.9 percent.
As far as the incomes of families are concerned, figures have been even more encouraging. As a result of the family tax benefits which the proportionate flat-rate tax system includes the real incomes for families with three or more children have risen strikingly and was precisely 19 percent higher than in 2010.
(Ministry for National Economy)