Analysis-East Europe’s next inflation problem: wages racing with prices

The News Craving

Published by
Reuters

By Gergely Szakacs BUDAPEST (Reuters) – With prices surging, 24-year-old Noemi Turi presented her employer in Budapest with a pay request 16% above what she considered acceptable just a few months ago as double-digit inflation across East Europe fuels wage demands. The small business, where the Hungarian university student works as a social media manager and copywriter, granted her nearly the entire desired amount. “I was in a good bargaining position as management knows exactly what everything costs these days,” Turi said. “They knew I did not quote this figure on a whim.” She said living fro…

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