Do you earn more or less than the average in France?

Do you earn about 2,000 euros a month? So you are average. In fact, every second Frenchman earns less than 2005 euros net per month, according to a study by the National Institute of Statistics and Economic Research (Insee), published on April 26, which highlights the average salary of French people in 2020. Thus, the average net monthly wage (before tax) in the private sector was 2005, which is 2.7% more than a year.

But behind this figure lies greater complexity. Thus, according to the INSEE study, about 80% of workers receive from the minimum wage (1219 euros) to 3400 euros per month. In detail, every tenth employee earns less than 1,343 euros net per month, and every tenth receives more than 4,033 euros.

“Wages are constantly rising. Minimum wages play an important role in this, as they are the basis for collective bargaining, ”said Clemence Berson, a labor economics researcher at the Interdisciplinary Public Policy Evaluation Laboratory (LIEPP): the Science Po research platform.

Wage development, which varies depending on the profession

If we take into account this time the average salary, not the median, it is set for 2020 at 2518 euros net per month for full employment in the private sector. Thus, in the context of inflation, wages increased by an average of 3.2% per year. But we will not rejoice so quickly. These figures are “due to temporary changes in employment due to the health crisis, rather than individual wage increases,” writes INSEE.

During the health crisis, the least skilled (and low-paid) jobs suffered the most from these job changes. The people most prone to partial unemployment were in fact employees and workers who were actually less favorable to telecommuting than managers. “The lowest paid jobs are either suspended or reclassified as partial unemployment. As a result, only the highest paid employees remained in the business; this is called the composition effect, ”explains Clemence Berson, noting that this study excludes part-time work and, consequently, the lowest paid work.

Thus, in 2020, wages increased differently by socio-professional categories (NGN): + 2% for managers, + 1.9% for employees, + 1.4% for intermediate professions and + 0.7% for workers. But the average monthly net wage also varies depending on the field of activity: for example, it was 2,773 euros in industry, 2,275 euros in construction and 2,485 euros in the tertiary sector.

And it is obvious that the more leaders in the industry, the higher the average salary. Thus, finances amounted to 3,750 euros, information and communication – 3,583 euros, and in science and technology (where more employees) – 1681 euros.

Women are still big losers, but there are better ones

If we prefer to refer to the average net hourly wage, the latter is € 16.30 for the entire private sector in 2020; ie an increase of 3.6% compared to 2019. Again, the differences differ according to the CSP: “These executives, on average € 28.30 net, are about 2.5 times higher than employees (€ 11.6) and workers (€ 12),” INSEE reported. his research.

And this general upward trend should continue or even increase due to inflation and automatic growth Smic: “Recently, the increase occurred on May 1. The Banque de France estimates that wages will increase by about 3.5% in 2022, ”warns Clemence Berson.

Note that inequality persists and that women still earn less than men: 15.2% less that year, writes INSEE. “This gap has decreased by 0.9 points compared to 2019 and by 5.7 points since 2008,” adds INSEE.

This very small reduction in the pay gap between men and women in 2020 “is partly due to the payment of bonuses to Pepa (the purchasing power bonus known as the ‘Macron bonus’) and Covid, which has brought more benefits to women.”

Thus, the average net monthly salary in the private sector is 1,881 euros for women, while for men – 2,101 euros; the difference is 220 euros per month.

Source of infographics: Capital

And the higher the wages, the greater the gap: 1% of men working in the private sector earn more than € 10,847 per month, compared to € 7,698 for 1% of women who are paid the best in the private sector. The latter account for only 21.3% of the 1% of the highest paid employees against 41.6% of all private sector employees …

“Women work in lower-paid jobs, with atypical and low-skilled working days. But we see that even if there are many initiatives, a man earns more than a woman for equal positions and skills… And this gap is not narrowing, ”warns the labor market segmentation specialist.