The Turkish Statistical Institute (TurkStat) announced on Friday that Türkiye’s employment index increased by 2.6% annually in the fourth quarter of 2024, reflecting growth in key economic sectors despite fluctuations in working hours.

The construction sector led with a 5.7% increase, followed by trade-services at 4%, while the industrial sector saw a decline of 0.8%.

Despite the rise in employment, the hours worked index edged down by 0.3% annually. The industrial sector recorded the steepest drop at 3.8%, offset by a modest 0.3% rise in construction and a 1.7% increase in trade-services. On a quarterly basis, hours worked rose by 1.3%, with trade-services up 2.3%, industry gaining 0.2%, and construction dipping 0.7%.

Wage growth outpaced other metrics, with the gross wages-salaries index soaring 72.7% year-on-year. The trade-services sector saw the highest increase at 74.6%, followed by industry at 70.4% and construction at 69.2%. Quarterly wage growth was also robust at 11.7%, with industry leading at 12.6%.

Labour costs spiked significantly, with the hourly labour cost index up 75.6% annually—industry jumped 80.9%, construction 69.8%, and trade-services 73.6%. Hourly earnings rose 73.1% year-on-year, while hourly labour costs excluding earnings surged 88.5%, with industry nearing a 100% increase. Quarterly labour cost indices showed a more moderate rise, with hourly labour costs and earnings both up 10.3%.

The data reflects a mixed labour market picture for Türkiye in late 2024, with strong wage growth and employment gains tempered by declines in industrial activity and hours worked. (ILKHA)