Not only wedge, companies can do more to raise wages

“Sooner or later resistance will have to be overcome because offering higher salaries will be the only way to counter the shortage of personnel”, says Lucio Poma, who has been monitoring the performance of over two thousand companies for years

“Italian companies are not increasing wages, but they should do so because the country is doing well and logistical and energy obstacles have practically been overcome. However, there is a fear in the manufacturing chains that the international scenario will turn upside down again, in short, there is still uncertainty. But sooner or later they will have to overcome this resistance because offering higher wages will be the only way to counter the phenomenon of personnel shortages”. Lucio Pomachief economist of Nomisma and professor at the University of Ferrara, is convinced that the current economic context, which is significantly improving, represents a good reason why companies should take responsibility for an improvement in the living conditions of workers that goes beyond bonuses and press lump sum. In short, we are talking about strengthening the paycheck, raising the Ral, gross annual salaries. “Increasing wages means for a company to give up a part of its profits, which is different from reducing the tax wedge that is borne by the state and different from granting sporadic albeit substantial bonuses”, he adds, recalling the problems that the productive world has had deal with the pandemic and the war in Ukraine. “Now, however, conditions have changed, companies competing for qualified personnel at various levels. What does it mean except that the economic situation has improved? On the other hand, the business confidence index weakened in May: it is the sign that there is still uncertainty in the air”.