This is consistent with survey evidence collected by the Central Bank, which showed that the majority of workers expected wages to increase by less than inflation during 2022.22 Despite considerable uncertainty in the economic outlook for the euro area, nominal wages are projected to grow at around double historical rates, of 4.0%, 4.8% and 4.0% between 2022 and 2024.
Emphasising the scale of the challenge facing both workers and firms in adjusting to the price shock, in both the Ireland and the euro area cumulative real wage  growth is still projected to negative (on average) by 2024: around minus 3% in both cases. How do these projections compare up with the latest data?