In 2024 and 2025, the ECB anticipates wage growth in the euro zone to outpace inflation, recouping a portion of the ground lost to soaring prices over the previous two years.

However, this will not be the case for the 4,500 employees of the ECB.

In order to compensate employees for an estimated 5.3% inflation rate this year, the ECB has provided staff with a preliminary figure indicating a 3.6% pay increase in January. The central bank's most recent projections, which place price growth at 4.3% in 2024, support this estimate.

As calculated by ECB staff representatives, this amounted to an 8.4% loss in purchasing power for the central bankers of the euro zone, following two years of below-inflation increases.

Staff representative Carlos Bowles told Reuters, "Initially, we were advised to exercise patience as the inflation was only temporary; subsequently, there would be a salary catch-up." "None of these two promises materialised so far and this is severely damaging staff trust towards ECB's leadership."

"Salary increases always contain a lag to smooth the cycle...due to the method by which they are calculated," according to an ECB spokesperson.

The European Central Bank (ECB), the European Commission, the European Investment Bank, and the Bank for International Settlements all set wages in accordance with the 20 national central banks of the euro zone. The ECB, according to the spokesperson, is "currently reviewing this method."

Regarding the increase from the previous year, the IPSO trade union intends to sue the central bank in court, having questioned that system.

Initially underestimating a surge in inflation, the ECB shifted the focus of its public communications from profits to wages as the primary driver of prices. However, in response to a Reuters article earlier this year, the ECB acknowledged the significance of profits in driving prices.

Annual salaries at the ECB range from a minimum of 38,868 euros ($41,200) to a maximum of 303,324 euros, allowances included.