Istat, the collapse of purchasing power: real wages of 10.5% in 5 years. And 80% of the new employees are over 50

Real wages have lost 10.5% of purchasing power, between 2019 and 2024, due to the strong growth of prices. To photograph the situation is the Annual 2025 report of the Istat on the situation in the country, presented on May 21 by President Francesco Maria Chelli in Montecitorio. The loss of purchasing power at the end of 2022 reached 15% then fell, touching 8.7% in February. But he lined up at 10% in March 2025. Looking at the real work income for employed, the report shows that in 2024 « it is higher than in 2014, a minimum year after the great recession of previous years, but lower than 7.3% than 2004 (-5.8% for employees) for the loss of purchasing power due to inflation with reductions for all age classes ».

80% of the new employees are over 50

The jobs continue to increase, reaching 23.9 million employed at the end of 2024. But 8 new employees out of 10 are over 50 (+285 thousand, +3%). In 2024 the over 50s represent 40.6% of the total employment, also recording a strong increase compared to 2019 (+12.5%). On the contrary, the number of employed 35-49nni (36.9% of the total) is lower than 2019 by over 500 thousand units, compared to a drop of one million and 393 thousand individuals residing in this age group.

The differences between North and South

Although the South records the greatest increase in employed (+2.2%), the distance from the north remains high, even if falling (respectively 49.3%against 69.7%, over 20 points less). The increase in employees concerns only the most educated: in 2024 only employed with diploma (+2.2%) or degree (+3.7%) grow, while those with the medium license at most (-1.8%) fall. The employment rate reaches 82.2% among graduates and drops to 45.1 for the less educated. The gender gap is reduced by increasing the level of education: 28 points between those who at most have the average license, which pass to 19.5 among those who own a diploma and almost 7 points between graduates and graduates.

A quarter of the population at risk of poverty

The report also emerges that almost a quarter of the population, 23.1%, is at risk of poverty or social exclusion (+0.3 points on 2023). In the South the data rises to 39.8%. The indicator concerns people who have at least a risk factor between poverty (an income of less than 60% of the median one), the serious material deprivation and the low intensity of work. Istat underlines that the risk of poverty and social exclusion grows for individuals who live in families whose main income recipient is less than 35 years old (from 28.4% to 30.5% of the total).

Almost 100 thousand young graduates in 10 years lost

Italy has seen emigrating about 97 thousand young graduates with a record in 2024 and the release of 21 thousand young people with a high level of education in the last 10 years.