Euro-area wage growth is forecast to slow to 2.4% annually in the third quarter of 2027, according to the ECB’s wage tracker published Wednesday. The projection is below the 2.8% forecasts for the first and second quarters and well under the 5.3% peak recorded in 2024. The tracker covers active collective bargaining agreements and smooths one-off payments over 12 months, while an earlier set of readings cited increases of 2.7% in the second half of this year and 2.4% in the third quarter of 2027. Excluding one-off payments, wage growth was projected to rise from 2.6% in 2026 to 2.8% across the first three quarters of 2027. The ECB kept interest rates unchanged last week while hinting at a possible hike at its next meeting, and is assessing whether inflation linked to the Iran war is spreading into pay.