Cgil warns of Italian economic crisis as inflation erodes wages

The Italian trade union Cgil has issued a warning regarding rising inflation and stagnant economic growth. Cgil Secretary Christian Ferrari noted that August inflation data indicates a period of unsustainable price increases, particularly impacting wage earners and pensioners. He highlighted that while prices and corporate excess profits are rising, real wages have decreased by an average of over 8% since 2021.

To combat this, the union is calling for the timely renewal of national labor contracts, the equalization of pensions, and the taxation of excess profits to fund support for vulnerable populations. They also advocate for adjusting tax brackets to inflation to prevent fiscal drainage.

In the Emilia-Romagna region, specifically in Cesena, data from Ires Emilia Romagna shows that while income declarations grew by 19.2% between 2019 and 2024, these gains are largely offset by the rising costs of energy and fuel. In Cesena, the average annual income stands at 26,080 euros, but significant disparities remain, with 27.5% of taxpayers declaring up to 15,000 euros and only 3.7% exceeding 75,000 euros.