In France, for private-sector employees born between 1940 and 1980, wages have increased by an average of 1 to 2% per year throughout their career, in real terms. These wage increases primarily reflect the professional experience gathered with age; something that is true for all generations. However, at the same age, the wages of more recent generations are consistently growing in terms of constant euros.

Wages have been driven upwards by economic growth from 1970 to the present. Nevertheless, the wages earned by more recent generations also reflect the economic downturn and the continuous rise in unemployment seen in recent decades. Indeed, in terms of wages, recent generations are worse off at 30 years of age than previous generations were at the same age, relative to all employees on the labour market at the same time as them. Later in their careers, they catch up with the relative wages of previous generations; however, they do not exceed them.

On average, the general increase in levels of qualification is pushing wages upwards. However, as more and more people earn degrees, people need to study longer to keep a qualification of equivalent rarity. In addition, while the general level of qualification increases, it seems that a degree is becoming less and less lucrative for employees born after 1950 when compared with other participants in the labour market. This can be explained by an oversupply of graduates in relation to the needs of companies, resulting in the recruitment of more and more highly qualified staff for the same types of positions, together with increased competition. In terms of wages, the hierarchy of degrees is still in place, although the gaps are narrowing, particularly for those with the lowest-level degrees.

The position within the wage hierarchy is still determined by the position at the start of a person’s career, starting from their first job. Over a period of twenty years, between the 1950 and 1970 generations, the probability of moving up or down the wage ladder within their generation barely changed.