A comparison of salaries against inflation across the EU between the third quarter of 2010 and the third quarter of 2012 shows that the real value of pay in the UK declined by 3.2%.
Only three of the 27 member states – Greece, -10.3%: Cyprus, -4.6% and Netherlands, -3.8% – did worse.
But, said shadow Welsh secretary Owen Smith, other official figures show that Wales did even worse than the UK as a whole.
One in five in Wales 'have skipped meals' due to money problems
Rising food prices at a time of benefits cuts and stagnant wages is causing a crisis where people are eating less and eating less healthily, with warnings the majority of people could be one crisis from going hungry.
One report, which was put together by the Centre for Economics and Business Research on behalf of Kellogg’s, found households in Wales are the second most likely to be in food poverty after Northern Ireland.
The report was put together in conjunction with the Trussell Trust, which runs foodbanks across Wales, offering a three day emergency supply of food to people referred to them by charities and social services after hitting crisis point.
A second report, by research agency Opinion Matters also on behalf of Kellogg’s, found 21% have skipped a meal as a result of a limited food budget.
Trussell Trust Wales network manager Tony Graham said: “What we’re finding on the ground is that more and more people are struggling to pay all their bills and put food on their table.
“There’s very few people who have thousands in their savings.
“The majority live from month to month, you lose your job, you miss a payment or the car breaks down, you’re very quickly in trouble.