Earlier quoted context omitted.
I don't know what area you're from, but calling (supposedly yearly) salary raises of (just) under 10% to 'hardly make up for inflation' seems like, to put it mildly, a stretch.
Yeah, using € means he's in the European Union. In one of the countries that's using Euros. Eurostat estimates inflation at 1.5% in the Euro area.
The government decides what goods to put into the "standard basket" to calculate the inflation. They can choose goods that make inflation numbers seem good.
Yes I know it is usually not 10% (although we might still be in the middle of an economic crisis - Greece, one of the Euro countries, just going bankrupt). I am not sure if a typical salary raise is 10%, either. I am pretty sure that with salary raises alone, you won't be making significant headway as an employee (your company won't upgrade you from 50K/year to 100K/year). The only way to earn more is typically to switch jobs.
I never had a contract that said "salary will be raised by 10% every year", it was just a number I took out of thin air.