According to the Federal Reserve Bank of Atlanta, wages for employees who stayed at their jobs were up 5.5% in November from a year earlier.
That was up from 3.7% annual growth in January 2022, marking the highest increase in 25-years of record keeping, the report said. According to the Journal, workers who changed companies, job duties or occupations saw even greater wage gains of 7.7% in November from the prior year.“If I can see that the Burger King down the street is offering $22 an hour, and I’m making $20 an hour at the Dunkin’ Donuts that I work at, then I know very clearly what my opportunity cost is,” Layla O’Kane, senior economist at Lightcast, told the Journal.
The prospect that employees might leave for more money is a main reason companies are raising wages for existing employees, but faster wage growth is contributing to historically high inflation as some companies pass along price increases to offset their hefty labor costs.
Sure sure, plz ignore government spending and monetary expansion as drivers of inflation and it’s the workers to blame!
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