A measure of hiring by U.S. companies has fallen to a seven-year low and fewer employers are raising pay, a business survey found.
The hiring slowdown comes as more businesses report slower growth of sales and profits. Business economists also expect the U.S. economy’s growth to slow in the coming year, partly because tariffs have raised prices and cut into sales for many firms. Perhaps because of concerns over a weakening economy, businesses are less likely to offer higher pay, despite the low unemployment rate. Just one-third of economists said their firms had lifted pay in the last three months, down from more than half of them a year earlier.
Sales are growing more slowly. Just 39% of economists said they rose in the past three months, down from 61% a year earlier. And only 38% said they expect sales to rise in the next three months, also down from 61% a year earlier.Many business economists blamed President Trump’s tariffs on steel, aluminum and most imports from China for worsening business conditions. Thirty-five percent said the duties have hurt their companies, while just 7% said they had a positive effect.
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