The U.S. labor market is strong. Job hopping for a big bump in pay, however, just got a lot trickier.

People who want to leave their current job in the hope of getting more money elsewhere are about to get a wake-up call.

The May jobs report showed softening wage growth as inflation rates keep coming off the boil. Hourly wages climbed to $33.44, marking 4.3% yearly growth. That’s down slightly from the year-over-year growth in April, and sharply off 5.9% at one point last year. “‘This is the second month we’ve seen a full percentage-point decline in pay growth for job changers.’”

Pay growth “is slowing substantially” ADP chief economist Nela Richardson said when ADP released its May jobs data this week. “This is the second month we’ve seen a full percentage-point decline in pay growth for job changers.”Job switchers received a median pay increase of 13% as of April, significantly less than the 20% they received “when the great resignation was in full swing,” a separate report by Bank of America BAC found.

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

US labor market remains resilient as job openings climb, layoffs dropU.S. job openings unexpectedly rose in April and data for the prior month was revised higher, pointing to persistent strength in the labor market that could compel the Federal Reserve to raise interest rates again in June.
Source: Reuters - 🏆 2. / 97 Read more »

U.S. job openings rise to 10.1M as the labor market stays strong despite rate hikesU.S. job openings rose unexpectedly in April, illustrating the resilience of the American labor market even as the Federal Reserve attempts to cool the economy in its fight against inflation.
Source: chicagotribune - 🏆 8. / 91 Read more »

Labor market still surprisingly hot, with more job openings in AprilA jobs report released Wednesday indicated that the labor market could be getting hot again — a notable reversal of an ongoing cooling trend over the past year.
Source: washingtonpost - 🏆 95. / 72 Read more »