SALT LAKE CITY, Utah (KUTV) — A recent study by Bankrate reveals that 62% of American workers feel their pay has not kept pace with inflation, marking the highest percentage in four years of polling.
The report indicated that nearly two in three workers said their income has not “kept pace” with expense increases over the last year.
In addition, less than three in five workers reported receiving a pay increase in the past year, either by securing a new job with better pay or receiving a raise from their current employer.
Millennials, aged 29 to 44, were most likely to report receiving a pay raise. Only 17% of Gen Zers reported finding a better-paying job, a number which dropped from 32% in 2024.
“Americans are being thrust between the worst of both worlds in economics: a slowing job market and rising inflation,” said Bankrate Economic Analyst Sarah Foster. “Four years ago, when inflation surged at the fastest pace many Americans had ever seen, workers at least had a red-hot job market and historic bargaining power to help them lock in record pay increases and blunt at least some of the impact of higher prices. That’s no longer the case.”
As the job market shows signs of cooling, about 42% of workers express a lack of confidence in finding a better-paying job or receiving a pay raise in their current position over the next 12 months. It has also slowed over the past year, with many companies not hiring or laying off employees, according to the report.
Foster recommended that workers find what sets them apart from others and continue to adapt in order to be rewarded in their careers.
“In a slower job market, adaptability is everything,” Foster said. “Workers who consistently show their value and build new skills to do their jobs better or more efficiently will always be in demand.”
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