\u201clow-hire, low-fire\u201d<\/a> job market, which has made workers hesitant to quit, said Bill Adams, chief U.S. economist at Fifth Third Commercial bank.<\/p>\n\u201cAnd one of the big drivers of workers getting higher wages is when they switch jobs to a higher-paying one,\u201d Adams said.<\/p>\n
So, what would generate more wage growth?<\/p>\n
\u201cA job market with more competition among employers for workers,\u201d he said.<\/p>\n
But right now, it\u2019s employers who have all the leverage. Frank Fiorille, vice president of risk and compliance at small-business payroll processor Paychex has one idea why: \u201cMaybe the threat of AI is preventing people from asking for wage increases,\u201d he said.<\/p>\n
So, is there any light at the end of this wage-growth tunnel?<\/p>\n
Fiorille said weekly wages are rising for small-business workers. They\u2019re working more hours, because their employers \u201care trying to squeeze out as much from the existing folks that they have,\u201d he said. \u201cSooner or later that leads to more hiring.\u201d<\/p>\n
Add that to Friday\u2019s out-of-the-ballpark 162,000 new jobs from the jobs report, and Adams said there is likely to be more job creation and more demand for workers going forward.<\/p>\n
\u201cSo, that means the job market is likely to tighten over the next 12 months,\u201d he said.<\/p>\n
Which Adams predicts will push wage growth higher again. <\/p>\n
Related Topics<\/p>\n","protected":false},"excerpt":{"rendered":"The August jobs report from the Bureau of Labor Statistics Friday morning had some bright spots, but wages…\n","protected":false},"author":3,"featured_media":1045787,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[12],"tags":[64,79,266,12857,50846,81599,67,132,68,14417],"class_list":["post-1045786","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-inflation","tag-job-market","tag-jobs-report","tag-real-wages","tag-united-states","tag-unitedstates","tag-us","tag-wages"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/117220934107899858","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/1045786","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=1045786"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/1045786\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/1045787"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=1045786"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=1045786"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=1045786"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}