Paychecks Are Increasing
Earnings are rising, even as the number of hours employees working is not changing.
Despite signs of slowing economic growth, American workers are taking home larger paychecks. Average hourly earnings have been consistently stronger for the last several months, and posted the largest year-over-year percentage gain since 2009, at 3.4%. Some economists question whether that pace can be sustained.
Economists say the wage gains reflect a tightening labor market that is making it more difficult for employers to find skilled workers and forcing companies to pay more to attract better talent.