Tuesday, June 14, 2016

More Evidence That the Job Market Is Tightening and Wages Are Headed Higher

The median U.S. worker enjoyed a pay increase of 3.5 percent year-over-year as of May, according to the Federal Reserve Bank of Atlanta's wage growth tracker.

Wage growth has been accelerating since October, quickening to a pace not seen since January 2009.

"The sure sign of a tight labor market is one where employers are willing to bid up wages to attract talent. The NFIB has signaled this for a while now," said Neil Dutta, head of U.S. economics at Renaissance Macro Research. "The recent break out in the Atlanta Fed Wage Tracker adds to a growing body of evidence."

Note well Austrian-lites: This is nothing at all what a recession looks like.


(via Bloomberg)

1 comment:

  1. Couldn't be all those minimum wage hikes affecting the data. Nah.

    Real medium household income is in the low $50k's, which is far below the peak around the year 2000. That is what a recessionary malaise looks like.