Workers' paychecks grew faster in the first quarter, a possible concern for the Fed
Time:2024-05-22 06:55:23 Source:worldViews(143)
WASHINGTON (AP) — Pay and benefits for America’s workers grew more quickly in the first three months of this year, a trend that could contribute to higher inflation and raise concerns about the future path of price increases at the Federal Reserve.
Compensation as measured by the government’s Employment Cost Index rose 1.2% in the January-March quarter, up from a 0.9% increase in the previous quarter, the Labor Department said Tuesday. Compared with the same quarter a year earlier, compensation growth was 4.2%, the same as the previous quarter.
The increase in wages and benefits is good for employees, to be sure, but could add to concerns at the Fed that inflation may remain too high in the coming months. The Fed is expected to keep its key short-term rate unchanged after its latest policy meeting concludes Wednesday.
Fed Chair Jerome Powell and other officials have recently backed away from signaling that the Fed will necessarily cut rates this year, after several months of higher-than-expected inflation readings. Big price increases for rents, car insurance and health care have kept inflation stubbornly above the Fed’s 2% inflation target.
Previous:Slovak Parliament votes to condemn political violence after assassination attempt on prime minister
Next:Singapore Airlines: 1 dead, others injured after London
You may also like
- Thailand welcomes the return of trafficked antiquities from New York's Metropolitan Museum
- Prefecture Strives for Better Protection of Women with Revised Law
- Council's Members Help Strengthen Community's Governance
- Helping Volunteers, Cadres Improve Ability to Protect Women, Children's Rights
- Kansas takes control in the ninth and beats Kansas State in the opener of the Big 12 Tournament
- Protecting Children's Safety
- Anhui to Adopt Measures to Combat Domestic Violence
- Organizations Work Together to Strengthen Protection of Changzhou Women's Rights
- At least 6 Egyptian women die after vehicle slides off ferry and plunges into Nile River