US Worker Paycheck Growth Slowed Late Last Year
January 31, 2024 11:46AM CST
Credit: MGN
WASHINGTON (AP) — Pay and benefits for America’s workers slowed last quarter, a trend that could affect the Federal Reserve’s decision about when to begin cutting interest rates.
Compensation as measured by the government’s Employment Cost Index rose 0.9% in the October-December quarter, down from a 1.1% increase in the previous quarter, the Labor Department said Wednesday.
Compared with the same quarter a year earlier, compensation growth slowed to 4.2% from 4.3%.
The increase in wages and benefits was still mostly healthy, but the slowdown could contribute to the cooling of inflation.
