Updated

Updated · continuumeconomics.com · Jul 14

U.S. Q2 Employment Cost Index Seen Rising 0.7% as Annual Pay Growth Holds Near 3.2%

Updated

Updated · continuumeconomics.com · Jul 14

U.S. Q2 Employment Cost Index Seen Rising 0.7% as Annual Pay Growth Holds Near 3.2%

2 articles · Updated · continuumeconomics.com · Jul 14

Analysts expect the U.S. Q2 Employment Cost Index to show wages and salaries rising 0.7%, a slight slowdown from Q1's 0.8% and in line with Q4's 0.7%.
Benefit costs are also forecast to rise 0.7%, cooling sharply from a 1.2% Q1 increase that was inflated by annual health-insurance premium updates.
Medical-care CPI data point to that moderation in benefits, with healthcare inflation slowing in Q2 after a strong first quarter.
Year over year, overall compensation growth is seen easing to 3.2% from 3.4%, still above the pre-pandemic trend of slightly below 3.0%.

Sources

As wage growth slows while inflation persists, will American paychecks ever catch up?

In a 'low-hire' economy, will AI boost productivity or further suppress wage growth?

With health insurance costs soaring, are employee benefits becoming unaffordable for American businesses?

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