US worker paycheck growth slowed late last year, pointing to cooling in a very strong job market
==========
Pay and benefits for America’s workers grew at the slowest pace in two and a half years in the final three months of last year, with compensation as measured by the Employment Cost Index rising 0.9% in the October-December quarter, down from a 1.1% increase in the previous quarter. Compared to the same quarter a year earlier, compensation growth slowed to 4.2% from 4.3%. The slowdown in wage gains could make the Federal Reserve more comfortable cutting its rate as early as March, with most analysts expecting the first cut to occur in May or June. The Federal Reserve considers the Employment Cost Index one of the most important gauges of wages and benefits. The slowing wage growth could contribute to the cooling of inflation and is likely to be welcomed by Federal Reserve policymakers.
#UsWorkerPaycheckGrowth #JobMarket #FederalReserve #Wages #Compensation