US wages rose more than expected
The wages of American workers have increased. In the last quarter, the gross wages and benefits of workers in the United States increased more than expected, government data showed. This indicates that the labor market is catching up.
According to the data released by the Ministry of Labor on Tuesday, the employment cost index, which indicates the salary benefits of employees, increased by 1.1 percent in the third quarter of this year. In the second quarter, this indicator increased by only 1 percent. Salary only increased by 1.2 percent in the three months to September. After the salary increase, the overall salary allowance has increased. Compared to a year ago, salaries and allowances increased by 4.3 percent in the July-September period. However, this rate of growth is lower than the previous two quarters.
Interest rates in the US are currently at their peak level in 22 years. Even in such a situation, the latest statistics show that the condition of the labor market is strong. This figure has become a headache for the central bank, the Federal Reserve, which is trying to control inflation, which has risen to its highest level in decades, despite raising interest rates. Although the Fed has raised interest rates to their highest level in 22 years, rising wages have not reduced inflation to the expected level.
The US economy created 336,000 new jobs in September. Since January, the economy has not been able to create this number of new jobs. Along with this, the unemployment rate has decreased to 3.8 percent. The number of people applying for unemployment benefits has dropped to historic lows. Advertisements for staff requirements are opening rapidly. Economists have estimated that the high cost of loans, the tightening of loan standards by banks and the slow down of student loan repayments, etc., will support the US economy.
