Not exact matches
But Carpenter said current
wage inflation in the U.S. is not far from
where it should be.
Carpenter said
wage inflation in the U.S. is not far from
where it should, even though many are puzzled that incomes have not caught up with a stronger economy and tight labor market
In Vermont,
where the minimum
wage is currently $ 8.60 and has been above the federal level and indexed to
inflation since 2007, small business owners don't think much about the annual
wage increases anymore, says Betsy Bishop, president of the Vermont Chamber of Commerce.
Still, many economists and public policy advocates argue that in states
where minimum
wage is higher than the federal mandate, the economies fare better than in states
where businesses stick to the federal minimum
wage, which is currently not indexed to
inflation and hence forces some workers to live below poverty level.
The overwhelming power of business to raise prices at will means in a full employment situation
where labor would otherwise be able to fairly bargain for a real
wage increase, instead, things blow up (spiraling
inflation, that 70s show).
In the past, Australia's centralised
wage - setting system had the effect of spreading
wage increases across the economy to sectors
where profitability had not increased, resulting in higher
inflation and unemployment.
In the past, this structure made it hard to avoid a
wage /
inflation spiral,
where higher wages pushed up costs, which pushed up prices, which necessitated even higher wages, and so on.
It's only fair and it's only right - listen to this - if the minimum
wage in the 70's, had been indexed to the rate of
inflation you know
where it would be?
Add those to
wage and cost
inflation, on top of a flat cash settlement, and it leads to a position
where many schools are already through their reserves and most will start to hit negative positions next year.
The link between
inflation and liabilities can be complex,
where commodities are an imperfect hedge since some
inflation from commodities may not move exactly with all types of
inflation, like
wage inflation for example.
In five of the six countries
where overall
wage pressures are lower,
inflation is forecast to be higher in 2017 than in 2016, which will limit real terms
wage growth.