ROCKFORD, Ill. (WTVO) — U.S. worker pay and benefits saw its third straight slowdown last year.
They grew 1% in the fourth quarter compared to the third. Wages and benefits saw a 1.2% increase in the third quarter.
The latest figures may help reassure the Federal Reserve, as pay hikes will not fuel higher inflation. The report, however, will not likely change the Fed’s plans to tighten credit further in the short term.
The Fed chairman has said that fast wage gains are the largest obstacle to bringing inflation down to the 2% target.