Wage growth since the Great Recession has remained fairly low, hovering around just 2%.
This is most likely not high enough to support the Fed’s stated inflation target of 2% year-over-year.
Over the past few months, wages have grown at a somewhat faster rate than this, reaching a post-crisis high of 2.6% in June.
However, according to the August jobs report, released Friday, wages grew by only 2.4% over the prior year, below expectations of 2.5%.
- Elena Holodny/Business Insider