Wages and Salaries – Page 75

Strong Job Gains in March Keep a Flame Under the Recovery

The U.S. economy added 431,000 jobs and the unemployment rate fell to 3.6 percent. Wages showed sharp gains, but that has been blunted by inflation.

Federal Reserve officials had said that the pace of pay gains would not be consistent with stable inflation if sustained.

The jobless rate in February, 2.1 percent, was close to the lowest ever. Employers are adjusting to the power of workers.

Prices climbed at the fastest pace in four decades over the past year. While economists expect a slowdown, it has yet to materialize.

Economists hoped that as households shifted spending back to services, price gains would cool. That effect might be less pronounced now.