Wages

Have Wages Kept Up With Inflation?

September 23, 2024 by Tim McMahon

One of the most important questions regarding your income is whether your wages have kept up with inflation. You might be getting nice yearly raises, but if inflation is growing faster, you are still falling behind. So, in order for your purchasing power to increase or at least stay the same it is important to look at Inflation-Adjusted wages.

If you ask your neighbors, they will almost certainly say that the average wage hasn’t kept up with inflation. And since “bad news sells” even the media tends to try to convince us that the average wage hasn’t kept up with inflation. But what do the actual numbers say?

If we look at the numbers presented by the Federal Reserve CES0500000003 index (Average Hourly Earnings of All Employees) we get the following chart. And it looks pretty good, wages are going up fairly steadily. But is inflation going up faster? We really can’t tell.

Inflation-Adjusted Hourly Wages

So to get the true picture we have to adjust it by the Consumer Price Index (CPI-U) and then we get the following chart: [Read more…] about Have Wages Kept Up With Inflation?

How to Handle Your Pay Being Withheld at Work

August 14, 2019 by Guest Contributor

It’s payday, but your check is missing. Instead of your hard-earned wages, you get a letter stating that your paycheck is being withheld. While there are many reasons that your company might withhold your pay, only a handful are fair and legal. Here are four strategies to deal with your pay being withheld at work.

Discuss the Issue With Your Supervisor

The first step to resolve your withheld wages and get the pay you’re owed is speaking with your supervisor. He or she can inform you of why your wages are being withheld, let you know when you can expect to be paid and address your grievances with the higher-ups. Your supervisor may have little or no control over the situation, so try to be polite and understanding in your conversation with him or her.

Keep Track of Everything

When you’re involved in any type of workplace dispute, it’s important to keep track of all the details and evidence. Make a log of all the money owed to you and the reasons your supervisor provided as to why it’s being withheld. Save or print any relevant emails in case they get deleted. Consider asking permission to record relevant conversations with your supervisor, human relations or the finance department.

Obtain Legal Counsel

If your efforts to get your withheld wages through company channels have been unsuccessful, you may need to seek legal counsel. Experts from local law firm services can help inform you of your rights, attempt to reach a settlement with your employer or take the company to court if necessary. Employers will often back down and agree to pay your withheld wages in a prompt manner once you have a lawyer on your side. [Read more…] about How to Handle Your Pay Being Withheld at Work

The Biggest Threat to U.S. Jobs

November 10, 2014 by John Mauldin

Today’s Outside the Box comes from Sam Rines of Chilton Capital Management in Houston, TX – a promising young economics contributor to The National Interest and a rising star who I met at Worth Wray’s wedding a few weeks ago and it didn’t take much convincing from Worth to get me to share Sam’s latest article with you. Sam’s work speaks for itself and I am VERY impressed by his insights on a wide range of economic issues – from the evolution of Fed policy and growing risk of a rising US dollar, to the long-awaited industrialization of India.

In his latest piece, Sam alerts us to a breakdown in the Federal Reserve’s full-employment mandate (one leg of its dual mandate, the other being stable prices). In a normal recovery, Sam reminds us, “Wage growth and the labor market move together in a lagged fashion – the labor market heals and tightens, followed by wage increases as labor becomes increasingly scarce. But [Read more…] about The Biggest Threat to U.S. Jobs

Government Salaries 35% Higher than Private Industry in 2012

January 31, 2013 by Tim McMahon

EMPLOYMENT COST INDEX – DECEMBER 2012

The U.S. Bureau of Labor Statistics released their employment cost index for the 2012 year on January 31st, 2013. It included both annual data and information on salary costs for the last quarter for Civilian workers which is composed of two major sectors i.e. Private Industry Workers and State and Local Government Workers. Seasonally adjusted compensation costs for civilian workers for the 3-month period ending December 2012, increased 0.5%. Wages and salaries (which make up about 70% of compensation costs) increased 0.3%, and benefits (which make up the remaining 30% of compensation) increased 0.6%.

Annual Compensation Costs

For the period of January through December 2012, compensation costs for civilian workers [Read more…] about Government Salaries 35% Higher than Private Industry in 2012