Wages for Rank-and-File Employees Rising at Their Fastest Rate in a Decade

A new report from the Wall Street Journal confirms wages for rank-and-file workers are rising at the quickest pace in more than a decade, even faster than for bosses, a sign that the labor market has tightened sufficiently to convey bigger increases to lower-paid employees.

In an Op-Ed for the WashingtonTimes, former Wisconsin Governor Scott Walker writes he believes “if unemployment stays low and wages rise, Trump will be unstoppable in 2020.”

Axios reports

Wages for nonsupervisory employees — who make up 82% of the workforce — are rising at the fastest rate in more than a decade, the Wall Street Journal reports.

Why it matters: It indicates that the benefits of a tightening labor market and a time of historically low unemployment rates are finally being passed along to most workers.

The big picture: Workers at the bottom of the pay scale have been feeling positive effects on their wages at the end of 2019 — especially when compared to those at the top.

Pay rates the bottom 25% of wage earners rose 4.5% in November from a year earlier, while wages for the top 25% of earners rose only 2.9%, per data from the Federal Reserve Bank of Atlanta.

The bank also found that the rate of pay rises for low-skilled workers matched those for high-skilled workers last month for the first time since 2010.