Monday, February 24, 2014

(IND) Wage Growth to Accelerate in 2014, WTI Forecasts



Arlington, Va. (Feb. 19, 2014) ­- Wage growth in private industry is expected to accelerate later this year, according to the preliminary first-quarter Wage Trend Indicator™ (WTI) released today by Bloomberg BNA, a leading publisher of specialized news and information.

The index rose to 98.87 (second quarter 1976 = 100) from 98.77 in the fourth quarter of 2013, marking its second consecutive gain.

“We're still seeing steady but modest improvements in the labor market, which removes some workers from the large pool of unemployed,” economist Kathryn Kobe, a consultant who maintains and helped develop Bloomberg BNA’s WTI database, said. Kobe said she expects year-over-year wage increases in the private sector overall to rise slightly above 2.1 percent later this year. That was the gain reported for 2013 by the Labor Department in its employment cost index.

Reflecting recent economic conditions, four of the WTI’s seven components made positive contributions to the preliminary first-quarter reading, while one factor was negative, and two were neutral.


Source: BNA

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