Slowing Salaries

In a sign of perhaps peaking inflation, annual wage growth declined from 4.2% to 4.1% in October, the first decline since 4/21, immediately prior to the recent dramatic run-up in inflation. Moreover, the decline was widespread, extending to hourly workers, service workers, and most critically those that switched jobs, the primary driver of recent wage inflation. Their annual wage growth declined to 5.1% from a peak of 5.4% in September.