Compensation for workers rose to a nearly 10-year high in the second quarter as inflation pressures continued to percolate in the U.S. economy. Low unemployment has businesses offering better compensation packages to workers, pushing the employment cost index up to 2.8 percent over a year ago levels, according to a report from the Bureau of Labor Statistics released Tuesday. That brought the 12-month rate up to 2.8 percent, the highest level since 2.9 percent in the third quarter of 2008, amid the financial crisis and the Great Recession. Significant wage gains have been a missing part of the economic recovery, with average hourly earnings increases barely keeping pace with inflation. Wages and salaries rose 0.5 percent for the quarter and 2.8 percent for the 12-month period, while benefits costs increased 0.9 percent and 2.9 percent, respectively.
Worker pay rate in the United States hits its highest level since 2008 according to the Bureau of Labor Statistics. The Employment Cost Index, which tracks worker compensation, has been steadily increasing since just prior to Donald Trump taking office.