Quick thing is that inflation is not a problem when wages catch up. During the pandemic, prices went up but wages stagnated. Now wages are keeping up with inflation but are consistently running behind the still increasing cost of other stuff. That gap is what’s making life difficult for people.
This is really true when you think about how much wages have fallen behind for years. To make up that much ground there needs to massive raises. Like the ones won by UAW recently. It will take time until that happens
Plus for context, that would be the national federal minimum wage, meaning the floor in the poorest of states. Some states would have a higher minimum just like they do now, but higher than the national wage.
The best way to make more money is to get a new job. Employers take advantage of the fact that getting a new job takes work and can be uncomfortable, and a lot of workers avoid having to deal with this and accept a stagnant wage. At my previous employer, I was hiring new staff again $10K-$15K/yr more than staff that had Been there 5 years. My advice to every new grad was to work there for 2 years for the experience then find something else. If you liked it enough to come back, after having 3 total years of experience you could easily get $10K more than you made before
We’re not talking about one person, but the macro-economic trends in general. Many individuals will not follow the trend, as it represents the economy as a whole.
Quick thing is that inflation is not a problem when wages catch up. During the pandemic, prices went up but wages stagnated. Now wages are keeping up with inflation but are consistently running behind the still increasing cost of other stuff. That gap is what’s making life difficult for people.
Except if you’re retired. Your bills go up and your income/savings doesn’t.
Sure, if it isn’t invested.
This is really true when you think about how much wages have fallen behind for years. To make up that much ground there needs to massive raises. Like the ones won by UAW recently. It will take time until that happens
Remember $15/hr minimum wage? If it had kept up with inflation, minimum wage would need to be $25/hr now.
Exactly. We need a much higher minimum raise
Plus for context, that would be the national federal minimum wage, meaning the floor in the poorest of states. Some states would have a higher minimum just like they do now, but higher than the national wage.
Real wages are up for the past six years.
I know. It’s the first time in a long time.
I wish my wages were keeping up like yours
The best way to make more money is to get a new job. Employers take advantage of the fact that getting a new job takes work and can be uncomfortable, and a lot of workers avoid having to deal with this and accept a stagnant wage. At my previous employer, I was hiring new staff again $10K-$15K/yr more than staff that had Been there 5 years. My advice to every new grad was to work there for 2 years for the experience then find something else. If you liked it enough to come back, after having 3 total years of experience you could easily get $10K more than you made before
We’re not talking about one person, but the macro-economic trends in general. Many individuals will not follow the trend, as it represents the economy as a whole.
That is correct! Thanks for responding for me so succinctly.