U.S. businesses struggle with increased labor costs after Covid
03 Aug 2021, 15:03 GMT+10
WASHINGTON D.C.: The cost of labor in the United States rose significantly in Q2 as firms increased salaries and offered perks to fill jobs, thereby stoking fears of long-term inflation in the midst of restraints in supplies.
A 0.7 percent increase was recorded in the Employment Cost Index in the last quarter, following a 0.9-percent gain in Q1, according to information released by the U.S. Labor Department on July 30.
This pushed up the twelve-month rate to reach 2.9 percent, the highest since 2018 Q4, as compared to the Q1 figure of 2.6 percent.
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