Stimulus checks boost U.S. consumer spending; inflation warming up
By Lucia Mutikani
Reuters
WASHINGTON (Reuters) - U.S. consumer spending rebounded in March amid a surge in income as households received additional COVID-19 pandemic relief money from the government, building a strong foundation for a further acceleration in consumption in the second quarter.
Other data on Friday showed labor costs jumped by the most in 14 years in the first quarter, driven by a pick-up in wage growth as companies competed for workers to boost production. The White House s massive $1.9 trillion fiscal stimulus and rapidly improving public health are unleashing pent-up demand.
Apr 30, 2021
A hiring sign shows in Wheeling, Ill. U.S. workers total compensation rose 0.9 percent in the January-March quarter, the largest gain in more than 13 years, the Labor Department said this morning. The solid rise comes after weaker increases during the pandemic, when the unemployment rate initially shot to nearly 15 percent before declining steadily to 6 percent in March. (AP Photo/Nam Y. Huh)
WASHINGTON (AP) Wages and benefits grew quickly for U.S. workers in the first three months of the year, a sign that businesses are starting to offer higher pay to fill newly-opened jobs.
U.S. workers’ total compensation rose 0.9 percent in the January-March quarter, the largest gain in more than 13 years, the Labor Department said this morning. That’s up from 0.7 percent in the final three months of last year. Still, the increase is just barely above 0.8 percent gains in two quarters in 2018.
U S wages and benefits jump as economy reopens newsday.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from newsday.com Daily Mail and Mail on Sunday newspapers.
WASHINGTON (AP) Wages and benefits grew quickly for U.S. workers in the first three months of the year, a sign that businesses are starting to offer higher pay to fill newly-opened jobs. U.S. workers’ total compensation rose 0.9% in the January-March quarter, the largest gain in more than 13 years, the Labor Department said Friday. That's up from 0.7% in the final three months of last year. Still, the increase is just barely above 0.8% gains.
April 30, 2021 • Blog
By Chair Cecilia Rouse
The three data releases (Gross Domestic Product, Personal Income, and the Employment Cost Index) from the last two days show how recent policies enacted to support households through the pandemic are helping to boost incomes and spending, providing a lift to the current economic expansion. However, they also are a reminder that there is still more work to be done before the economy and households fully recover.
1.
The GDP report showed a strong pace of growth.
Yet it also serves as a reminder that the work of the recovery is not yet over: the U.S. economy is still about one percent below where it was pre-pandemic and more than 3 percent below its pre-pandemic trend.