Employers across the U.S. said wage growth picked up since the beginning of the year, according to a Federal Reserve's new Beige Book. Employment grew at a moderate pace compared with recent months, a sign the economy may have more labor market slack to pick up. Still, companies across the country reported continued worker shortages, particularly in the construction, information technology and manufacturing sectors.
But there were few reports that the price increases were being passed to consumers, at least not yet. For instance, in the New York region, which covers northern New Jersey, most businesses said they have raised their selling prices “only modestly” but said “they planned to hike prices in coming months.”
Businesses in the Philadelphia region, covering southern New Jersey, complained about keeping new employees on the job. “Workers appear to have less loyalty to the job, and more job-hopping is showing up on resumes,” the Philadelphia Fed reported.