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Survey: Pay raises rarer despite strong US hiring

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Survey: Pay raises rarer despite strong US hiring October 20, 2014 05:45 GMT


WASHINGTON (AP) -- A new business survey finds hiring is healthy but pay raises, not so much.


The quarterly survey by the National Association for Business Economics finds that only 24 percent of companies increased wages and salaries in the July-September quarter. That's down from 43 percent in the April-June quarter and the first drop after three straight increases.


Yet the firms still added jobs at a healthy pace, which usually pushes wages higher as employers compete for workers. The figures suggest that the number of people out of work remains high enough that companies aren't under any pressure to raise pay.


And just one-third of respondents said they expect their companies will boost wages in the October-December quarter.


The NABE surveyed 76 of its member economists in late September.


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