Jobs offering less than $ 15 an hour are starting to disappear in today’s tight job market

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If you were looking for a job before the pandemic, there is a good chance that you will settle for a lower salary than that offered to job seekers today.

Due to the tight labor market in the United States – where there are some 10.4 million job openings and 7.4 million unemployed – a greater proportion of employers are offering more than $ 15 of the job. hour, according to the latest data from the Indeed.com job board.

Since the depths of the pandemic, the number of job postings has steadily increased at all salary levels on Indeed. But in recent weeks, jobs that pay less than $ 15 an hour have slowed compared to those paying more.

“At the onset of the pandemic, advertised low-wage job openings, such as loading and storage and personal care and home health, recovered most quickly and were often for critical roles as the society was shutting down as a whole, ”AnnElizabeth Konkel, economist at the Indeed Hiring Lab, said in an article.

“But since the delta surge in late summer, advertised low-wage jobs have started to lag behind mid- and high-wage jobs, with a current gap of more than five. percentage points, “she added.

Which sectors currently have the most openings? Many are in loading and storage and human resources, Konkel noted. Meanwhile, “pandemic-sensitive occupations like beauty and wellness and hospitality and tourism remain well below job openings nationwide,” she wrote.

The salary trend highlighted by Indeed is also reflected in government data.

In the last quarter, employers collectively increased wages and salaries by 1.5%. And since the third quarter of last year, wages have risen 4.2%, while CPI inflation is up more than 6% in the past 12 months.

The tight labor market is proving especially difficult for small business owners like Steven Hartwell, who owns the Sugar Shack donut store in Saginaw, Michigan.

In addition to increasing procurement costs, it had to increase wages to attract more workers and compete with neighboring large companies at the expense of its own profit margins, he told MarketWatch.


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