Wage growth is gaining momentum in the US, and even oil states are benefiting. The average worker saw a 3.4% increase in year-to-year wages last month—only a slight decline from June’s 3.6% gain, which was the fastest increase in wage growth since January 2009.
Oil-rich states, which represent roughly 13% of the nation’s employment, were enjoying wage boosts between 2011 and 2014 before pay fell off following the oil crisis in 2014, Bloomberg reports.
But in a recent report, equity analysts from Macquarie Capital Markets said the drag on national wages due to oil states’ weak labor markets is loosening. Analysts project wages in these states will soon see a boost as there’s evidence that global oil production is cooling. [Bloomberg]
