The pace of wage increases and hiring is slowing, ADP data shows, as the previously red hot U.S. labor market continues to cool.
Why it matters: "Though wage growth remains healthy, the tight labor market continues to pressure wages and fuel growth across nearly all industries, but employers may be losing the capacity to raise paychecks any further."
- After a fast start to 2019, year-over-year employment growth slowed to 1.7% in September, private payrolls processor ADP said in its recently released Q3 workforce vitality report.
Worth noting: The Midwest leads the nation in wage growth at 3.9%, followed by the West (3.2%), Northeast (3.1%), and South (2.9%). The Midwest has led the nation in wage growth for five consecutive months, but their wages are lowest among the regions and employment growth also lags behind that of other regions.