While consumer prices for May rose at their fastest pace in nearly 13 years, Chad Moutray, chief economist for the National Association of Manufacturers, reports that the average hourly earnings of production and non-supervisory workers in manufacturing rose to $23.52 last month — a 3.3% year-over-year increase and a 4.5% spike since February 2020.
According to the Federal Reserve’s Beige Book, the Bank of Cleveland noted that wage increases were especially common among manufacturers. One staffing company reported “turning away prospective clients that offered starting wages of less than $13 per hour because he will not be able to find anyone at that wage.”
Meanwhile, U.S. manufacturing job openings soared to 851,000 in April, a new record. The nation’s “quit rate” advanced to 2.7% in May, implying “a growing confidence among workers they will find better work elsewhere,” according to OMA Connections Partner RSM. 6/10/2021