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Compensation budgets are holding steady for 2025, even as concerns over talent attraction and retention ease. Employers plan to allocate similar salary increases as in 2024, according to expert projections.

Wages Set to Reflect 2024 Levels as Labor Market Pressures Ease

Compensation budgets are holding steady for 2025, even as concerns over talent attraction and retention ease. Employers plan to allocate similar salary increases as in 2024, according to expert projections. Pay Raises Remaining Consistent Salary-increase budgets at U.S. employers are expected to stay close to 2024 levels, found Mercer’s 2025 Compensation Planning Survey. Participating organizations […]
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US currency laid out on a table with coins falling on top. Compensation growth slowed slightly in the third quarter of the year, signaling that the white-hot labor market is cooling off.

Wage Growth Starts to Lose Steam as Labor Market Cools

Compensation growth slowed slightly in the third quarter of the year, signaling that the white-hot labor market is cooling off. The latest data from the Bureau of Labor Statistics‘ Employment Cost Index (ECI) shows that compensation costs, including wages and benefits, rose 0.8% from June to September. While still an increase, it marks a deceleration […]
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Pay Raises Expected to Slow in 2025 as Labor Market Cools

Pay Raises Expected to Slow in 2025 as Labor Market Cools

As the white-hot labor market of the past few years shows signs of cooling down, pay raises for U.S. workers in 2025 are projected to be slower than recent trends. Still, most employers will give salary bumps above the 3% threshold that has become the norm in the pre-pandemic economy. Latest Forecasts Slightly Lower Than […]
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