In moving into a holding pattern on interest rates Wednesday, the Bank of Canada was in a pretty upbeat mood.
“Employment growth has been surprisingly strong,” the bank said in Wednesday’s seven-paragraph statement announcing“Wages continue to grow at 4 per cent to 5 per cent [year-over-year] while productivity has declined in recent quarters.” Now, six weeks later, it’s pointing to those wage inflation and productivity readings in a very public way – and neither is going in the right direction.
It doesn’t take a PhD in economics to see how those unproductive labour costs represent a serious inflationary pressure. Unless the wage growth slows or the productivity accelerates, the Bank of Canada has a problem toning inflation down to its desired 2 per cent.
I was asking a grocery clerk, the other day, at my local Safeway, whether the employees have kept their COVID raises that were given during the pandemic. He replied with an abrupt laugh, and said 'No'. I feel for those that lost out.
Opinion: Rich people contacted the G&M and demanded they wrote a story about how better wages are bad for everyone except CEOs.
How to keep the mighty stronger & the workers in their place. That’s why there’s conservative & progressive governments. You can find 101 “expert economists” that would quash & counter this opinion. Don’t be fooled. Inflation Wages
Real world lesson in macroeconomics...
There is no bigger example of that than the raise this government gave themselves
Govt wages
What CEO's productivity matches their rising wages. Ill wait.
Upside down flag?
Rising wages occuring Becuase Justin's massive inflation
globebusiness 100% agree. It's unreasonable to expect wages to rise to meet inflation when so many extenuating and unprecedented extraordinary circumstances have caused such a rapid rise in inflation.
Show me a productive CEO, then review that statement.
That’s a fascist lie, McDonald’s workers and Starbucks coffee pourers have had their vast talents unleashed by the newfound financial respect given them by high minimum wages
Counter: rising prices lack the value to justify them