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Home Entrepreneurship

71% of Workers Say Inflation Is Outpacing Pay Wages

September 28, 2022
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Pay is not keeping up with prices.

According to Bank of America’s Workplace Benefits Report, 71% of workers said the cost of living is outpacing salary growth. The report was published in July and surveyed nearly 500 employees.

Further, 62% of employees reported being stressed about finances, while 80% stated they are worried about inflation. About half of the participants said they have taken action to cope with financial strain in the last six months.

These measures include pulling from savings accounts to make ends meet, working extra hours, and looking for higher-paying jobs. About 6% reported dipping into their 401(k).

Although people are being resourceful, rising rents have greatly impacted those whose salaries have remained stagnant. In August 2022, rent was up by $158 (11.8%) year-over-year, according to Realtor.com.

However, things are beginning to look up after Realtor.com reported a $10 decrease in average rent in the top 50 metropolitan areas in September 2022.

“Affordability is still a very big challenge for renters,” Realtor.com economist Jiayi Xu said, per Realtor.com. “Inflation is still high, and renters are still feeling the stress of higher costs.”‘

Read the full article here

Tags: Business NewsinflationNews and TrendsSalaryWages

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