Only employers are REALLY getting paid
The government report last Friday that the economy created a higher-than-expected 288,000 jobs in April was news that everyone could cheer. Coming on top of a strong gain of 337,000 jobs in March, the latest figures suggest long-cautious employers are finally confident enough about the brightening economic climate to begin replacing some of the 2.3 million jobs shed from 2001 through 2003.
Still, the encouraging, if belated, growth in employment masks a worrisome trend that suggests the economic expansion is not fully on track. Buried in the Labor Department report was new evidence that wages for those with jobs are barely rising. It said average hourly wages in April rose a mere nickel from March to $15.59. The 2% increase from April 2003 was only enough to keep up with inflation. The pay data follow an April 29 government report that said wages and salaries grew an anemic 2.5% in the past year, the slowest pace since the government began tracking such figures in 1982.
While strong job creation certainly is a vital component for a healthy economy, the recovery can't be considered complete until the 131 million Americans already employed are ensured their fair share of the growing economic pie.
