10 November, 2014
The Rise of Invisible Unemployment - The Atlantic
The Rise of Invisible Unemployment - The Atlantic: We're adding lots of jobs in industries with stagnant wages, and a few jobs in industries with rising wages, according to new research out of the Cleveland Fed. "It may seem counterintuitive that wages and salaries are growing the slowest in industries where jobs are growing the fastest, but it actually is not," writes LaVaughn M. Henry, vice president of the bank's Cincinnati branch. We're adding few jobs in goods-producing industries like manufacturing, which have the highest overall post-recession wage growth, and lots of jobs in service-producing industries (e.g. health care, leisure and hospitality, and education), which have the lowest real wage growth.