Almost 80 percent of U.S. workers now earn at least $15 an hour, a 'major shift from pre-pandemic norms'
For the first time ever, average pay for restaurant or supermarket workers has surpassed $15 an hour, The Washington Post reports, as reopening businesses scramble to rehire the workforce they cut amid pandemic restrictions and lockdowns.
Almost 80 percent of overall U.S. workers now earn at least $15 an hour, up 20 percent from 2014, writes the Post. Workers in some of the lowest-paying industries have seen "some of the biggest gains."
Although a higher average wage should not be viewed as a new minimum wage, "I think it's a guiding star wage," said Nick Bunker, economic research director at Indeed Hiring Lab. "It's a baseline wage that folks compare offers to." The pay jump — a "major shift from pre-pandemic norms" — is likely to be permanent, considering wages reportedly rarely fall once they rise.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
By June, the average nonmanagerial restaurant worker was making $15.31 an hour, a more than 10 percent increase from the pre-pandemic $13.86 an hour. Supermarket workers saw a similar jump that month, with pay rising 7 percent from pre-pandemic levels to $15.04 an hour. Other affected businesses include "butchers and seafood markets, office supply [stores], liquor stores, parking-lot attendants, day-care services, janitorial services, and care for the elderly or disabled," per the Post.
Bunker adds that although inflation "[rains] a little bit on the parade," its effects are likely to fade while wages stay high, meaning "people will have higher real earnings than would have otherwise." Read more at The Washington Post.
Create an account with the same email registered to your subscription to unlock access.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Brigid Kennedy worked at The Week from 2021 to 2023 as a staff writer, junior editor and then story editor, with an interest in U.S. politics, the economy and the music industry.
-
Melting polar ice is messing with global timekeeping
Speed Read Ice loss caused by climate change is slowing the Earth's rotation
By Peter Weber, The Week US Published
-
The Week contest: Stick guitar
Puzzles and Quizzes
By The Week US Published
-
'Sports executives ushered a fox into the henhouse'
Instant Opinion Opinion, comment and editorials of the day
By Harold Maass, The Week US Published
-
Disney and DeSantis reach detente
Speed Read The Florida governor and Disney settle a yearslong litigation over control of the tourism district
By Peter Weber, The Week US Published
-
Visa and Mastercard agree to lower swipe fees
Speed Read The companies will cap the fees they charge businesses when customers use their credit cards
By Peter Weber, The Week US Published
-
Reddit IPO values social media site at $6.4 billion
Speed Read The company makes its public debut on the New York Stock Exchange
By Peter Weber, The Week US Published
-
Housing costs: the root of US economic malaise?
speed read Many voters are troubled by the housing affordability crisis
By Peter Weber, The Week US Published
-
Feds cap credit card late fees at $8
speed read The Consumer Financial Protection Bureau finalized a rule to save households an estimated $10 billion a year
By Peter Weber, The Week US Published
-
Immigration helped the US economy outpace peers
speed read The U.S. economy grew at an annualized rate of 3.2% last quarter
By Peter Weber, The Week US Published
-
4-day workweek gets boost from UK study
Speed Read Following a six-month trial, the majority of participating British companies are still using the truncated schedule
By Peter Weber, The Week US Published
-
US sues to block Kroger-Albertsons merger
Speed Read The Federal Trade Commission sued to block the $24.6 billion merger between the grocery giants
By Peter Weber, The Week US Published