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Here's why robust US job market isn't producing better pay

Recent reports show some slack remains to be absorbed

Sho Chandra | Bloomberg 

Growth in Americans’ wages has been levelling off lately, contrary to expectations that a steadily falling jobless rate will quickly lead to a sustained acceleration. Blame it on dismal productivity and lingering, albeit diminishing, slack even with unemployment at an almost 10-year low of 4.5 per cent. The government’s most recent jobs report showed the underemployment rate — the broadest gauge of joblessness because it also includes marginally attached workers and those working part time who’d prefer a full-time position — also has been falling ...

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First Published: Sun, April 16 2017. 00:38 IST