Analysts wage competition in a tight labor market also carries inflationary risks

By: Trademagazin editor Date: 2021. 08. 30. 11:35

In addition to the lifting of restrictions in the third wave and the recovery of the service sector, seasonal factors also helped achieve a historic employment level in July. However, analysts interviewed by MTI also warn that wage competition in a tight labor market also carries inflationary risks while helping GDP growth.

Wage competition in the labor market helps growth, but it can also increase inflation

According to a report by the Central Statistical Office (KSH) published on Friday, the average monthly number of employees aged 15-74 was 4 million 704 thousand in July, 12 thousand more than in the previous month and 94 thousand more than a year before. (MTI)