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It appears that these non-participants are ready to spring back into the labour force when there are jobs available so they are an additional source of downward wages pressure.
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Wage pressure and inflation are expected to be correspondingly subdued.In this section NEW ZEALAND OUTPUT, DEMAND AND JOBS PRICES AND WAGES COMMODITY PRICE INDEX Reprints.
Any lower, and wage pressure would soon appear.
But experts also warned that wage pressure could quickly return.
To prevent inflationary wage pressure, demand had to slow.
Still, many economists insist that wage pressure will increase soon.
But the wage pressure has not yet appeared.
To what extent higher wage pressure will fuel inflation depends on productivity growth.
Even with this kind of wage pressure, pay is still very low.
Yet, despite tight labour markets, there is no sign of wage pressure.
But many discounted the risks involved, largely because productivity growth was strong and wage pressure weak.
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CEO of Professional Science Editing for Scientists @ prosciediting.com