Wages On the Rise

Here's the good news: If you've managed to hold on to your job through this recession, then your salary has likely gone up. The bad news? Well, we already know the bad news – unemployment is the worst it's been in 26 years.

But back to the good news.

The New York Times reports that two different government surveys show wage growth has been on the rise over the last few months. Apparently, wages stayed stuck at an average of about $612 between last September and this June; but over the summer months alone, wages rose to an average of $618 a week. Sure, it's hard to get excited about $6 extra a week, but we're looking on the bright side – and it gets brighter.

With unemployment hovering near 10 percent, the likelihood that those who haven't been fired will be before the recession runs its course is getting slimmer. Most companies have already laid off all the workers they can afford to let go and remain productive. That means job security for the employed is getting better, as are the prospects of a raise somewhere in the not too distant future.

The other good news, reports the Times is that unlike in past recessions where inflation has continued to outpace shrinking salaries, inflation has actually decreased while pay has gone up. Meaning that those $6 extra a week are acutally worth more. The net/net of all this? Inflation-adjusted salaries are up 2 to 3 percent.

Of course, none of this is great news for the 14.9 million Americans who are pounding the pavement looking for work that just isn't there. That group has never been a larger share of the work force than it is today. But as gloomy as that seems, the majority of Americans are not only employed, but ever more gainfully so.

Photo courtesy of zert.geld_2008 via Flickr.