There’s a call for a decent pay rise for workers, now that inflation has fallen for the second quarter in a row.
First Union says the best way to guard against deflation is to increase workers spending power, with a pay rise of “at least three to four percent.”
When inflation is high they claim a big pay rise is needed to keep up with inflation.
When inflation is low they claim a big pay rise is needed to stop deflation.
I think we can assume that there will never be a time when a union doesn’t think a big pay rise is needed.
But it is good that workers will be able to get pay rises that increase their real standard of living, and don’t get chewed up by inflation.