In an unexpected twist, the United States has experienced a deceleration in wage growth, as indicated by the Average Hourly Earnings data for September 2025. The current report, updated on November 20, 2025, shows that average hourly earnings grew by 0.2% compared to August, a decline from the 0.4% growth recorded in August 2025.
This slowdown in wage growth marks a noteworthy shift in the economic landscape, as the previous month-over-month increase of 0.4% served as a modest buffer against inflationary pressures. The easing to 0.2% this September suggests a cooling in the labor market dynamics and could potentially influence future monetary policies.
While the current dip may offer some relief in terms of inflation controls, it also raises concerns about the strength of consumer spending and overall economic resilience. As such, policymakers and economic stakeholders will be closely watching subsequent data releases to assess the trajectory of wage growth in the coming months.
