Results for: Employee compensation

Employee compensation costs increased 1.2% in the first quarter of 2024, exceeding expectations and adding to worries about persistent inflation. This surge, coupled with the Federal Reserve’s ongoing interest rate hikes, suggests that inflationary pressures may be more resilient than anticipated. Markets are now pricing in a reduced likelihood of a rate cut this year, with the odds of a September cut hovering around 50% and the probability of no cuts reaching 23%.

Delta Air Lines’ CEO, Ed Bastian, recently announced a 5% pay increase for employees. This marks the third consecutive year of raises for the airline’s workforce, in addition to a $1.4 billion profit-sharing distribution. Bastian highlighted the importance of investing in employees as a key principle for leaders, stating that their contributions are the foundation of great customer service and business success.