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Staffing Word of the Week: Pay rate

June 08, 2021

Fewer jobs were added in May relative to forecasts, wrote Frank Steemers, senior economist at The Conference Board, citing May jobs data from last Friday. And the tepid employment gain highlighted labor demand and supply mismatches that Steemers wrote are prompting some firms to raise wages to attract workers.

Separately, a study by the Federal Reserve Bank of Atlanta found there is significant wage pressures among low-wage service occupations caused by a combination of surging demand and a reluctant supply. And the Federal Reserve Beige Book released last week found one instance of a staffing firm turning away a client with $13-per-hour jobs saying that wasn’t enough to attract workers.

With the focus on pay, the Staffing Industry Word of the Week is “pay rate,” which Staffing Industry Analysts’ free, online Lexicon defines as:

“Direct compensation paid by the staffing agency employer to its temporary employee. May be paid hourly, daily weekly or monthly.”

The full Lexicon is available online.