Monday, October 12, 2009

Costs of Employment Up... Just Not in Wage Form

This American Life's most recent podcast, More is Less, discusses one of the many implications of higher healthcare costs; the fact that less of the increase in costs associated with staffing is actually passed through to the worker in the form of wages (think broken system, greed, and the demand for procedures that may not be necessary from the patients themselves).

As can be seen below, while income has been stagnant in real terms, costs to employers has risen steadily due to the increase in the cost of benefits (i.e. healthcare).

Source: BLS