What we’re reading (6/8)
“Wages Pick Up, But Unclear How Far Employers Will Go” (Axios). “Employers have had to raise wages to incentivize workers to come back or to stay. It's unclear how much higher they're willing to go. Last month average hourly earnings rose half a percent, while weekly earnings ticked up just a quarter percent versus April. Average hourly earnings grew nearly 3% for leisure and hospitality roles — where job growth has been strongest — between March and May, notes Invesco's Hooper.”
“Small Business Optimism Slips On Hiring, Inflation Worries - NFIB” (Reuters). “U.S. small-business confidence edged lower last month, the first decline in four months, as a nationwide labor shortage and inflation worries weighed on business owners' economic outlook, according to a survey released on Tuesday.”
“Companies You'd Never Expect Are Offering Signing Bonuses To New Employees” (CNN Business). “Amazon (AMZN), Ollie's Bargain Outlet (OLLI), Tops Markets supermarket chain, Sheetz convenience stores and many smaller stores are offering such one-time payments to sweeten job offers to new workers. Sign-on bonuses can be more attractive for some employers than raising wages because bonuses are not permanent and ultimately cheaper, said Andrew Challenger, vice president at executive outplacement firm Challenger, Gray & Christmas.”
“Federal Student-Loan Loss Forecast Rises By $53 Billion” (Wall Street Journal). “The Biden administration has raised an estimate of losses on the federal government’s student loan portfolio by $53 billion, reflecting lower repayment rates and pandemic-relief efforts. The new estimate—contained in the administration’s proposed budget for the fiscal year that begins in October—is based on updated data on how much money the nation’s 43 million student loan borrowers have sent to the government in recent years to repay their loans.”
“AMC Executives Made Millions Selling Their Shares Last Week Amid Dizzying Meme-Stock Rally” (Business Insider). “Six AMC Entertainment executives took home more than $8 million last week after selling shares of the company amid a massive rally for the company's stock. Friday filings with the Securities and Exchange Commission show the six movie-theater executives - John McDonald, Gary Locke, Carla Chavarria, Daniel Ellis, Elizabeth Frank, Anthony Saich - offloaded more than 150,000 shares after the meme stock closed the week 83% higher on the back of enthusiasm from retail traders.”
