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Pay Cuts Become Permanent for Many Americans During Pandemic


Photographer: AJ Watt/E+/Getty Images

Pay cuts introduced by U.S. employers in the early days of the coronavirus pandemic -- meant to stave off layoffs and retain key employees -- have proved less temporary than perhaps originally envisioned.

The majority of workers who took a reduction as the virus brought the economy to a halt are still earning less than they were prior to the outbreak, according to a Pew Research Center study released Thursday, a sign of fragility in the labor market as the recovery slowly takes shape.