US Employment Costs Rise at Slowest Pace Since Mid-2021

Annual growth in US labor costs decelerated in the third quarter to the slowest pace in four years, adding to evidence that a softening job market is helping limit inflationary pressures.

The employment cost index, which tracks changes in wages and benefits, increased 3.5% in the 12 months ended in September, according to Bureau of Labor Statistics figures out Wednesday. On a quarterly basis, the gauge rose 0.8%.