Economy set to pick up in Q2. Should see pick up a wage growth
- too hasty to conclude the job market is at a point where inflation pressures are starting to build
- I will do its part to meet inflation objective, makes no mention of the need for rate hikes more likely pace of any future hikes
- there are risks on both sides of Outlook, bank will continue to pay close attention to wages, oil prices, the housing market, global trade policy
- sees signs of labor market strength of wage growth is still shy of what one would expect in tight market
- wage gains in energy intensive regions continue to lag behind those in the rest of the country
- reasons for subdued wage growth include skills mismatches, reluctance of people to look for better jobs, high cost of living in some cities
- history tell us that job churn will pick up as employment continues to grow and should lead to employers offering higher wages
- Gig economy has created new set of jobs that cuts bargaining power of workers
- estimates can aid in stewing nonstandard work, but want more formal employment equivalent to 700k full-time positions
