How job & wage growth is affecting workers' comp

The combination of strong wage and job growth are pushing up premiums in workers’ comp, according to the Insurance Information Institute. Credit: Urupong/Adobe Stock

The U.S. labor market continues to show strength, with employment increasing an average of 200,000 jobs a month during the second quarter, which is above the average pre-pandemic growth of around 150,000 jobs, according to the latest quarterly economic briefing from the National Council on Compensation Insurance (NCCI).

Additionally, wage growth has cooled but also remains above pre-pandemic levels. Overall average hourly earnings are 4.4% higher than the same period in 2022, according to NCCI, which noted the tight labor market is showing no signs of slackening.