Wages and Prices Wages are accelerating in a few sectors, but most contacts indicate that overall labor costs are not increasing more than productivity. Labor shortages in south Florida have contractors turning away work and putting major projects on hold. Help wanted ads there are at record linage. Expansion in the retail and fast food segments in New Orleans have been put on hold until workers become more plentiful. As before, skilled construction workers, nurses, and information technology professionals remain in especially high demand throughout the District and are commanding greater than average wage increases.
Contacts expect few significant changes in prices over the next few months.
Health-insurance premiums and pharmaceutical prices are expected to continue to rise. Contacts remain mostly optimistic about current strength in the energy sector, but some are concerned about the sustainability of the improvement. Prices paid for building materials, metals, and paper are moving upward for some firms. To comment on this site, please fill out our feedback form.