Inflation is an increase in the cost of goods and services. Employers generally mitigate it with regular small bumps in salary, often called “cost of living” in

Inflation is an increase in the cost of goods and services. Employers generally mitigate it with regular small bumps in salary, often called “cost of living” increases. What you’re seeing with salaries right now is not inflation, or at least mostly not inflation. It is supply (lower than usual) and demand (higher than usual) of certain skills. In other words it is a real market movement in the value of certain kinds of labor. Employers can mitigate this as well, either by proactively raising salaries to match (sometimes called “market adjustments”), and or by waiting to hear an employee is leaving and then trying to match their offer to keep them. Candidly, sometimes employers don’t actually want to mitigate these forces, but instead see it as an opportunity to trade longer-tenured employees who are entitled or jaded for newer employees who are more enthusiastic (and maybe more naive). In any case, the only sure way to test your market value is to apply for new jobs.