2 ms·
Surely a naive question, but is there a reason it isn’t standard practice to index salaries on inflation? That would make sense to me. But I know very little ab
by dgellow 5y ago
Surely a naive question, but is there a reason it isn’t standard practice to index salaries on inflation? That would make sense to me. But I know very little about the topic.
- toolslive 5y agoIn most European countries, it is like that.
- 1penny42cents 5y agoI've read that this mainly happens in periods of hyperinflation. But that would mean 50% inflation month-over-month, so way more than what we're seeing or will likely see in the near future for developed countries. Not sure why it's not standard outside of that, probably because companies don't want or need to.
- tonfa 5y agoInflation helps reallocating labor more efficiently since salary is sticky.