Federal Reserve insider Nick Timiraos cited Employment Cost Index data, stating that U.S. wage growth has slowed slightly over the past year. Private sector compensation (excluding incentive-based occupations) increased by 3.1% year-over-year in the third quarter, down from 3.4% in the same period last year, marking the lowest level since Q1 2021. The aftershocks of this wage growth primarily affected the non-union private sector and will take longer to spread to government and unionized workforces.