How Are Salary Budgets Connected to Fed Interest Rate Cuts?

The Conference Board annual Salary Increase Budget has dropped -- and so have interest rates. To what extent are companies planning to increase employee base pay next year, and how do those plans differ across industries?    Diana Scott and guest Rita Meyerson, Principal Researcher in the Human Capital Center, spoke yesterday about what this year’s survey data show, and how the Fed’s first interest rate cut in four years could affect budgets for salary increases in 2025.    (00:34) Overview of Salary Budget Planning (00:45) Details of the Annual Survey (03:59) Survey Results and Trends (08:00) Industry-Specific Insights (11:03) Economic Factors and Wage Impact (18:30) Equity and Recognition in Compensation (24:53) Pay Equity and Transparency (26:30) Conclusion and Final Thoughts   For more from The Conference Board:  Salary Increase Budgets 2024-25  Reimagined Workplace  Global Labor Market Outlook