Salaries for new roles are stagnating – and in some cases, falling. Some employers may be looking to cut costs, but the lack of wage growth may be a matter of post-pandemic correction.

US salaries are falling because mass layoffs created a pool of readily available workers who, due to their lack of employment options, are willing to work for low wages and in poor conditions.

This, in turn, helps employers to keep wages down, maintain a docile workforce, and maximize profits. The reserve labor pool is a fundamental feature of capitalism, ensuring a steady supply of cheap labor and reinforcing the power imbalance between workers and employers.