Morning Brew: Employee recruiting, retention affected by inflation
UC economist says workers are prioritizing flexibility
A host of factors, namely the war in Ukraine and recurring supply chain shortages, have contributed to inflation reaching a 40-year high in the United States.
Per the Bureau of Labor Statistics (BLS), the Consumer Price Index climbed 7.9% in February, with the price of food, fuel and shelter accounting for the largest share of the increase in average prices paid for goods and services. According to the BLS’s latest jobs report, inflation is outpacing wages by around 3%.
Michael Jones, PhD, associate professor-educator of economics at the University of Cincinnati Carl H. Lindner College of Business.
“There is a gap [in] inflation right now,” Michael Jones, PhD, associate professor-educator of economics at the University of Cincinnati Carl H. Lindner College of Business, told Morning Brew. “It’s at just under 8%. And then wages are around 5%. So, [a] pretty big gap.”
Companies have attempted to combat inflation by increasing pay, but inflation is putting a dent into the effectiveness of those increases. And with gas prices remaining high, permitting employees to work from home could be a more enticing recruitment tool than wage increases.
“Workers are prioritizing [remote work], even over wages, because they have some flexibility,” Jones said. “They can work in Ohio, for example, while maybe enjoying that New York salary or California salary. So what you’re seeing is that companies are competing on other benefits and packages.”
Impact Lives Here
The University of Cincinnati is leading public urban universities into a new era of innovation and impact. Our faculty, staff and students are saving lives, changing outcomes and bending the future in our city's direction. Next Lives Here.
Related Stories
Why so much hype around the new Grand Theft Auto?
November 6, 2026
UC experts from DAAP's game and animation program to a doctor at the Lindner Center of HOPE discuss the pros and cons surrounding the upcoming billion-dollar game Grand Theft Auto VI.
Are you experiencing “post-election stress disorder”?
November 6, 2026
Feelings of stress and anxiety tied to election results can persist even after the votes are counted, said University of Cincinnati psychiatrist Julia Stimpfl, MD, even though “post-election stress disorder” is not officially recognized as a mental illness. As she recently told Spectrum News 1 Ohio, those feelings can linger even after an election is finalized.
UC political science experts explain implications of Midterm elections
November 5, 2026
Faculty from UC's School of Public and International Affairs helped local and national media outlets understand the issues surrounding the Midterm election results.