Floridians' paychecks are smaller in 2012, Labor Department report shows

[Tony_FLADEM]

TALLAHASSEE — Floridians are earning less and taking more low-wage jobs than they were a year ago, with pay rates dropping more than almost anywhere in the country.

Workers saw their pretax paychecks shrink to an average of $847 per week, down $24 or 2.8 percent compared with 2011, according to a U.S. Department of Labor report released Thursday.

Florida trails only Minnesota, Nevada and Connecticut in wage decline, according to the Labor Department.

What that means for Florida's economy depends on whom you ask.

Several think tank and federal government reports say a drop in wages can undermine economic recovery. But many economists also believe the decline can help fuel improvement by encouraging businesses to hire.


http://www.tampabay.com/news/business/more-jobs-but-floridians-are-making-less-in-2012-labor-department-report/1239092

[rfranklin]

1. Sure, giving people less money to spend will surely spur the economy...

Why, as a business owner, would I hire another worker when I can pay the one I have less and make them work more? Besides, the customers I have who are now being paid less are spending less so I certainly am not going to hire more workers.

Those Republican economists have a problem with logic.