Signs of wage growth cooling encouraging amid inflation fight: economists

Early signs of wage growth slowing are an indicator the Bank of Canada's fight against inflation is slowly gaining ground, economists said, but it's too soon to tell whether Canadians will regain the purchasing power they lost amid sustained price growth.

“If wage growth is going to cool, then we better see inflation come down even faster,” said Brendon Bernard, senior economist with job site Indeed.

Otherwise, workers won’t make up that lost ground, he said. 

“It's a bit of a tug of war between the two.”