The Dow Jones Industrial Average is near an all-time high, but while corporate profits follow suit, employee paychecks are not keeping pace.
A New York Times analysis finds the gap between business profits and employee pay is the greatest it has been since 1966.
In short, companies have become more productive with what they have.
In Houston, where the city has been named the best place in the country for corporate relocation and expansion, unemployment tracks below the national average and tens of thousands of new jobs are projected through the end of the year.
"Business is not a social agency. It's a for-profit operation, and we have to have those businesses making the money, because they're the ones paying taxes," says Patrick Jankowski, Greater Houston Partnership VP of Research. "Eventually they'll get around to hiring; they're the ones who keep the rest of the economy going."
On a national scale, analysts expect paychecks and jobs won't keep pace with profits, unless productivity begins to suffer with the existing workforce.