cost-of-living adjustment

(redirected from Cost-of-Living Increase)
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Related to Cost-of-Living Increase: Cost Of Living Adjustment

Cost-of-Living Adjustment

An increase to a wage, salary, or pension designed so that the real value remains the same. That is, a cost-of-living adjustment increases the underlying wage, salary, or pension so that it keeps pace with (but does not run ahead of) inflation. Federal pensions and Social Security include cost-of-living adjustments, though few other pensions do.

Cost-of-living adjustment (COLA).

A COLA results in a wage or benefit increase that is designed to help you keep pace with increased living costs that result from inflation.

COLAs are usually pegged to increases in the consumer price index (CPI). Federal government pensions, some state pensions, and Social Security are usually adjusted annually, but only a few private pensions provide COLAs.

cost-of-living adjustment (COLA)

A change in payments, such as rent in subsidized housing, based on a change in the index that measures inflation.

References in periodicals archive ?
* Average salary over an employee's career: if an employee reaches his/her peak position within, say, four years, and for the next 36 years receives only a cost-of-living increase, will the group pay literally a career average?
The inflation-busting rise came just weeks after 14,000 RCT council staff staged a one-day strike to demand a cost-of-living increase.
This bill provides a cost-of-living increase, to begin on December 1, 2001, that the House Committee on Veterans' Affairs estimates at 2.7%.
But staff members have been told there will be no across-the-board cost-of-living increase for the fourth year running.
For the last ten years, she has had a 7.5 per cent cost-of-living increase while other workers have had to make do with rises of three per cent or less.
Annual ASAE dues will increase by $35 (to $220 for staff, $250 for CEOs, and $350 for associate members) to enable access to all sections and to reflect a cost-of-living increase. The dues increase is the first in four years.
Louis Gerstner, CEO of IBM, enjoyed a rather nice cost-of-living increase, from $15.6 million in 1995 to $20.2 mil last year, a 29.4 percent raise.
Employees with base salaries below the competitive external market are eligible to receive a raise, depending on their job performance and the cost-of-living increase, and a possible variable pay award based on their individual performance and the company's or department's performance.
The union's initial proposal May 25 sought a 5.75 percent cost-of-living increase over two years, which would cost the district slightly more than $6 million over the two years.
Shane Broadway had authored a bill including a cost-of-living increase for the schools, and he assured some concerned educators it would be there.
There's an annual cost-of-living increase built in to help you keep up with inflation - except for 1995.
Inevitably, the annual cost-of-living increase became an intrinsic part of that expectation.