cost-of-living allowance

Thân thiện

The company provides a cost-of-living allowance to employees in the city.

Definition

Noun: 1. An allowance for changes in the consumer price index: A supplementary payment, typically from an employer or government, intended to offset increases in the general price level of goods and services, thereby helping to maintain the recipient's purchasing power.

Usage

The term is used primarily in contexts of employment, government benefits, and economic policy to describe an adjustment to income based on inflation or regional price differences.

Examples

• The company provides a cost-of-living allowance to employees relocated to high-expense cities.
• Retirees received an increase in their cost-of-living allowance this quarter due to rising inflation.
• Negotiating a cost-of-living allowance is crucial when accepting a job in a more expensive country.

Advanced Usage

• Acronym: Often abbreviated as COLA.
  • The union contract includes an annual COLA adjustment.
• As a contractual element: Frequently appears in employment contracts, union agreements, and pension plans.
  • Her compensation package includes a base salary and a cost-of-living allowance tied to the federal index.

Variants and Related Words

• COLA (n.): The common acronym for cost-of-living allowance.
• Inflation adjustment (n.): A broader term for any monetary correction made due to inflation.
• Housing allowance (n.): A specific type of allowance for accommodation costs, which may be part of or separate from a general cost-of-living allowance.

Synonyms

• Increment for inflation
• Purchasing power adjustment

Related Phrases

• To receive a cost-of-living allowance: To be granted this supplementary payment.
  • Expatriate workers often receive a cost-of-living allowance.
• To be adjusted for cost of living: To be modified according to price level changes.
  • The pension is adjusted for cost of living each year.

Học thuật

Noun

1. an allowance for changes in the consumer price index