What is one potential consequence of a non-competitive market on labor?

In a non-competitive market, one significant consequence is lower wages and stagnant job growth. When competition among firms is limited, there is often less incentive for employers to attract and retain workers through higher wages or better working conditions. Without pressure from competing employers, companies may prioritize cost-cutting measures over investment in their workforce, which can lead to stagnation in job opportunities and limits on upward mobility for workers. This lack of competitive dynamics in the labor market can result in workers receiving lower compensation, as there is little motivation for companies to offer enhanced pay or benefits when they don't need to compete actively for talent. Consequently, job growth may slow down, as businesses may not feel the need to expand or innovate, knowing they have a captive labor market without the risk of losing employees to rivals.