escalator clause
- A provision in a contract that allows for a growth in payment amounts based on increases in associated costs or the rise of a cap on expenses imposed by the government
- A provision in an employment agreement which allows for a growth in wages due to a surge in the cost of living, yet assures no reduction even if the cost of living decreases
- The trade union negotiated for an escalator clause in the contract to safeguard workers' wages against inflation.
- The tenant's lease includes an escalator clause ensuring rent increases in line with any rise in real estate market values.
- While reviewing the employment contract, the lawyer pointed out an escalator clause, highlighting how salaries would increase with the cost of living.
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