I understand that full employment might give little incentive for companies to raise wages, but so does a very high unemployment rate. I think that this is worse for job seekers because it would essentially be an employer’s market and they would be able to offer lower wages than normal because there are some many more job seekers vying for a position within the company.
This increased competition for jobs depresses the potential salary and I actually think that when there is full employment a company that would like to hire someone has to offer more incentives and a higher salary in order to lure someone from the company that they are working for since the full employment definition mentions that just about everyone is working.
I think that someone that does not have a job is more likely to consider a lower wage than someone that is already employed. I believe that the unemployment rate favors companies that are looking to hire more employees.