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TAKE THE QUIZescalator clause
noun
es·ca·la·tor clause
ˈes-kə-ˌlā-tər-
1
: a clause in a contract that provides for an increase in the amount of the payments made under the contract to reflect an increase in costs or the raising of a government-imposed cap on costs
2
: a clause in an employment contract that provides for an increase in wages to reflect a rise in the cost of living but prohibits a decrease to reflect a drop in the cost of living
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Merriam-Webster unabridged
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- The business’s new computer system proved not to be a panacea.


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