Last week the BLS reported on Real Earnings for January 2020.

All Employees

  • Real average hourly earnings for all employees increased 0.1 percent from December to January, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This result stems from an increase of 0.2 percent in average hourly earnings combined with an increase of 0.1 percent in the Consumer Price Index for All Urban Consumers (CPI-U).
  • Real average hourly earnings increased 0.6 percent, seasonally adjusted, from January 2019 to January 2020. The change in real average hourly earnings combined with a 0.6-percent decrease in the average workweek resulted in essentially no change in real average weekly earnings over this period.

Production and Nonsupervisory Employees

  • Real average hourly earnings for production and nonsupervisory employees were unchanged from December to January, seasonally adjusted. This result stems from a 0.1-percent increase in average hourly earnings combined with an increase of 0.1 percent in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).
  • From January 2019 to January 2020, real average hourly earnings increased 0.7 percent, seasonally adjusted. The change in real average hourly earnings combined with a 0.6-percent decrease in the average workweek resulted in a 0.1-percent increase in real average weekly earnings over this period.​

Greatest Ever

RECOMMENDED ARTICLES

Image placeholder title

Hip Hip Hooray!

  1. On an hourly basis both groups are doing better than a year ago assuming of course you believe the CPI.
  2. Although all employees are doing no better in terms of take home pay, I am pleased to report production and supervisory workers are doing 0.1% better than a year ago, again assuming you believe the CPI.
  3. And there is the added benefit of making the same for working 0.6% fewer hours, assuming one really did work fewer hours as opposed to not getting paid for hours worked.

Those of you who question the CPI have the right idea. For discussion, please see BLS Reports Tame Inflation as Medical Costs Soar Out of Sight.

For those of you who believe the CPI and really did work fewer hours for an extra 0.1% I have to ask: Is the the Greatest Economy Ever™ or what?

Mike "Mish" Shedlock

Real Wages Decline Year-Over-Year

Wages are not keeping up with consumer price inflation. The average worker is worse off than a year ago.

Real Hourly Earnings: Assuming You Believe the CPI

In the past year, real wages rose eight months, fell once, and were flat three times.

Real Wages Decline in December, Barely Up From Year Ago

Real wages for production workers fell 0.2% in Dec. Real wages for all employees fell 0.1%. Both barely up from yr ago.

Real Hourly Earnings Scorecards: Employees Making Way Less Than 9 Months Ago

Hourly wages, in real terms, have been on the decline for nine months.

Real Hourly Earnings Decrease 0.1%, Real Weekly Earnings Drop 0.4%, Hooray!

As a result of a rising CPI real hourly earnings are down 0.1% for the month. Coupled with shrinking work hours, real weekly earnings declined 0.4% for the month.

Hooray! Your Real Earnings Declined in August

The BLS Real Earnings Report for August shows your average earnings decreased 0.3% for the month due to a rise in the CPI coupled with no wage gains.

Congratulations Workers! You Make One Penny More Than a Year Ago

Real wages for production and nonsupervisory workers are up precisely one penny per hour from January of 2017.

Real Hourly Earnings Decline YoY for Production Workers, Flat for All Employees

Today's CPI report that shows inflation rose only 0.1%. Real wages are not keeping up even with that.

Productivity Up 2.9% - Real Hourly Earnings Down: Thank You Fed!

Productivity for the second quarter rose 2.9%. Year-over-year inflation-adjusted hourly earnings are down.