The BLS published its monthly report on Real Earnings today. The average employee is getting hammered because prices are rising faster than wages.

All employees

  • Real average hourly earnings for all employees were unchanged from March to April, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This result stems from a 0.1-percent increase in average hourly earnings being offset by a 0.2-percent increase in the Consumer Price Index for All Urban Consumers (CPI-U).
  • Real average weekly earnings decreased 0.1 percent over the month due to no change in both real average hourly earnings and the average workweek.
  • Real average hourly earnings increased 0.2 percent, seasonally adjusted, from April 2017 to April 2018. The increase in real average hourly earnings combined with a 0.3-percent increase in the average workweek resulted in a 0.4-percent increase in real average weekly earnings over this period.

Production and nonsupervisory employees

  • Real average hourly earnings for production and nonsupervisory employees decreased 0.1 percent from March to April, seasonally adjusted. This result stems from a 0.2-percent increase in average hourly earnings combined with a 0.3-percent increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).
  • Real average weekly earnings increased 0.3 percent over the month due to the decrease in real average hourly earnings combined with a 0.3-percent increase in average weekly hours.
  • From April 2017 to April 2018, real average hourly earnings were unchanged, seasonally adjusted. Combining real average hourly earnings with a 0.3-percent increase in the average workweek resulted in a 0.3-percent increase in real average weekly earnings over this period.

Production Scorecard

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Spend it Wisely

  • For the full year, the BLS reports production and supervisory workers make 0% more per hour than they did a year ago.
  • For the full year, the BLS reports all workers make 0.2% more per hour than they did a year ago. Spend it wisely.

Median Hourly Earnings

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Average reports are a distortion because most of the increases tend to go to the top 10% of workers.

The BLS posts median wages on a lag. 2017 data will be posted in a month or so.

Meanwhile, please note that median hourly earnings are down 7 out of the last 11 years.

Try buying a house on that. And of course, houses are not even in the CPI.

For discussion, please see How the Fed's Inflation Policies Crucify Workers in Pictures.​

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.

Real Hourly Earnings: Assuming You Believe the CPI

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

Congratulations Workers! You Make a Penny More Per Hour Than Last Month

The average worker makes a penny more per hour than last month in real terms. The year-over-year gain is precisely zero.

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.

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 Earnings Have Gone Nowhere For a Full Year

Real hourly wages have risen but average hours worked fell. The combination leaves the average worker no better off.

Congratulations Workers, You Now Make 0.5% More Than a Year Ago

In real (inflation-adjusted) terms workers make 0.5% more than a year ago, assuming one believes the CPI.

Congratulations Workers: You Make 0.3% More Per Hour Than One Year Ago

In real terms, workers make 0.3% more per hour than a year ago, assuming one believes the BLS CPI Statistics.

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.