Tag: real wages falling

Dallas Fed: Over Half of Americans Experienced Real Wage Declines This Year

Guest Post by Martin Armstrong

The Dallas Federal Reserve found that the decline in real wages is at a severity not seen in 25 years. Simply put, when adjusted for inflation, American’s paychecks are down despite wages going up. The median decline in real wages surpassed 8.5% this September.

"How severe are the losses for workers experiencing negative real wage growth? For the 53.4 percent of such workers in second quarter 2022, the median decline (that is, half of the declines were larger and half smaller) in real wage growth was 8.6 percent."

Continue reading “Dallas Fed: Over Half of Americans Experienced Real Wage Declines This Year”

About Those Rising Wages: Real Hourly Earnings Drop To Lowest In 2015

Tyler Durden's picture

Submitted by Tyler Durden on 06/18/2015 09:42 -0400

When the “expert” weathermen advocates of a Fed rate hike (because it “proves the economy is getting better”) are cornered, their cop out excuse is that “wage growth is just around the corner”, and then the promptly point to soaring labor costs, which as we showed have nothing to do with actual wages and everything to do with even more soaring healthcare costs incurred by employers courtesy of Obamacare.

What they don’t touch on is facts, which as we have shown before are bad because not only is nominal wage growth for over 80% of the labor force barely above recession levels, and in a clear downtrend…

 

… and they certainly don’t discuss real, i.e. net of in/deflation hourly earnings, which in May just dropped to $10.53, indicating zero real wage growth and in fact, the lowest real wage number of 2015.

Continue reading “About Those Rising Wages: Real Hourly Earnings Drop To Lowest In 2015”