{"id":1467276,"date":"2022-05-07T07:59:54","date_gmt":"2022-05-07T11:59:54","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1467276"},"modified":"2022-05-07T08:01:22","modified_gmt":"2022-05-07T12:01:22","slug":"real-wages-are-falling-fast","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/real-wages-are-falling-fast\/","title":{"rendered":"Real Wages Are Falling Fast"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">10<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Freal-wages-are-falling-fast%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1467276&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"RichTextArticleBody\">\n<div class=\"RichTextArticleBody-body\">\n<p><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/wages\">Wage growth<\/a> <span class=\"ArticlePage-articleBody-firstLetter\">i<\/span>s falling further behind <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/inflation\">inflation<\/a>, meaning that workers&#8217; real wages are falling rapidly. <\/p>\n<p>Average hourly earnings for all employees on private nonfarm payrolls rose by 0.3% in April, a bit lower than economic forecasters had expected, according to data released Friday from the Bureau of Labor Statistics. Nominal earnings have increased 5.5% on an annual basis. <\/p>\n<div class=\"Enhancement\">\n<div class=\"Enhancement-item\"><\/div>\n<\/p><\/div>\n<p>That earnings growth rate is well below inflation. Although inflation numbers are not yet available for April, the Consumer Price Index grew at 8.5% in the year ending in March. <\/p>\n<p>To sum up: Real earnings appear to be falling by a few percentage points, although it&#8217;s difficult to make an apples-to-apples comparison. <\/p>\n<p>The White House Council of Economic Advisers under President Joe Biden acknowledged the bad news about earnings. <\/p>\n<div class=\"Enhancement\">\n<div class=\"Enhancement-item\">\n<figure class=\"Figure mb-1 mb-sm-3 mb-md-1 article-lead-photo data_invisible\" data-align=\"center\" data-image-size=\"fixed\" itemscope itemtype=\"http:\/\/schema.org\/ImageObject\">\n<div class=\"Figure-container\"><source media=\"(max-width: 768px)\" type=\"image\/webp\" data-image-size=\"1060x600_md\" \/><source media=\"(max-width: 768px)\" data-image-size=\"1060x600_md\" \/><source media=\"(max-width: 1440px)\" type=\"image\/webp\" data-image-size=\"1060x600_xl\" \/><source media=\"(max-width: 1440px)\" data-image-size=\"1060x600_xl\" \/><source type=\"image\/webp\" data-image-size=\"1060x600\" \/><source data-image-size=\"1060x600\" \/><div class=\"Figure-credit\" itemprop=\"author\">\n                (White House Council of Economic Advisers)\n               <\/div>\n<\/p><\/div>\n<\/figure><\/div>\n<\/p><\/div>\n<p>&#8220;While we do not yet have inflation numbers for April, it is likely that yearly nominal wage growth was slower than inflation,&#8221; the group said in a <a class=\"Link\" href=\"https:\/\/www.whitehouse.gov\/cea\/written-materials\/2022\/05\/06\/the-employment-situation-in-april-2\/\">blog post<\/a> Friday. <\/p>\n<p>In fact, inflation earnings were already falling at the fastest pace in 40 years before April, according to Jason Furman, the chairman of President Barack Obama&#8217;s Council of Economic Advisers. <\/p>\n<p>Furman wrote in a post for the Peterson Institute of International Economics that Friday&#8217;s report &#8220;suggests that wage growth may be slowing.&#8221; <\/p>\n<p>That is, nominal wage growth is slowing, while inflation is accelerating. <\/p>\n<p>The analysis presented an estimate of wage growth adjusting for the fact that the hourly earnings figures released Friday are affected by changes in the workforce \u2014 for instance, they&#8217;re artificially lowered if more low-income workers are hired back in a given month. <\/p>\n<div class=\"Enhancement\">\n<div class=\"Enhancement-item\">\n<figure class=\"Figure mb-1 mb-sm-3 mb-md-1 article-lead-photo data_invisible\" data-align=\"center\" data-image-size=\"fixed\" itemscope itemtype=\"http:\/\/schema.org\/ImageObject\">\n<div class=\"Figure-container\"><source media=\"(max-width: 768px)\" type=\"image\/webp\" data-image-size=\"1060x600_md\" \/><source media=\"(max-width: 768px)\" data-image-size=\"1060x600_md\" \/><source media=\"(max-width: 1440px)\" type=\"image\/webp\" data-image-size=\"1060x600_xl\" \/><source media=\"(max-width: 1440px)\" data-image-size=\"1060x600_xl\" \/><source type=\"image\/webp\" data-image-size=\"1060x600\" \/><source data-image-size=\"1060x600\" \/><img loading=\"lazy\" decoding=\"async\" class=\"image\" data-image-size=\"1060x600\" alt=\"furman_2022-05-06_fig5a.png\" srcset=\"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2022\/05\/07080058\/90-31 1x, https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2022\/05\/07080118\/90-32 2x\" width=\"1060\" height=\"752\" src=\"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2022\/05\/07080058\/90-31\" \/><\/p>\n<div class=\"Figure-credit\" itemprop=\"author\">\n                (Peterson Institute for International Economics)\n               <\/div>\n<\/p><\/div>\n<\/figure><\/div>\n<\/p><\/div>\n<p><b><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/economy\/economy-beat-expectations-in-april-with-428-000-new-jobs-unemployment-at-3-6\">ECONOMY MARCHED ON IN APRIL WITH 428,000 NEW JOBS, UNEMPLOYMENT AT 3.6%<\/a><\/b> <\/p>\n<p>In other words, paychecks are not growing fast enough to keep pace with the increasing prices for gas, groceries, rent, and a wide range of other costs. <\/p>\n<p>Falling real wages help explain why voters give Biden poor ratings on the economy, even though the labor market looks strong. Friday&#8217;s report <a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/economy\/economy-beat-expectations-in-april-with-428-000-new-jobs-unemployment-at-3-6\">showed<\/a> a healthy increase of 428,000 new jobs in April and the unemployment rate holding at 3.6% \u2014 extremely low by historical standards. <\/p>\n<p><b><a class=\"Link\" href=\"https:\/\/www.washingtonexaminer.com\/\">CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER<\/a><\/b> <\/p>\n<p>The strength of the labor market, though, has been overshadowed in public opinion by soaring inflation.<\/p>\n<\/p><\/div>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Wage growth is falling further behind inflation, meaning that workers&#8217; real wages are falling rapidly. Average hourly earnings for all employees on private nonfarm payrolls rose by<\/p>\n","protected":false},"author":498,"featured_media":2315279,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1467276","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1467276","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/498"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1467276"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1467276\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1467276"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1467276"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1467276"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}