Here’s the Story on Wage Growth

Has the economy really recovered? Wages are the big story, and Jared Bernstein has everything you ever want to know here. But in case you just want the nickel version, here it is:

Since 2014, hourly wages have gone up 1.6 percent per year for all employees and 1.5 percent per year for production and nonsupervisory employees. The Employment Cost Index, which includes benefits, has increased even less.

The real question, however, is whether we’re seeing any acceleration in wages. It sure doesn’t look like it to me. If you squint, you can see that wage growth is slightly higher since the start of 2017, but that’s entirely due to inflation slowing down to zero. Employers haven’t quite caught on to that yet, but they will.

HERE ARE THE FACTS:

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ONE MORE QUICK THING:

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As we wrote over the summer, traffic has been down at Mother Jones and a lot of sites with many people thinking news is less important now that Donald Trump is no longer president. But if you're reading this, you're not one of those people, and we're hoping we can rally support from folks like you who really get why our reporting matters right now. And that's how it's always worked: For 45 years now, a relatively small group of readers (compared to everyone we reach) who pitch in from time to time has allowed Mother Jones to do the type of journalism the moment demands and keep it free for everyone else.

Please pitch in with a donation during our fall fundraising drive if you can. We can't afford to come up short, and there's still a long way to go by November 5.

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