Jul 19, 2023 - Economy
Wage increases are finally beating inflation
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Another measure just dropped showing that wages are beating inflation.
Why it matters: Paychecks are a crucial way Americans experience the economy, and for a while there inflation was shrinking people's real wages — making them feel pretty miserable.
Driving the news: Median weekly earnings for full-time workers in the U.S. reached $1,107 in the second quarter of the year — up 5.6% from the same quarter in 2022, according to fresh government data out Tuesday.
- The consumer price index rose 4% during the same period, the Labor Department notes in its release. (By June, of course, the CPI had fallen to 3%.)
By the numbers: The data breaks down earnings by race and gender, too. Women's median weekly earnings were 84% of what men earned.
- Black Americans' median earnings were $913 a week, compared to $851 for Hispanic Americans, $1,126 for whites and $1,449 for Asian Americans.
- Of note: The gender wage gap is wider for higher earners: The highest earning tenth of male workers made $4,715 or more per week, per the BLS, compared with $3,447 or more for their female counterparts.
