Key Points:
- Real average hourly earnings are hourly earnings adjusted for inflation. They are one measure of real wages, which represent the economic return to work.
- Despite average hourly earnings trending up, wages are still down after adjusting for inflation.
- The Consumer Price Index (CPI) rose 0.3% in January from December and is up 3.1% in the last year.
- Real average hourly earnings have fallen from $35.31 in January 2021 to $34.55 in January 2023, a 2.1% decline.