Real Earnings on the Rise for U.S. Workers

Wages are finally making notable headway against the cost of living.

According to a recent news release by the U.S. Department of Labor's Bureau of Labor Statistics, average real earnings (average earnings deflated by the CPI-W, the Consumer Price Index for Urban Wage Earners and Clerical Workers) are on the rise.

Average real earnings increased 3.2%, seasonally adjusted, from October 2005 to October 2006.  (Before deflation by the CPI-W, average earnings rose 4.2%.)

Much of this progress has come in recent months; the BLS also reports that average real earnings rose 1.3% from September to October of this year.