Real average hourly earnings decreased by 0.2% from April to May 2026 on a seasonally adjusted basis.
The U.S. Bureau of Labor Statistics (BLS) released the May 2026 Real Earnings report alongside the CPI data at 8:30 AM ET today. This drop shows that consumer price hikes outpaced wage growth over the month.
📉 Month-over-Month Breakdown (April to May 2026)
- Nominal Wages: Average hourly earnings rose by 0.3% (+12 cents) to $37.53.
- Inflation Headwind: The Consumer Price Index for All Urban Consumers (CPI-U) rose 0.5% over the same period.
- Net Real Change: Because inflation grew faster than nominal pay, real hourly earnings shrunk by 0.2%.
- Weekly Earnings: Real average weekly earnings fell by 0.2% as the average workweek remained unchanged at 34.3 hours.
📅 Year-over-Year Shift (May 2025 to May 2026)
- Real Hourly Earnings: Decreased 0.8% over the past 12 months.
- The Gap: Nominal average hourly earnings grew by 3.4% over the year but failed to keep up with the 4.2% annual CPI inflation spike.
- Real Weekly Earnings: Decreased by 0.8% over the year, as broader purchasing power continues to take a hit from Middle East energy shocks.
Do you want to see how these real earnings vary by industry (like hospitality versus manufacturing), or look into how this affects household consumer spending trends?
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