Greatest Increase Ever in U.S. Wages Is Actually Horrible News
Bloomberg
Published Jul 17, 2020 03:11PM ET
Updated Jul 17, 2020 03:36PM ET
Greatest Increase Ever in U.S. Wages Is Actually Horrible News
(Bloomberg) -- The median weekly earnings of full-time workers in America jumped more than 10% in second quarter from a year earlier, the U.S. Bureau of Labor Statistics reported today.
The data marks the largest increase in the four decades that the agency has tracked it but is skewed by a more sobering reality: massive job losses among lower-wage workers.
“The unusually large increase in median weekly earnings in the second quarter reflects the fact that employment declined more for lower-paid workers than for higher-paid workers,” the report noted.
The trend first started to become clear in labor-market data in April, after businesses across the U.S. shuttered to stem the spread of the virus, putting millions out of work. It’s become more pronounced since.
Median weekly earnings of the nation’s 104.5 million full-time salaried workers surpassed $1,000 for the first time as of June 30, according to the report.
In essence, workers at the lower end of the wage scale --including retail and restaurant staff -- lost a disproportionate number of jobs during the Covid-induced business closures. That pushed up average hourly pay for those left working.
By race, Asians working at full-time jobs earned the most at $1,336, followed by Whites, who made $200 a week more than Blacks. Median weekly earnings of Hispanics were lowest at $786.
©2020 Bloomberg L.P.
Get The News You Want
Written By: Bloomberg
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.