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Related: About this forumTrump administration disputes that U.S. workers' wages have flatlined
Source: Washington Post
Trump administration disputes that U.S. workers wages have flatlined
By Jeff Stein
September 5 at 4:33 PM
The Trump administration Wednesday disputed government data showing that workers wages have remained largely stagnant despite low unemployment and robust economic growth.
Government statistics have shown wage growth for American workers has been largely flat over the past year, inching up by about 0.1 percent. That finding has become a key criticism of President Trump's economic record, cited by Democrats to back their argument that the economy is not as healthy as the president claims.
But in a report released Wednesday, the White House Council of Economic Advisers said workers wages have increased by about 1.4 percent over the past year, contradicting official statistics showing they have barely budged.
Trump has claimed on Twitter that in many ways this is the greatest economy in the HISTORY of America, drawing scorn from Democratic members of Congress who say the president is ignoring a flattening in take-home pay for most workers.
"The reality is that wages for workers in the middle class remain flat and the income inequality gap continues to widen, Senate Minority Leader Charles E. Schumer (D-N.Y.) said last month.
-snip-
By Jeff Stein
September 5 at 4:33 PM
The Trump administration Wednesday disputed government data showing that workers wages have remained largely stagnant despite low unemployment and robust economic growth.
Government statistics have shown wage growth for American workers has been largely flat over the past year, inching up by about 0.1 percent. That finding has become a key criticism of President Trump's economic record, cited by Democrats to back their argument that the economy is not as healthy as the president claims.
But in a report released Wednesday, the White House Council of Economic Advisers said workers wages have increased by about 1.4 percent over the past year, contradicting official statistics showing they have barely budged.
Trump has claimed on Twitter that in many ways this is the greatest economy in the HISTORY of America, drawing scorn from Democratic members of Congress who say the president is ignoring a flattening in take-home pay for most workers.
"The reality is that wages for workers in the middle class remain flat and the income inequality gap continues to widen, Senate Minority Leader Charles E. Schumer (D-N.Y.) said last month.
-snip-
Read more: https://www.washingtonpost.com/business/2018/09/05/trump-administration-disputes-wages-american-workers-have-flatlined/
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Trump administration disputes that U.S. workers' wages have flatlined (Original Post)
Eugene
Sep 2018
OP
TreasonousBastard
(43,049 posts)1. 1.4% ain't much to brag about, either. At 50,000 a year, that's
a $700 raise.
Before taxes.
sandensea
(21,642 posts)5. And after inflation, that's definitely in the red.
Appropriately enough - for Trump.
Bernardo de La Paz
(49,013 posts)2. But there is a rise
... in profits
elleng
(131,006 posts)3. Anything can be proven with 'statistics.'
Arkansas Granny
(31,519 posts)4. They must have some more of those "alternate facts" to use.
at140
(6,110 posts)6. Marketwatch headline says something different
progree
(10,909 posts)7. It also said inflation got it all - real (i.e. inflation-adjusted wages) are indeed flat
https://www.marketwatch.com/story/us-adds-201000-jobs-as-wage-growth-accelerates-to-nine-year-high-2018-09-07
Whats more, the yearly rate of pay increases climbed to 2.9% from 2.7%, marking the highest level since June 2009.
... Consumers are feeling more of the brunt of inflation. Most if not all of the increase in pay over the past year has been eaten up by higher inflation. The cost of living as measured by the consumer price index has also climbed 2.9% in the past year.
"Most if not all" should be replaced by "All".
As for the 1.4% wage increase over the past year in the OP, that doesn't match with any wage increase I've seen reported anywhere else, either nominal or inflation-adjusted. Reading the WaPo article, they made 4 adjustments:
Increases in health benefits my ass. Sure the employer is paying more, but so are employees.
It goes on to point out that some of these adjustments can be applied to Obama's record too.
Whats more, the yearly rate of pay increases climbed to 2.9% from 2.7%, marking the highest level since June 2009.
... Consumers are feeling more of the brunt of inflation. Most if not all of the increase in pay over the past year has been eaten up by higher inflation. The cost of living as measured by the consumer price index has also climbed 2.9% in the past year.
"Most if not all" should be replaced by "All".
As for the 1.4% wage increase over the past year in the OP, that doesn't match with any wage increase I've seen reported anywhere else, either nominal or inflation-adjusted. Reading the WaPo article, they made 4 adjustments:
But the Trump administration said those statistics ((the BLS statistics that real (inflation-adjusted) wage growth declined 0.2% in July)) are misleading, in part because they ignore bonuses and increases in health-care benefits. The official BLS statistics also fail to account for the Republican tax law passed last fall, as well as demographic trends that are quickly pushing older workers with higher earnings into retirement, the Council of Economic Advisers said.
Increases in health benefits my ass. Sure the employer is paying more, but so are employees.
It goes on to point out that some of these adjustments can be applied to Obama's record too.
Others pointed out that even under the CEA's rosier estimates, the pace of wage growth has still stalled since 2015, declining slightly from Obama's administration to Trump's.
at140
(6,110 posts)8. Inflation is no. 1 killer for us seniors as well, not just working folks!
Real inflation for us is healthcare costs, rents, groceries, utilities, car prices etc.
That 2.9% cpi is a cruel joke for old people on fixed incomes.