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Workers’ Wage Gains Have Been Erased by Inflation
['Jade Lozada', 'Is A Notus Reporter', 'An Allbritton Journalism Institute Fellow.']
NOTUS
The yearly inflation rate punched in at 3.4% in July.
Overall, real average hourly earnings — workers’ average pay adjusted for inflation — declined 0.1% from June to July.
Workers have for years faced pressure in their pocketbooks from persistent inflation, which was kicked off by the pandemic and, most recently, compounded by the Iran war.
The Federal Reserve has punted interest rate changes at five consecutive meetings, in part due to uncertainty created by the conflict in the Middle East.
The next interest rate decision will be in mid-September.