Red-hot inflation more than eroded the wage gains of Americans for the sixth month in a row in March, effectively giving a pay cut to many workers who saw their paychecks expand on paper, but shrink in real terms.
The Bureau of Labor Statistics (BLS) said in a recent statement that the average hourly earnings for all U.S. employees grew by 0.4 percent month-over-month in March in nominal terms. But when combined with the 1.2 percent pace of inflation in March, this means U.S. workers saw their real—or inflation-adjusted—hourly earnings drop by 0.8 percent.
