Inflation-adjusted, or real, average weekly earnings fell by 0.3 percent from December 2006 to January 2007, according to preliminary data released by the Bureau of Labor Statistics of the U.S. Department of Labor.
This decline stemmed from a 0.3 percent decrease in the average weekly hours and a 0.1 percent increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), which were partially offset by a 0.2 percent increase in average hourly earnings.
Real average weekly earnings are calculated by adjusting earnings in current dollars for changes in the CPI-W.
Average weekly earnings rose by 4.0 percent from January 2006 to January 2007. After deflation by the CPI-W, average weekly earnings increased by 2.1 percent. Before adjustment for seasonal change and inflation, average weekly earnings were $573.48 in January 2007, compared with $558.71 a year earlier.