📊 Real Earnings Report: November 2025 – Summary and Economic Insights

The Real Earnings report for November 2025, published by the U.S. Bureau of Labor Statistics, provides a detailed look at how wages are changing in the United States after adjusting for inflation. This report is crucial for understanding whether workers’ purchasing power is rising or falling, which in turn affects consumer spending, economic growth, and overall economic well-being.

Key Findings from the November 2025 Real Earnings Report

  1. Overall Real Earnings Trends
    • 🟢 Real average hourly earnings for all employees increased by 0.8% from November 2024 to November 2025 (seasonally adjusted).
    • 🟢 This increase is the result of a 3.5% rise in average hourly earnings, offset by a 2.7% increase in the Consumer Price Index for All Urban Consumers (CPI-U).
    • 🟢 Real average weekly earnings also rose by 0.8% over the year, as the average workweek remained unchanged.
  2. Production and Nonsupervisory Employees
    • 📈 Real average hourly earnings for production and nonsupervisory employees increased by 1.1% over the year.
    • 📈 This reflects a 3.9% increase in nominal hourly earnings, with the same 2.7% inflation rate (measured by the CPI-W).
    • 📈 Real average weekly earnings for this group rose by 1.4%, helped by a 0.3% increase in the average workweek.
  3. Monthly and Annual Changes
    • 🔄 Over the month, real average hourly earnings for all employees were essentially flat, reflecting small changes in both wages and prices.
    • 🔄 Over the year, the modest gains in real earnings indicate that wage growth is outpacing inflation, but only slightly.
  4. Context and Methodology
    • 🧮 The report uses data from the Current Employment Statistics (CES) survey and adjusts for inflation using the Consumer Price Index.
    • 🧮 The figures represent averages across all private nonfarm jobs, including both full-time and part-time positions, which means the numbers may be lower than for full-time workers alone.
    • 🧮 The report notes that October 2025 data was not published due to a federal government shutdown, so there is a gap in the time series.
  5. Economic Implications
    • 💡 The modest increase in real earnings suggests that workers are seeing some improvement in purchasing power, which can support consumer spending.
    • 💡 However, the gains are not large, and the report highlights that wage growth has slowed compared to previous years, even though it remains above pre-pandemic levels.
    • 💡 The report also points out that wage changes vary significantly by industry, occupation, and demographic group, so not all workers are experiencing these gains equally.

Detailed Insights and Economic Advice

  • ✅ For Policymakers: The slight increase in real earnings is a positive sign, but the pace is modest. Policymakers should monitor inflation closely, as any acceleration could quickly erode these gains. Supporting productivity growth and labor market participation can help sustain real wage growth.
  • ✅ For Workers and Households: While real wages are rising, the increase is small. Households may still feel pressure from higher prices, especially in areas like housing, healthcare, and food. Budgeting and seeking opportunities for upskilling could help individuals benefit more from wage growth.
  • ✅ For Economists and Analysts: The report’s data should be interpreted with caution due to the missing October data and the averaging across all job types. Further analysis by industry and demographic group is recommended to understand the distribution of wage gains.

Summary of Key Numbers

  • 📌 Real average hourly earnings (all employees): +0.8% year-over-year
  • 📌 Real average weekly earnings (all employees): +0.8% year-over-year
  • 📌 Real average hourly earnings (production/nonsupervisory): +1.1% year-over-year
  • 📌 Real average weekly earnings (production/nonsupervisory): +1.4% year-over-year
  • 📌 Nominal average hourly earnings (all employees): $36.86 in November 2025
  • 📌 Consumer Price Index for All Urban Consumers (CPI-U): +2.7% year-over-year

💡 Summary:

The November 2025 Real Earnings report shows that U.S. workers are experiencing modest gains in purchasing power, with real wages rising slightly faster than inflation. While this is a positive development for the economy, the gains are not large and are unevenly distributed. Policymakers, workers, and analysts should continue to monitor wage and price trends, as well as differences across industries and demographic groups, to ensure broad-based improvements in living standards.

References:

Real Earnings, US Bureau of Labor Statistics

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