Bloomberg: Why Americans Are Making Less Money Despite Trump’s Promises

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Bloomberg: Why Americans Are Making Less Money Despite Trump’s Promises

GOP leaders continue to claim that everyone is sharing in economic growth, but for workers, that’s just not true.

Get the numbers below, and then show your support for Sherrod, who fights every day for policies that actually help workers get ahead—not just in name only:

Bloomberg: Why Americans Are Making Less Money Despite Trump’s Promises

Toluse Olorunnipa and Sho Chandra – August 28, 2018

Key points:

  • Once the impact of inflation is included, ordinary Americans’ hourly earnings are lower than they were a year ago.

  • Real wages have remained mostly stagnant despite an expanding economy, record stock prices, soaring corporate profits and a giant deficit-fueled stimulus from Trump’s tax cuts that took effect Jan. 1.

  • The Trump administration claimed its policies would immediately boost wages, with its tax overhaul ultimately increasing average pay by $4,000 to $9,000. That hasn’t happened.

  • Inflation-adjusted hourly wages dropped 0.2% in July from a year earlier, their worst reading since 2012, according to the Labor Department, amid faster price gains.

  • Trump has been telling voters that wages already are rising at historic rates, though economic data don’t show it. In various recent speeches, he has falsely claimed that wages are going up for the first time in 18 years, 19 years, 20 years, 21 years and 22 years.

  • Average hourly earnings—not accounting for inflation—rose 2.7% in July from a year earlier, the same pace as the 12-month period before Trump’s election. They’ve been rising at an average 2.2% pace since the recession ended in mid-2009.

  • On top of that, workers are failing to reap benefits of legislation cutting corporate taxes, an outcome predicted by some economists before Congress passed the law in December.

Read more here.