Real Wages Are Up—But So Is the Price of Everything Else The media’s touting a 1.42% increase in real wages from January to December 2025, but here’s what they won’t say: that “gain” is barely keeping pace with inflation, which is still at 2.7% according to the latest Consumer Price Index report. In fact, even official government data show that real average weekly earnings — which account for price changes — only rose about 0.8% over a similar period, meaning most wage gains were eaten up by rising costs for everyday goods like food, rent, and services. That reality — an engineered inflation wage illusion — highlights how modest wage growth can be touted as progress even when workers’ purchasing…
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