In This Release Is Embargoed — 2006-02-22

Real average weekly earnings fell by 0.2 percent from December 2005 to January 2006 after seasonal adjustment, according to preliminary data released today by the Bureau of Labor Statistics of the U.S. Department of Labor. This decline stemmed from a 0.7 percent increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), which was partially offset by a 0.4 percent increase in average hourly earnings. Average weekly hours were unchanged. Data on average weekly earnings are collected from the payroll reports of private nonfarm establishments. Earnings of both full-time and part-time workers holding production or nonsupervisory jobs are included. Real average weekly earnings are calculated by adjusting earnings in current dollars for changes in the CPI-W. Average weekly earnings rose by 3.6 percent, seasonally adjusted, from January 2005 to January 2006. After deflation by the CPI-W, average weekly earnings decreased by 0.4 percent.