real wages

American  

[ree-uhl, reel] / ˈri əl, ril /

plural noun

Economics.

1. wages estimated not in money but in purchasing power.

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real wages British  

plural noun

1. economics wages evaluated with reference to their purchasing power rather than to the money actually paid Compare money wages

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real wages Cultural  

1. Wages adjusted for the prevailing level of consumer prices. (See also constant dollars.)

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Etymology

Origin of real wages

First recorded in 1880–85

Example Sentences

Indeed, the economists expect inflation to outpace wage growth in the second half of the year, leading to a decline in real wages that will likely weigh on consumer spending.

From The Wall Street Journal • Jun. 17, 2026

The new technologies of the Information Age led to growing average real wages and household incomes, but many workers were left behind.

From The Wall Street Journal • Jun. 10, 2026

“Even if the war ends quickly, the economy will likely take some time to reset, and real wages may take a hit until then,” he said.

From MarketWatch • May 12, 2026

The decrease in real wages is “a big turnaround from the past few years, when wages were growing well above inflation for most workers.”

From MarketWatch • Apr. 10, 2026

The war brings about a dislocation of the world industry, a shrinking of capital, and in the end higher prices and a possible reduction in real wages.

From American World Policies by Weyl, Walter E.

Related Words

• net income