real wages

[ree-uhl, reel]

plural noun

Economics.

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

real wages

plural noun

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

real wages

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

Word History and Origins

Origin of real wages¹

First recorded in 1880–85

Example Sentences

That relentless pressure from an organized working class “raised real wages and created a set of fringe benefits, including health insurance and retirement pay,” he says.

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From 1840 to 1900 real wages doubled, and the average lifespan increased by 22%, from roughly 41 years to 50.

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Real per capita income rose by 110% between 1865 and 1910, while real wages of manufacturing workers increased an estimated 173%.

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Real wages have fallen more than 20% since 2023, and consumer spending continues to contract.

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Those Seattle-area workers, frustrated by years of stagnant real wages and the soaring cost of living, went on strike for nearly eight weeks.

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Related Words

• net income