About

Experts | Staff | Board of Directors | Academic Advisory Board | Donate | Impact

The Economic Policy Institute’s vision is an economy that is just and strong, sustainable, and equitable — where every job is good, every worker can join a union, and every family and community can thrive.

About EPI. The Economic Policy Institute (EPI) is a nonprofit, nonpartisan think tank working for the last 30 years to counter rising inequality, low wages and weak benefits for working people, slower economic growth, unacceptable employment conditions, and a widening racial wage gap. We intentionally center low- and middle-income working families in economic policy discussions at the federal, state, and local levels as we fight for a world where every worker has access to a good job with fair pay, affordable health care, retirement security, and a union.

We also know that research on its own is not enough—that’s why we intentionally pair our research with effective outreach and advocacy efforts as we fight to make concrete change in everyday people’s lives.

EPI’s vision for equity, diversity, and inclusion (EDI). The Economic Policy Institute’s vision is for all workers to share equally in the economic prosperity of our country. Our research exposes the forces that seek to exclude and diminish the power of people of color and women—particularly Black, Brown, and indigenous people—to the benefit of white supremacy and wealthy elites. We recognize the economic legacy of anti-Blackness; slavery; colonialization; oppressive policies, practices, and institutions; and the persistence of structural racism, sexism, and xenophobia today. Therefore, our vision elevates the importance of racial, gender, and worker justice as central to the world we want to see. 

A Window of Opportunity

The U.S. economy has deep and enduring systemic inequities that preclude many working people from sharing equally in our country’s prosperity. Inequality has skyrocketed over the last 45 years. The pay of the top 1% of earners grew by over 200%, while the earnings of working people grew at a fraction of that rate, and the racial wage gap widened. [Productivity and typical-worker pay gap widened dramatically since 1979. Source and additional information]

Productivity-Pay Gap

The gap between productivity and a typical worker’s compensation has increased dramatically since 1979: Productivity growth and hourly compensation growth, 1948–2024

Year Productivity Pay
1948q1   100 100
1948q2 101.2 100.8
1948q3 100.8 100.8
1948q4 102.7 103.1
1949q1 102.2 105.4
1949q2 101.3 106.6
1949q3 104.7 109
1949q4 104.7 110.3
1950q1 108.9 111.8
1950q2 110.1 112.4
1950q3 112.1 111.7
1950q4 112.9 112.1
1951q1 111.5 110.2
1951q2 111.6 111.2
1951q3 114.4 113.5
1951q4 114.3 113.7
1952q1 114.3 114.4
1952q2 114.9 115.8
1952q3 115.3 115.8
1952q4 117.5 117.3
1953q1 119.9 119.6
1953q2 120.5 120.6
1953q3 120.2 121.8
1953q4 119.7 122.6
1954q1 120.3 123.7
1954q2 121.8 124.5
1954q3 123.7 125.3
1954q4 126.8 127.8
1955q1 128.8 128.4
1955q2 131.2 130.2
1955q3 131.3 130.6
1955q4 131.8 132.3
1956q1 132.4 134.2
1956q2 132.3 134.5
1956q3 132.3 134.8
1956q4 134.3 135.8
1957q1 135.9 136.4
1957q2 136 137.5
1957q3 136.4 137.9
1957q4 136.5 138.5
1958q1 135 137.5
1958q2 136.3 138
1958q3 139.6 138.8
1958q4 141.9 140
1959q1 143.4 142
1959q2 144.2 143
1959q3 144.5 142.8
1959q4 144.5 143.3
1960q1 148 144.3
1960q2 145.9 145.6
1960q3 146.2 146.2
1960q4 144.9 146.5
1961q1 146.6 147.6
1961q2 151.1 148.4
1961q3 152.8 148.5
1961q4 153.8 149.1
1962q1 155.7 151
1962q2 155.6 151.6
1962q3 157.4 152.3
1962q4 158.9 153.3
1963q1 160.7 154.7
1963q2 161.8 155.8
1963q3 163.8 155.3
1963q4 165.4 157.2
1964q1 167.4 158
1964q2 167 158.6
1964q3 169.6 160.3
1964q4 168.7 160.4
1965q1 171.1 161.6
1965q2 171.4 162.4
1965q3 175 163.1
1965q4 178.5 164.8
1966q1 179.3 165.1
1966q2 178.2 165.4
1966q3 178.7 165.6
1966q4 179.4 165.7
1967q1 180.1 166.8
1967q2 181.7 168.5
1967q3 181.5 168.7
1967q4 182.3 169.2
1968q1 186.3 170.6
1968q2 187.6 171.1
1968q3 187.9 172.2
1968q4 188 172.9
1969q1 189.7 175.1
1969q2 188.8 175.1
1969q3 190.4 176.2
1969q4 189.6 177.2
1970q1 190.1 176.4
1970q2 191.9 176.8
1970q3 195.3 178.6
1970q4 193.9 178.9
1971q1 200 181.1
1971q2 200.8 182.1
1971q3 203.2 183.5
1971q4 202.6 184.9
1972q1 204.7 189.6
1972q2 209.2 191.6
1972q3 211 193.1
1972q4 213.7 193.9
1973q1 214.8 193.8
1973q2 213.8 192.1
1973q3 211.4 191.6
1973q4 211.8 189.9
1974q1 207.3 188.1
1974q2 207.8 187.6
1974q3 206 187.5
1974q4 207 186.6
1975q1 209.3 186.9
1975q2 212.2 187.5
1975q3 214.3 186.9
1975q4 214.7 186.6
1976q1 216.6 187.3
1976q2 218.1 188.7
1976q3 218.1 189.9
1976q4 218.6 190.7
1977q1 219.4 191.5
1977q2 218.6 191.8
1977q3 221.1 193.1
1977q4 220.3 193.5
1978q1 219.5 195
1978q2 222.7 195
1978q3 222.5 194.8
1978q4 224 195.4
1979q1 221.7 195.1
1979q2 220.7 193
1979q3 218.9 192.2
1979q4 216.8 190.7
1980q1 215.7 188.3
1980q2 212.9 188.2
1980q3 212.8 187.9
1980q4 214.7 187.7
1981q1 217.9 186.8
1981q2 216.8 187.3
1981q3 219.2 187.2
1981q4 216 186.5
1982q1 215.4 187.3
1982q2 215.1 187.8
1982q3 214.9 187.5
1982q4 215.9 187.1
1983q1 218.7 189.2
1983q2 221.7 188.9
1983q3 223 188.6
1983q4 225.2 188.5
1984q1 225.5 188
1984q2 226.9 187.7
1984q3 228.2 187.6
1984q4 228.7 187.4
1985q1 229.9 187.2
1985q2 229.9 187.3
1985q3 232.5 187.6
1985q4 232.3 187.2
1986q1 234.2 187.4
1986q2 237.1 189.4
1986q3 237.9 189.4
1986q4 236.7 189.3
1987q1 234.5 187.8
1987q2 235.2 187
1987q3 235.1 186.4
1987q4 237 186.4
1988q1 237.6 186.3
1988q2 238 186.4
1988q3 239 186.1
1988q4 239.6 186.7
1989q1 239.7 186.8
1989q2 239.8 186
1989q3 240.8 186.6
1989q4 240.4 187.1
1990q1 241.6 186.8
1990q2 243.5 186.6
1990q3 241.7 184.9
1990q4 237.7 183.8
1991q1 238.9 184.5
1991q2 242.7 185.7
1991q3 244.3 186.2
1991q4 245.1 186.4
1992q1 249 186.7
1992q2 250.9 187.4
1992q3 253.5 187.7
1992q4 254.6 187
1993q1 253.4 188.3
1993q2 252 187.5
1993q3 252.8 187.7
1993q4 254.5 187.8
1994q1 255.6 188.8
1994q2 255.1 188.2
1994q3 253.8 188
1994q4 256.3 188.2
1995q1 255 187.5
1995q2 255 187.2
1995q3 255 187.5
1995q4 256.8 187.8
1996q1 258.3 187.6
1996q2 259.1 187.5
1996q3 259 188.1
1996q4 258.9 187.9
1997q1 259.3 188.3
1997q2 262.2 189.4
1997q3 264.4 190.4
1997q4 264.9 191.6
1998q1 265.7 192.9
1998q2 266.3 194.3
1998q3 269.5 195
1998q4 270.9 195.8
1999q1 273.8 196.9
1999q2 272.4 197.2
1999q3 273.8 197.7
1999q4 276.3 198
2000q1 273.2 196.9
2000q2 277.9 198.1
2000q3 277.8 198.4
2000q4 280.7 200
2001q1 278.4 200.4
2001q2 281.7 201.6
2001q3 282.2 202.9
2001q4 285.8 205
2002q1 290.7 206.3
2002q2 290.5 206.3
2002q3 292 207.5
2002q4 292.4 209.1
2003q1 294.2 209.2
2003q2 299.9 210.6
2003q3 304 210.4
2003q4 307.3 210
2004q1 307.3 210
2004q2 309.9 209.8
2004q3 311.6 210
2004q4 312.8 209.3
2005q1 316.2 210.2
2005q2 316.7 210.5
2005q3 315.9 209.1
2005q4 316.7 209
2006q1 319.1 209.6
2006q2 318.4 210.1
2006q3 316.6 210
2006q4 319.8 212.6
2007q1 321.4 212.5
2007q2 321.3 212.9
2007q3 323.2 213.7
2007q4 322.7 212.7
2008q1 319.2 212.6
2008q2 319.3 212.2
2008q3 316.9 211
2008q4 321.9 217.6
2009q1 327.4 222.4
2009q2 331.1 222.5
2009q3 333.7 222.1
2009q4 337.1 222.1
2010q1 338.7 224
2010q2 340.6 224.9
2010q3 344.6 225.2
2010q4 344.7 224.8
2011q1 341 223.7
2011q2 339.1 222.1
2011q3 338.2 221.3
2011q4 338.6 221.4
2012q1 340.1 219.9
2012q2 341.9 220.4
2012q3 339.9 220.6
2012q4 339.6 219.8
2013q1 342.4 221.4
2013q2 343.5 223.1
2013q3 344.8 223.5
2013q4 347 224
2014q1 344.2 223.7
2014q2 345.9 223.5
2014q3 349 223.9
2014q4 348.5 225.2
2015q1 352.1 228.1
2015q2 353.7 227.8
2015q3 354.7 228.2
2015q4 353.6 229.9
2016q1 354.6 231.5
2016q2 354.4 231.1
2016q3 355.4 231.5
2016q4 357.9 231.4
2017q1 357.8 231.2
2017q2 357.9 232.4
2017q3 361.4 233.2
2017q4 362.7 232.8
2018q1 364 233.2
2018q2 364.5 234.1
2018q3 365.5 235.2
2018q4 365.2 236.7
2019q1 367.3 237.7
2019q2 368.8 238.3
2019q3 372.1 239.6
2019q4 374.1 240
2020q1 372.7 241
2020q2 385.7 253.7
2020q3 392.3 248.2
2020q4 389.5 248.1
2021q1 394.1 248.5
2021q2 394.9 247.5
2021q3 393.9 247.4
2021q4 395 246
2022q1 390.9 244.3
2022q2 388.3 241.9
2022q3 387.3 241.6
2022q4 389.8 242.5
2023q1 390.7 243.5
2023q2 391.7 245
2023q3 396.2 245.8
2023q4 397.9 247.1
2024q1 399.4 247.3
2024q2 401 248.2
2024q3 402.9 250.4
2024q4 404.3 251.2

 

ChartData Download data

The data below can be saved or copied directly into Excel.

Notes: Data are for compensation (wages and benefits) of production/nonsupervisory workers in the private sector and net productivity of the total economy. “Net productivity” is the growth of output of goods and services less depreciation per hour worked.

Source: EPI analysis of unpublished Total Economy Productivity data from Bureau of Labor Statistics (BLS) Labor Productivity and Costs program, wage data from the BLS Current Employment Statistics, BLS Employment Cost Trends, BLS Consumer Price Index, and Bureau of Economic Analysis National Income and Product Accounts.

Copy the code below to embed this chart on your website.

Despite steady economic growth, the American dream of a good job, a comfortable home, quality health care, a good education, and a secure retirement remains out of reach for tens of millions. This is no accident. It is the result of decades of policies that favor the interests of corporations and the wealthy over those of the vast majority.

Still, there are bright spots amid these troubling data points. Public support for unions is at a near 50-year high—thanks in part to our long-time advocacy of workers’ power and their right to organize. And more than just organizing, from Los Angeles to Detroit, labor unions are flexing their power and winning. The Fight for $15 minimum wage campaign has broken into the mainstream, and there is a growing focus on the yawning inequality we see between the uber-rich and the working class. Further—and driven in no small part by the Economic Policy Institute’s (EPI) leadership on the issue—federal policymakers have shifted toward macroeconomic policies that keep unemployment very low, a game-changing shift for working people.

In this moment, it is imperative that we act. We must produce cutting-edge research and advocate for structural changes and policy interventions that will benefit workers and their families.

Embedded in our work is an acknowledgement that not everyone faces the same challenges. Accordingly, we apply an intersectional lens to all that we do and interrogate how class, race, ethnicity, and gender affect working people.

We have seven strategic priorities:

1. Advance racial and gender justice: At EPI, we know that equity is essential to economic justice. Through our Program on Race, Ethnicity, and the Economy (PREE), EPI works to win policies that eliminate gaps in wages, income, and unemployment rates; improve economic outcomes across race, ethnicity, and gender; promote unionization as a means to advance racial and gender equity; and dismantle structural racism and institutional sexism. Our groundbreaking resource guide helps our partners advance anti-racist research and policy.

In 2023, we conducted original research to help build the case for policies that center the wellbeing of economically vulnerable families and children of color, and we informed more equitable economic and public health policies that help to advance our racial equity and racial justice goals. One report, Chasing the Dream, examined how in the 60 years since the March on Washington for Jobs and Freedom, little progress has been made in removing barriers to the full equitable integration of Black Americans into the U.S. economy.

2. Strengthen labor standards and protect workers’ freedom to join together in a union: EPI is a tireless voice for policies that strengthen workers’ job quality and economic security; raise the minimum wage; and create a pathway to citizenship for immigrants.

EPI has also built a compelling, evidence-based case for the importance of unions and other forms of worker power. We advocate for laws that protect workers’ freedom to form unions and bolster worker organizing campaigns with research and policy. EPI shows that advances in unionization are important not just for the power that unions have in helping all workers use their collective voice for change, but also for their proven ability to help raise the wages of Black workers and close the Black-white wage gap.

3. Make the economy work for working families: EPI believes that families must have robust supports including: fair scheduling and paid leave that allows them to take care of their loved ones; affordable and accessible childcare, long-term care, and elder care which compensates care workers fairly; dignity and economic security in retirement; and a robust unemployment insurance system which expands automatically when it is needed most.

EPI’s well-known Family Budget Calculator helps policymakers, advocates, and the public understand the income a family needs to attain a modest yet adequate standard of living, and EPI’s research on care workers has helped national and state partners advance campaigns to improve the quality of care and the living standards of care workers.

4. Fortify the public sector: EPI champions a robust public sector which protects and supports workers and their families. At the federal level, we analyze fiscal policy, revenue proposals, and spending and deficit projections as we advocate for progressive taxation to fund a robust public sector and strong social insurance programs. At every level, we work to ensure governments have the capacity to enforce laws protecting workers; deliver vital public services, including public education; invest in infrastructure and climate resilience; administer safety net and social insurance programs; and protect our democracy. EPI also advocates for policies that work to strengthen and expand the right of public sector workers to unionize.

5. Ensure climate and industrial policy centers workers: EPI promotes economic growth that is strong and equitable, but also clean and sustainable. EPI will champion industrial and climate policies that benefit workers and their communities; trade policies which boost investments in key sectors and restore bargaining power to workers; and investments that increase the supply and reduce the prices of housing.

Right now, progressives have a historic opportunity to use industrial policy to steer resources stemming from the Inflation Reduction Act, the CHIPS and Science Act, and the Bipartisan Infrastructure Law, to accomplish the economic justice goals we’ve long fought for, including: building worker power; strengthening labor standards; and advancing racial, gender, and climate justice.

Together, these bills establish more than 160 entirely new programs, impact hundreds of existing programs, and infuse billions of dollars into the economy. We must take advantage of these myriad opportunities and ensure these funds and programs are implemented successfully at the state and local levels and in an equitable, pro-worker manner.

Tying industrial policy to mandates that increase worker bargaining power and advance racial and gender equity is crucial. Linking industrial policy to labor standards and institutions has a rich and successful history in the United States and the current moment offers us a once-in-a-generation opportunity to lean into that history.

6. Shape the narrative on technology’s impact on workers: Though often blamed for workers’ distress, technological change has generally benefited working people and led to rising wages over time. Since its founding, EPI’s research has counteracted narratives that scapegoat technological change as a driver of weak wage growth, highlighting that such arguments are often a deliberate distraction from the policy decisions that actually drive wage suppression by shifting power to employers. EPI will establish a forward-looking framework for assessing when technology is likely to be used as a tool for wage suppression and when it can be used to boost workers’ productivity and leverage, steering the conversation toward proactive solutions.

7. Spearhead a progressive approach to macroeconomics: EPI has long advocated that macroeconomic policymakers should use all levers at their disposal to keep unemployment low. The Federal Reserve Board should set interest rates that achieve both stable inflation and maximum employment. When the Fed’s tools aren’t enough to generate full employment, Congress must step in with robust relief and recovery measures to generate vigorous job growth. The fruits of EPI’s work can be seen in the government’s response to the COVID-19 pandemic in 2020. In stark contrast to the austerity policies in the aftermath of the Great Recession that led to a decade of elevated unemployment, the Biden Administration successfully made several large fiscal investments that helped generate one of the strongest recoveries on record.

EPI will continue to call on policymakers to use all available tools to maintain tight labor markets. We will also advocate for policies to slash exorbitant CEO pay and work to counter claims that tax cuts for wealthy households and corporations spur economic growth.

As we advance our work in these seven areas, EPI is reshaping the narrative on the economy, countering harmful narratives, and advancing our vision for an economy that is equitable, strong, and sustainable. We do so by advocating progressive, proactive economic justice policies in Congress and in state legislatures; creating deep partnerships with national, state, local, and grassroots allies; and ensuring that our rigorous research continues to be cited in thousands of media outlets and shared on social media

EPI in the States

At the state level, EPI’s Economic Analysis and Research Network (EARN) of 57 research, policy, and advocacy groups is at the forefront of battles for stronger labor standards; increases in worker bargaining power; higher pay for teachers and public sector workers; and racial, gender, and economic justice across the country.

Importantly, EPI works with and for people in 45 states and D.C. to address key issues of local concern. In the South, that means co-creating an economic agenda for worker, racial, and gender justice that prioritizes Black and brown workers. In the Midwest, EARN granted funds to five state partnerships in Iowa, Michigan, Missouri, Ohio, and Wisconsin to work on issues ranging from labor standards enforcement to universal basic income—and successfully battled wage theft in IA and OH. And recently, EARN committed to provide $400,000 grants to five state partnerships over two years to advance policies that improve economic justice for children and families. This is but a sampling of EARN’s state- and local-level work and impact in communities.

Our Opportunity

The stakes have never been higher. We are living in a time of sharp ideological division, deep racial injustice, and profound economic inequality. Our very democracy is at risk. At the same time, major federal investments into clean energy innovation, along with a broad and growing interest in organizing for worker power, racial justice, and a fairer economy, have created enormous opportunities for progress. There is much work to do to ensure these investments are made equitably and that the Black and brown communities who have disproportionately experienced the harm of structural racism benefit from these investments.

To reach the program goals above, EPI has an operating budget of $13.3 million in 2024 and needs to raise $2 million in new funds. These resources will be used to expand EPI’s capacity to influence organizing and policy at the federal, state, and local level; support staff; and regrant funds to state EARN groups and grassroots partners.

A Bit of History

EPI provides visionary solutions and leadership. EPI was the first—and remains the premier—think tank to focus on the economic condition of low- and middle-income Americans and their families. EPI shapes public policy on the federal and state level through compelling research and innovative ideas. We are recognized as national leaders on breakthrough liberal economic policies. Our encyclopedic State of Working America, published 12 times since 1988, and in complete electronic form as well, is stocked in university libraries around the world. In the 1990s EPI researchers were the first to illustrate the decoupling of productivity and pay in the U.S. economy, a trend now widely recognized as a key element of growing economic inequality. EPI changed the nature of public debates over international trade agreements by underscoring their effects on workers and the importance of putting enforceable labor standards in trade agreements.

EPI research associate and Yale university professor Jacob Hacker developed the concept of the public option—the idea that the government would provide health insurance and compete with private insurers to assure robust competition. EPI’s analysis has also shaped the way the economy is viewed. For instance, EPI researchers were the first ones to profile the emerging gap between growing productivity and the wages and compensation of typical workers. An EPI economist was the first to compute the ratio of unemployed workers to job openings—the job-seekers-to-job-openings ratio—a commonsense way to help the public understand the difficulty of finding a job. EPI has long profiled the stagnation of workers’ wages, the deterioration of job quality, and rising inequalities. EPI also oversaw the formation of the Economic Analysis and Research Network (EARN) of nearly sixty state and regional multi-issue research, policy, and advocacy organizations.

EPI has focused, and continues to focus unrelentingly and unfailingly, on the dynamics of wage stagnation for most workers and rising inequality and on what can be done to halt and reverse these trends.

Read The workers’ think tank: A history of the Economic Policy Institute

EPI’s research is cutting-edge, original, and reliable, and it spans a broad range of economic issues. EPI analyses are a trusted resource for policymakers, those in the media, national progressive advocacy organizations, and state research organizations. EPI conducts original research according to rigorous standards of objectivity and, as a result, is a reliable source of information and analysis. In-house researchers maintain their standing in the academic community by publishing findings in prestigious peer-reviewed academic journals and by delivering public lectures, speeches, and testimony. Our methods for ensuring our research methodologies are exemplary and include the use of highly qualified researchers and reviews by outside experts from across the ideological spectrum.

EPI has world-class expertise. Our team includes the best minds in economics and other disciplines. Our broad network of researchers and scholars has made EPI the authoritative source on the economic well-being of working Americans. EPI’s staff includes ten Ph.D.-level economists and a number of other experts with advanced degrees in sociology, public policy, and law. Our staff also includes 13 policy analysts and research assistants, and a full communications and outreach staff.

How we do it. EPI produces numerous research papers and policy analyses; sponsors conferences and seminars; briefs policymakers at all levels of government; provides technical support to national, state, and local constituency and advocacy organizations; testifies before national, state, and local legislatures; and provides information and background to the media. In a typical year, EPI is cited in the media more than 20,000 times and is mentioned and/or our staff are seen or heard by over 300 million people on television and radio.

Who supports us. EPI is a 501(c)(3) nonprofit corporation. Almost two-thirds of our funding comes in the form of foundation grants, while around one-fifth is from labor unions. EPI also receives support from individuals, corporations, and other organizations. See the figure below. A current list of EPI donors and a statement of our funding and disclosure principles is available here.

Sources of EPI funding in 2021

Source Share of funding
Foundations 79%
Labor Unions 14%
Corporations/Organizations 2%
Individuals 3%
Other 2%

Other resources