Boosting productivity is necessary but not sufficient for wage growth: Disconnect between productivity and a typical worker's compensation, 1948–2015
| Year | Hourly compensation | Net productivity |
|---|---|---|
| 1948 | 0.00% | 0.00% |
| 1949 | 6.25% | 1.55% |
| 1950 | 10.48% | 9.33% |
| 1951 | 11.75% | 12.35% |
| 1952 | 15.04% | 15.63% |
| 1953 | 20.84% | 19.55% |
| 1954 | 23.52% | 21.56% |
| 1955 | 28.74% | 26.46% |
| 1956 | 33.94% | 26.66% |
| 1957 | 37.14% | 30.09% |
| 1958 | 38.16% | 32.78% |
| 1959 | 42.55% | 37.64% |
| 1960 | 45.49% | 40.05% |
| 1961 | 47.99% | 44.36% |
| 1962 | 52.47% | 49.79% |
| 1963 | 55.02% | 55.01% |
| 1964 | 58.50% | 59.99% |
| 1965 | 62.46% | 64.94% |
| 1966 | 64.89% | 70.00% |
| 1967 | 66.89% | 72.05% |
| 1968 | 70.73% | 77.16% |
| 1969 | 74.66% | 77.88% |
| 1970 | 76.59% | 80.37% |
| 1971 | 82.01% | 87.10% |
| 1972 | 91.24% | 92.05% |
| 1973 | 91.29% | 96.75% |
| 1974 | 86.96% | 93.66% |
| 1975 | 86.84% | 97.92% |
| 1976 | 89.66% | 103.44% |
| 1977 | 93.13% | 105.79% |
| 1978 | 95.96% | 107.79% |
| 1979 | 93.43% | 108.14% |
| 1980 | 88.56% | 106.57% |
| 1981 | 87.59% | 111.02% |
| 1982 | 87.76% | 107.88% |
| 1983 | 88.35% | 114.13% |
| 1984 | 86.94% | 119.73% |
| 1985 | 86.31% | 123.43% |
| 1986 | 87.32% | 127.99% |
| 1987 | 84.59% | 129.12% |
| 1988 | 83.85% | 131.78% |
| 1989 | 83.70% | 133.65% |
| 1990 | 82.22% | 136.98% |
| 1991 | 81.87% | 138.89% |
| 1992 | 83.04% | 147.56% |
| 1993 | 83.38% | 148.37% |
| 1994 | 83.82% | 150.75% |
| 1995 | 82.70% | 150.86% |
| 1996 | 82.79% | 156.92% |
| 1997 | 84.80% | 160.50% |
| 1998 | 89.17% | 165.71% |
| 1999 | 91.92% | 172.08% |
| 2000 | 92.90% | 178.50% |
| 2001 | 95.56% | 182.84% |
| 2002 | 99.38% | 190.72% |
| 2003 | 101.63% | 200.17% |
| 2004 | 100.84% | 208.21% |
| 2005 | 100.05% | 213.58% |
| 2006 | 100.21% | 215.48% |
| 2007 | 101.70% | 217.70% |
| 2008 | 101.71% | 218.24% |
| 2009 | 109.69% | 224.75% |
| 2010 | 111.53% | 234.28% |
| 2011 | 109.06% | 234.67% |
| 2012 | 107.27% | 236.51% |
| 2013 | 108.32% | 237.57% |
| 2014 | 109.13% | 239.30% |
| 2015 | 112.53% | 241.08% |
Note: Data are for average hourly compensation 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 minus depreciation per hour worked.
Source: Adapted from Figure K in Josh Bivens and Hunter Blair, Financing recovery and fairness by going where the money is, Economic Policy Institute Report, November 15, 2016
Source: Economic Policy Institute analysis of data from the Bureau of Economic Analysis’ National Income and Produce Accounts and the Bureau of Labor Statistics’ Consumer Price Indexes and Labor Productivity and Costs programs (see technical appendix of Understanding the Historic Divergence Between Productivity and a Typical Worker's Pay for more detailed information)