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Labor Share Drops Again

Posted by: Michael Mandel on November 29

The labor share of corporate output continues to plunge. Based on today’s GDP numbers, labor compensation now accounts for only 61.9% of corporate value-added, marking the seventh straight drop. It’s worth noting that this is the lowest labor share since 1951.


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Reader Comments

Brandon W

November 30, 2006 08:29 AM

There is a tectonic shift in the economy and socioeconomic structure afoot. Unfortunately, most will be on the wrong side of the fault line, sink into the ocean and drown. Get on the right side of the fault line or learn to swim really well; this one is going to be historic.

Thank you for your interest. This blog is no longer active.



Michael Mandel, BW's award-winning chief economist, provides his unique perspective on the hot economic issues of the day. From globalization to the future of work to the ups and downs of the financial markets, Mandel-named 2006 economic journalist of the year by the World Leadership Forum-offers cutting edge analysis and commentary.

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