While official labor statistics indicate the U.S. economy added jobs in April, prominent economist David Rosenberg warns that shrinking take-home pay and underlying job losses severely contradict the mainstream narrative of a “solid” economy.
The Disconnect In Take-Home Pay
The U.S. Bureau of Labor Statistics reported that total nonfarm payroll employment edged up by 115,000 in April 2026, while the overall unemployment rate remained unchanged at 4.3%.
Alongside this growth, average hourly earnings for employees on private nonfarm payrolls rose slightly by 0.2% to $37.41. However, Rosenberg argues these top-line figures mask a much harsher financial reality for the average worker.
“The most critical aspect to the report was the sub-0.2% uptick in average hourly earnings, which means that in real terms, take-home pay fell -0.4% last month,” Rosenberg wrote in a recent post.
He emphasized that this decline follows a 0.6% contraction in March and a flat February, putting a very real squeeze on consumers’ wallets.
This post was originally published here
