Indicators · Jobs

Labour's share of income

Triggered since Jan 2026

93.4 in Q2 2026 (2017 = 100), the lowest since records began in 1947; down 3.3 points on a year earlier.

Labour's share of US business output, index 2017 = 100
Change over four quarters, points

US recessions Periods when this signal was on

What it measures

The share of US business output paid to workers as wages and benefits (nonfarm business sector, index 2017 = 100).

Why it matters

It is the most direct measure of the argument on this site: output keeps growing while less of it is paid for work. Since 1990 only recessions and the recoveries after them have seen it fall faster than 2 points in a year.

When it triggers

Triggers at a new low by half a point or more, reached by a fall of 2 points or more in a year.

Past triggers

Replaying the rule on the data from Jan 1990, it triggered in Jan 2009, Oct 2022, Jan 2026.

Source: US Bureau of Labor Statistics via FRED.