Despite the tight labor market and large pay increases experienced by many US workers in 2022, wage gains have still not kept pace with inflation. As a result, many households have been struggling financially because real wages have fallen when accounted for inflation. However, recent data has indicated that depending on the direction the economy takes in 2023, there is the potential for a real return in wages if inflation eases.
See "Inflation has been eroding the real wage gains of many US workers ", David Harrison, Wall Street Journal, January 16, 2023