--- canonical_url: "https://csls.ca/ipm-archive/ipm-issue-32/the-decoupling-of-median-wages-from-productivity-in-oecd-countries/" title: "The Decoupling of Median Wages from Productivity in OECD Countries" author: name: "CSLS" url: "https://csls.ca/author/cslc/" date_published: "2026-07-13T07:42:30+00:00" date_modified: "2026-07-13T07:42:30+00:00" post_type: "ipm" summary: "" ipm_issue_period: - "Spring 2017" ipm_keyword: - "1995-2014" - "24 countries" - "decoupling" - "labour share" - "median compensation" - "OECD" - "productivity" - "wage inequality" - "wages" ipm_research_theme: - "Labour" ipm_country_focus: - "International" - "OECD" featured_image: "https://csls.ca/wp-content/uploads/2026/06/IPM_50_banner.webp" status: "publish" --- # The Decoupling of Median Wages from Productivity in OECD Countries Canonical URL: https://csls.ca/ipm-archive/ipm-issue-32/the-decoupling-of-median-wages-from-productivity-in-oecd-countries/ # The Decoupling of Median Wages from Productivity in OECD Countries [Download full PDF article](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-32-3-Schwellnus-Kappeler-Pionnier.pdf) Cite this article × Cite this article as: Schwellnus, Cyrille, Andreas Kappeler, and Pierre-Alain Pionnier. 2017. “The Decoupling of Median Wages from Productivity in OECD Countries.” International Productivity Monitor, No. 32 (Spring 2017): 44–60. https://www.csls.ca/ipm-archive/ipm-issue-32/the-decoupling-of-median-wages-from-productivity-in-oecd-countries/ ## Authors: - Cyrille Schwellnus OECD - Andreas Kappeler OECD - Pierre-Alain Pionnier OECD ## IPM Issue 32 Spring 2017 pp. 44–60 ## Related IPM articles [Is the SNA Still Useful? 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The Canadian Experience Tim Sargent Fall 2024 | IPM Issue 47 | pp. 39–53](https://csls.ca/ipm-archive/ipm-issue-47/how-does-industrial-policy-impact-output-hours-and-productivity-the-canadian-experience/) [Climate Change and Productivity — An Exploration Dirk Pilat Fall 2024 | IPM Issue 47 | pp. 54–86](https://csls.ca/ipm-archive/ipm-issue-47/climate-change-and-productivity-an-exploration/) ## Abstract ## Résumé EN FR Copy link Email LinkedIn Over the past two decades, aggregate labour productivity growth in most OECD countries has decoupled from real median compensation growth, implying that increasing productivity is no longer sufficient to raise real wages for the typical worker. This article provides a quantitative description of decoupling in OECD countries over the past two decades, with the results suggesting that it is explained by declines in both labour shares and the ratio of median to average wages (a partial measure of wage inequality). Labour shares have declined in about two thirds of the OECD countries covered by the analysis. However, the contribution of labour shares to decoupling is smaller if sectors are excluded for which labour shares are driven by changes in commodity and asset prices (primary and housing sectors) or by imputation choices (non-market sectors). The ratio of median to average wages has declined in all but two of the OECD countries covered by the analysis and appears to reflect disproportionate wage growth at the very top of the wage distribution rather than stagnating median wages. The causes of these developments will be analysed in follow-up research. In the long run, raising productivity is the Au cours des deux dernières décennies, la croissance de la productivité du travail globale dans la plupart des pays de l’OCDE s’est découplée de la croissance de la rémunération réelle médiane, impliquant qu’une productivité croissante n’est plus suffisante pour augmenter les salaires réels du travailleur typique. Cet article fournit une description quantitative du découplage dans les pays de l’OCDE au cours des deux dernières décennies, les résultats suggérant qu’il s’explique par des baisses à la fois des parts du travail et du ratio salaire médian/salaire moyen (une mesure partielle de l’inégalité salariale). Les parts du travail ont diminué dans environ deux tiers des pays de l’OCDE couverts par l’analyse. [Download full PDF](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-32-3-Schwellnus-Kappeler-Pionnier.pdf)