DEFINITION of 'Consumer Price Index For Urban Wage Earners And Clerical Workers - CPI-W'
A variation of the consumer price index, as complied by the Bureau of Labor Statistics in the United States, that measures the consumer prices certain workers are exposed to. The index is primarily used on an annual basis, to reflect changes in the costs of benefits paid to Social Security beneficiaries.
The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) is updated monthly - usually with a one-month lag.
BREAKING DOWN 'Consumer Price Index For Urban Wage Earners And Clerical Workers - CPI-W'
The CPI-W is calculated using the same data collected by the Bureau of Labor Statistics, but includes information from only certain demographics: those households with at least 50% of the household income coming from clerical or wage paying jobs, and at least one of the household's earners must have been employed for at least 70% of the year.
The CPI-W is used as a benchmark for many benefit plans in order to reflect changes in the cost of benefits, but it can also be used in calculating future contract obligations.