In 1843   a CompensationWages, Salary, Earnings, Income ... of £0   s15   d0   £0.75   0.75 is worth £813.24 today as measured by its relative share of Average Earnings Average Earnings has a broader meaning than just wages. In principle, earnings consist not only of wages but also other forms of compensation. .

For discussion, this number is defined as the Relative Labour Earnings.

Relative Labour Earnings is measured by comparing the ratio of the compensation in that year relative to the compensation of a production worker in that year and applying that ratio to the compensation of a production worker today. This is the best measure of a wage or salary compensation.

We choose to use the Average Earnings. Average Earnings The Average Earnings are a good way to determine the relative cost of something in terms of the amount of work done by the average worker that it would take to produce, or the relative time spent at work by that worker in order to earn its cost. "Earnings" here represent an estimate of the total monetary value of the compensation an average worker in full time employment would get each year. Another choice would be to use GDP per capita The GDP per capita is an index of the economy's average output per person and is closely correlated with the average income. It can be useful in comparing different incomes over time. , but this series is only a proxy as it includes all incomes not just labour's.

Compensation can be commissions, profit sharing, part-time work, proprietary income and other non-wage incomes.

PAST COMPENSATIONS IN TODAY'S TERMS