The PayScale Index says national wage growth is back where it was at the end of 2008. Here’s what one economist says that means for the recession.
Economic recovery can no longer be considered “sluggish,” PayScale’s lead economist told CNBC’s U.S. Business News Blog.
She went on to say that for the first time in a few years, people can feel confident about where the economy is headed.
Do you agree?
What the numbers say
The PayScale Index, which tracks the changes in wages of U.S. workers, says national wage growth jumped 1.4% in the first quarter of 2012 over the same period last year.
That’s the highest wage growth has been since the fourth quarter of 2008.
Wage growth has been on an upward trend since the second quarter of 2011 when it was at 0.2%. It hit its lowest point in the fourth quarter of 2009 at -1.4%.
Rankings
According to PayScale, a global online compensation data firm, jobs in the energy sector are experiencing the best wage growth.
PayScale measures the quarterly change in total cash compensation of full-time employees in 15 private industries throughout the 20 largest metropolitan areas.
The wage growth breakdown by industry:
- Mining, oil and gas exploration — 4.9%
- Utilities — 3.9%
- Transportation, warehousing and storage — 2.2%
- Manufacturing — 1.9%
- Construction — 1.8%
- Healthcare and social assistance — 1.5%
- Information, media and telecommunications — 1.5%
- Retail — 1.5%
- Tie wholesale trade — 1.5%
- Finance and insurance — 1.4%
- Professional, scientific and tech services — 1.4%
- Business operation support services — 1.2%
- Arts, entertainment and recreation — 0.7%
- Real estate and rental services — 0.5%
- Food services and accommodation — 0.2%
The wage growth breakdown by metropolitan area:
- Seattle — 3.2%
- Houston — 2.7%
- Philadelphia — 1.8%
- St. Louis — 1.7%
- Dallas — 1.5%
- Washington, D.C. — 1.5%
- Chicago — 1.4%
- Atlanta — 1.3%
- Boston — 1.2%
- New York — 1.1%
- Los Angeles — 1.1%
- San Francisco — 1.0%
- Minneapolis — 1.0%
- San Diego — 1.0%
- Detroit — 0.5%
- Tampa — 0.5%
- Miami — 0.3%
- Riverside — (0.3%)
- Phoenix — (0.5%)
- Baltimore — (0.7%)
Info: To view the methodology used for The PayScale Index, click here. For a wage breakdown by job category, click here, and for a breakdown by company size, click here.
