ROSELAND, N.J., April 24, 2019 /PRNewswire/ -- Wages for
U.S. workers grew 3.8 percent over the last year, increasing the
average wage level by $1.04 to
$28.40 an hour, according to the ADP
Research Institute® Workforce Vitality
Report (WVR) released today. The growth, accelerating
from 3.4 percent to 3.8 percent annual as of March 2019, was driven by strong wage gains for
workers in the manufacturing industry, representing 10 percent of
the workforce (3.9 percent wage growth, $29.55 average hourly wage) and trade,
representing 22 percent of the workforce (4.9 percent wage growth,
$25.27 average hourly wage). The West
(4.2 percent, $30.50) and large
businesses (4.9 percent, $29.51) also
contributed.
![Chart 1: Yearly Wage & Employment Growth – March 2019 Chart 1: Yearly Wage & Employment Growth – March 2019](https://mma.prnewswire.com/media/876059/ADP___Employment_Growth_Infographic.jpg)
"As employment growth slows and wages accelerate for both job
holders and job switchers, all signs point to a scarcity of skilled
talent in the labor market," said Ahu Yildirmaz, co-head of the ADP
Research Institute. "This trend is further evidenced by the
significant wage growth we've seen for new entrants in most
industries, which is great news for college graduates poised to
enter the workforce this spring."
Job switchers in the information industry continued to lead the
way for both wage level and wage growth with a wage level of
$44.45 and growth of 11.3 percent.
Job switchers in professional and business services and
construction also realized high wage growth of 8.5 and 8.6 percent,
respectively. In trade, the largest sector, job holders experienced
stronger growth in wages than the workers who switched to the
industry, 5.1 percent versus 3.9 percent but lagged in employment
growth with only a paltry 0.7 percent annually.
Table 1: Wage and Employment Growth by Industry –
March 2019
Industry
|
Wages
|
YOY Wage
Growth
|
Yearly
Growth
|
All
|
Holders
|
Entrants
|
Switchers
|
Employment
Growth
|
Switching
Rate
|
-ALL-
|
$28.40
|
3.8%
|
4.8%
|
4.4%
|
5.6%
|
1.9%
|
20.7%
|
Goods
|
|
|
|
|
|
|
|
Construction
|
$28.38
|
3.0%
|
5.0%
|
2.3%
|
8.6%
|
5.1%
|
15.4%
|
Manufacturing
|
$29.55
|
3.9%
|
4.8%
|
3.6%
|
5.9%
|
1.6%
|
18.8%
|
Resources and
Mining
|
$35.00
|
0.4%
|
4.7%
|
8.5%
|
3.3%
|
7.2%
|
9.8%
|
Services
|
|
|
|
|
|
|
|
Information
|
$41.23
|
3.4%
|
5.1%
|
-1.1%
|
11.3%
|
1.6%
|
19.3%
|
Finance and
Real Estate
|
$33.55
|
3.7%
|
4.9%
|
8.0%
|
6.1%
|
1.2%
|
18.5%
|
Professional
and Business
Services
|
$36.09
|
3.6%
|
4.5%
|
5.4%
|
8.5%
|
2.5%
|
24.2%
|
Education and
Health
Services
|
$27.11
|
3.6%
|
4.3%
|
4.2%
|
3.7%
|
2.3%
|
19.3%
|
Leisure and
Hospitality
|
$17.43
|
4.1%
|
6.0%
|
5.9%
|
-1.6%
|
2.3%
|
23.6%
|
Trade,
Transportation,
and Utilities
|
$25.27
|
4.9%
|
5.1%
|
4.4%
|
3.9%
|
0.7%
|
21.8%
|
Workers in the West outpaced other regions with 4.2 percent wage
growth and had the highest employment growth at 4.2 percent.
Job switchers also fared best in the West experiencing a wage
growth of 7.8 percent. The Northeast experienced a negative
employment growth of 0.3 percent, the worst among the regions.
Workers in the South had the lowest wage growth at 3.6 percent. By
firm size, workers at large firms had the highest wage growth rate
at 4.9 percent, with employment growth at 3.2 percent.
Table 2: Wage and Employment Growth by Region and Firm
Size – March 2019
Region
|
Wages
|
YOY Wage
Growth
|
Yearly
Growth
|
All
|
Holders
|
Entrants
|
Switchers
|
Employment
Growth
|
Switching
Rate
|
-USA-
|
$28.40
|
3.8%
|
4.8%
|
4.4%
|
5.6%
|
1.9%
|
20.7%
|
MIDWEST
|
$26.42
|
4.0%
|
4.6%
|
3.4%
|
4.3%
|
1.2%
|
19.7%
|
NORTHEAST
|
$32.05
|
3.7%
|
4.8%
|
5.1%
|
6.1%
|
-0.3%
|
22.0%
|
SOUTH
|
$26.53
|
3.6%
|
4.8%
|
3.7%
|
4.7%
|
2.1%
|
20.5%
|
WEST
|
$30.50
|
4.2%
|
5.0%
|
5.5%
|
7.8%
|
4.2%
|
21.0%
|
Company
Size
|
|
|
|
|
|
|
|
-ALL-
|
$28.40
|
3.8%
|
4.8%
|
4.4%
|
5.6%
|
1.9%
|
20.7%
|
49 or less
|
$26.13
|
2.5%
|
4.2%
|
3.2%
|
4.5%
|
0.8%
|
14.7%
|
50 to 499
|
$28.52
|
3.2%
|
4.9%
|
5.1%
|
5.7%
|
0.8%
|
22.7%
|
500 to 999
|
$29.63
|
3.3%
|
5.4%
|
4.2%
|
5.3%
|
3.2%
|
21.3%
|
1000 or
more
|
$29.51
|
4.9%
|
5.0%
|
4.8%
|
5.8%
|
3.2%
|
23.5%
|
To see detailed workforce vitality components for the first
quarter of 2019, including data broken down by region, firm size,
industry, gender, and age, visit http://workforcereport.adp.com/.
The second quarter 2019 ADP Workforce Vitality
Report will be released on Wednesday,
July 24, 2019
About the ADP Workforce Vitality Report
The ADP Workforce Vitality Report (WVR) was developed
by the ADP Research Institute (ADPRI). It is an
unprecedented, in-depth monthly analysis (published quarterly) of
the vitality of the U.S. labor market based on actual data that
identifies labor market trends and dynamics across multiple
dimensions. These dimensions include employment growth, job
switching, wage growth and hours worked. In addition to the
macro data presented in the report, there are also segment-specific
findings by industry, state, gender, age, experience, and pay
level. Established in October
2014, the report methodology was updated in April 2018 utilizing monthly data to include
additional data points and deeper insights. For more
information about the report, please visit
http://workforcereport.adp.com/.
About ADP (NASDAQ-ADP)
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premium services and exceptional experiences that enable people to
reach their full potential. HR, Talent, Time Management,
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Copyright © 2019 ADP, LLC.
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