Tuesday, July 22, 2014
Job Salaries Are Increasing in These Top 5 U.S. Cities
The relation between wages and worker productivity is a key factor in determining where our economy stands. Although there are many other factors that affect the economy, such as housing, stocks, gas prices, and the unemployment rate, wages put money in the pockets of Americans and determines what their standard of living is.
Although nationally, industry wages were up 1.3 percent in 2013, compared to the 4.7 wage increase in 2012, this doesn't look like a recovering economy. However, there are pockets of U.S. cities where the wage increase far surpassed the national rate. The reason for the soaring wages in some U.S. cities is directly related to the industries that exist in those areas.
Here are the top 5 cities where job salaries are increasing rapidly:
#1. Idaho Falls, Idaho - 18 percent growth rate. This metro area is full of professional and business services which triggered most of the growth, along with a huge drop in unemployment, from 5.2 percent in 2013 to 3.7 percent in 2014.
#2. The Villages, Florida - comes in at number two on the list with a wage growth rate of 11.8 percent. It also has the fastest-growing population of any metro area in the nation. It is the world's largest retirement community where events hosting retirees who spend their winters at The Villages drives up wages, particularly during the last three months of the year.
#3. Gulfport-Biloxi-Pascagoula, Mississippi - comes in at number 3 with a wage growth of 10.6 percent. In spite of hurricanes and oil spills, almost half of all wages in this region come from hospitality and leisure services and from manufacturing and shipbuilding. The largest manufacturer is Huntington Ingalls, a Fortune 500 shipbuilder who is responsible for building 70 percent of active Navy fleet vessels.
#4. Wheeling, West Virginia/Ohio - the 8.7 percent wage growth in this area is attributed to the construction industry, particularly involving specialty contractors.
#5. Santa Cruz- Watsonville, California - heavy manufacturing in this area is the driving force behind their overall 6.7 percent wage increase. What's even more amazing is that within manufacturing wages alone, wages increased 32 percent from 2012 to 2013, driving up the overall wage increase.
SOURCE: U.S. Bureau of Labor Statistics