While the economy has been slowly improving since the end of the Great Recession, the recovery hasn’t been perfect. One major setback has been wage growth, but a new study from CareerBuilder and Economic Modeling Specialists Intl. shows that some industries have indeed seen a noticeable increase in wages over the past several years.
From 2005 to 2015, the national average growth rate for earnings across industries was 2.1 percent, with most of the growth taking place between 2006 and 2007.
Many of the industries that have experienced wage growth have been high paying ($75,000 or more). These include:
- Scheduled air transportation (16.7 percent change in earnings from 2010-2015)
- Scientific research and development (9.6 percent change)
- Pharmaceutical and medicine manufacturing (7.8 percent change)
Yet while higher-paying industries are producing the most wage growth, industries with average earnings of less than $50,000 are also seeing larger paychecks. Examples include:
- Consumer goods rental (12.9 percent change in earnings from 2010-2015)
- Specialized freight trucking (5.4 percent change)
- Residential building construction (3.1 percent change)
What’s also encouraging is that employers are predicting they’ll increase wages, according to a separate CareerBuilder study. Sixty-eight percent of employers plan to increase compensation levels for current employees, and 46 percent planning to increase starting salaries for new employees.
What this means for you
If employers in your industry are increasing wages, it means you’ll face tougher competition for high-quality talent. That’s why it’s important to know which industries are raising wages and by how much.
In order to retain your best workers, and hire the best candidates, you’ll need to be able to compete from a compensation perspective. If salary can’t be increased, consider other ways – benefits, flexible work arrangements, unique corporate culture – to differentiate yourself from the competition.