US workers’ wages rise 3.2% in fourth quarter


US workers’ wages rose 3.2% to $28.93 per hour in the fourth quarter, according to the ADP Research Institute’s Workforce Vitality Report released today. On the other hand, job growth decelerated.

By industry, the highest wage growth was in leisure and hospitality where wages rose 5.5% year over year in the fourth quarter to $18.11 per hour. Wages fell in only one industry, resources and mining, where they were down 0.9% year over year to $34.82 per hour. In addition, education and health services showed slow wage growth of 1.8% to $27.54 per hour.

Wages in manufacturing rose 4.0% to $30.33 per hour while wages in the information industry rose 2.2% to $41.97 per hour.

Looking at all industries, wages for “job holders” — those who were employed at the same company over the last 12 months — rose 4.6% year over year. Meanwhile, wages for “job switchers” rose 5.0%; job switchers are those who changed jobs over the last 12 months.

Wages for job entrants rose 4.9% year over year in the fourth quarter.

By region, the fastest wage growth was in the Midwest where wages rose 3.9% to $27.00 per hour. Slowest growth was in the Northeast, where wages rose 2.7% to $32.43 per hour.