Job holders' wages grew by 4.3 percent and job switchers' wages grew slightly less by 3.6 percent year over year in the first quarter. On average, job holders' hourly wage levels were
TABLE 1: Annual Wage Growth Q1 2017
|Quarter||Wage Level||YOY Wage Growth|
Considering wages across industries, the service sector proved to be more attractive for job switchers than the goods sector. Across most service industries, job switchers' wage growth exceeded that of job holders. The Information industry continued to offer the highest hourly wages, where job holders earned
Employment growth was strongest in construction, whereas manufacturing is stagnant, and resources and mining industries suffered job losses. Within the service sector, information suffered negative growth in employment.
"The information industry showed negative job growth in the first quarter," said Ahu Yildirmaz, Co-Head of the ADP Research Institute®. "As a result, job holders and job switchers in this industry are experiencing high wage growth, as employers seek to retain and attract top talent in this limited pool of workers."
TABLE 2: Q1 2017 Annual Wage Growth by Industry
|Industry||Wage Level Full-Time||YOY Wage Growth Full-Time||Yearly Employment Growth|
|Resources and Mining||3.0%||-6.5%||-5.3%|
|Finance and Real Estate||4.6%||4.9%||2.0%|
|Professional and Business Services||4.5%||6.2%||2.7%|
|Leisure and Hospitality||5.0%||8.5%||2.9%|
|Education and Health Services||4.0%||6.5%||2.2%|
|Trade, Transportation, and Utilities||4.1%||4.3%||1.0%|
There is variability in labor market dynamics across regions. The average wage level for job holders in the Midwest is the lowest of all four regions with a rate of
TABLE 3: Q1 2017 Annual Growth by Region
|Region||Annual Employment Growth||Wage Level, Holders||Wage Growth, Holders|
To summarize the trends across a variety of dimensions; the strongest wage growth can be found in the West, the leisure & hospitality industry, among women and younger workers, workers with little job tenure and those employed in large companies.
TABLE 4: Who Fared the Best in First Quarter: Annual Wage Growth for Job Holders
|Age||24 and younger||8.7%|
|Tenure||Less than 3 years||5.4%|
|Industry||Leisure & Hospitality||5.0%|
The 2nd Quarter 2017 ADP Workforce Vitality Report will be released on
About the ADP Workforce Vitality Report
The ADP Workforce Vitality Report was developed by the
About ADP (NASDAQ: ADP)
Powerful technology plus a human touch. Companies of all types and sizes around the world rely on ADP's cloud software and expert insights to help unlock the potential of their people. HR. Talent. Benefits. Payroll. Compliance. Working together to build a better workforce. For more information, visit ADP.com.
The ADP logo, ADP,
Copyright © 2017 ADP, LLC.
ADP - Media
News Provided by Acquire Media