ORLANDO - New hires in manufacturing have a 38 percent greater monthly earnings than new hires in other sectors in 2011 (the latest data available), reports The U.S. Commerce Department’s Economics and Statistics Administration (ESA).
U.S. Secretary of Commerce Penny Pritzker mentioned the report’s findings during a speech on the importance of American manufacturing at Walmart’s first-ever U.S. Manufacturing Summit in Orlando, Fla.
“Today’s ESA report on manufacturing provides important evidence that new manufacturing jobs are, in general, better paying jobs than positions in other sectors,” said Secretary Pritzker. “This report provides further validation that we need to continue our strong efforts to spur American manufacturing, which represents a vital part of our nation’s economic growth.”
The monthly earnings premium for the manufacturing workforce as a whole, including both new hires and incumbents, is 25 percent. This earnings premium results from both greater hourly earnings and from more hours of work per month.
Oddly, during the financial collapse in 2008, the premium for new hires in manufacturing increased and peaked at over 50% in 2010, says the report.
ESA’s August report is based on Quarterly Workforce Indicators (QWI) data, which namely comes from information from state administrative records. Though it examines data from every state, data on new hires is only collected from 34 states from the first quarter of 2000 through the fourth quarter in 2011.
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