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The COVID-19 pandemic has presented businesses with an almost unlimited number of challenges over the past two years, from overcoming supply chain disruptions to managing health and safety standards.
But within that churn and disruption, certain industries have seen a boom in demand for their services — and it’s been hard to catch up. The latest MagnifyMoney study compares employment growth to wage growth to find the industries with the largest labor shortages.
The study finds that wages grew the fastest compared to employment in the accommodation industry. This means that hotel desk clerks, housekeeping cleaners, waitstaff and others who have been recently hired or have managed to keep their jobs through the pandemic might have slightly more opportunities to boost their savings.
Key findings
- Employment rose 2.4% between the first half of 2020 and the first half of 2021, while average wages grew 5.5% in the same period. In the 50 industries with the most employees as of the first half of 2021, the number of workers grew by more than 2.6 million. At the same time, the average weekly wages in those industries went from $1,292 to $1,366.
- The accommodation industry saw an 11.3% decrease in employment but an 11.2% increase in weekly wages — a difference of 22.5 percentage points. Because accommodation companies like hotels and casino resorts were so hard hit by the pandemic, many turned to more desperate measures to stay afloat — this includes spending extra to hire or retain employees.
- The warehousing and storage industry saw an 18.2% increase in employment but only a 1.5% increase in weekly wages — a negative difference of 16.6 percentage points. Though many logistics companies have seen significant increases in revenue during the pandemic, wages in the warehousing and storage industry have remained relatively stagnant, partly owing to the unwillingness of some of the largest players in the industry to increase pay. The low wage increase in this industry also suggests that employers haven’t had a particularly difficult time finding new workers.
Here are the 33 industries where wages are growing faster than employment.
Image Credit: StockRocket / istockphoto.
33. Construction of building
Percentage change in employment from the first half of 2020 to the second half of 2021: 2.10%2020 average weekly wage: $1,354 2021 average weekly wage: $1,385 Percentage change in average wage from H1 2020 to H1 2021: 2.30%Difference in percentage change in wage and employment: 0.2
Image Credit: DepositPhotos.com.
32. Specialty trade contractors
Percentage change in employment from the first half of 2020 to the second half of 2021: 3.00%2020 average weekly wage: $1,123 2021 average weekly wage: $1,164 Percentage change in average wage from H1 2020 to H1 2021: 3.70%Difference in percentage change in wage and employment: 0.7
Image Credit: interstid / Getty.
31. Food manufacturing
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.40%2020 average weekly wage: $989 2021 average weekly wage: $1,012 Percentage change in average wage from H1 2020 to H1 2021: 2.30%Difference in percentage change in wage and employment: 0.9
Image Credit: dusanpetkovic / istockphoto.
30. Non-store retailers
Percentage change in employment from the first half of 2020 to the second half of 2021: 8.30%2020 average weekly wage: $1,551 2021 average weekly wage: $1,700 Percentage change in average wage from H1 2020 to H1 2021: 9.60%Difference in percentage change in wage and employment: 1.3
Image Credit: DepositPhotos.com.
29. Insurance carriers and related activities
Percentage change in employment from the first half of 2020 to the second half of 2021: 0.50%2020 average weekly wage: $1,918 2021 average weekly wage: $1,958 Percentage change in average wage from H1 2020 to H1 2021: 2.10%Difference in percentage change in wage and employment: 1.6
Image Credit: SolisImages / istockphoto.
28. Administrative and support services
Percentage change in employment from the first half of 2020 to the second half of 2021: 4.40%2020 average weekly wage: $846 2021 average weekly wage: $898 Percentage change in average wage from H1 2020 to H1 2021: 6.10%Difference in percentage change in wage and employment: 1.7
Image Credit: Depositphotos.
27. Real estate
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.60%2020 average weekly wage: $1,250 2021 average weekly wage: $1,294 Percentage change in average wage from H1 2020 to H1 2021: 3.60%Difference in percentage change in wage and employment: 1.9
Image Credit: Deposit Photos.
26. Educational services
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.30%2020 average weekly wage: $1,062 2021 average weekly wage: $1,086 Percentage change in average wage from H1 2020 to H1 2021: 2.20%Difference in percentage change in wage and employment: 2.5
Image Credit: istockphoto/monkeybusinessimages.
25. Hospitals
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.10%2020 average weekly wage: $1,291 2021 average weekly wage: $1,322 Percentage change in average wage from H1 2020 to H1 2021: 2.40%Difference in percentage change in wage and employment: 2.5
Image Credit: gpointstudio / istockphoto.
24. Gasoline stations
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.00%2020 average weekly wage: $472 2021 average weekly wage: $489 Percentage change in average wage from H1 2020 to H1 2021: 3.60%Difference in percentage change in wage and employment: 2.6
Image Credit: DepositPhotos.com.
23. Truck transportation
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.50%2020 average weekly wage: $1,030 2021 average weekly wage: $1,077 Percentage change in average wage from H1 2020 to H1 2021: 4.60%Difference in percentage change in wage and employment: 3
Image Credit: Smederevac / istockphoto.
22. Utilities
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.50%2020 average weekly wage: $2,339 2021 average weekly wage: $2,404 Percentage change in average wage from H1 2020 to H1 2021: 2.80%Difference in percentage change in wage and employment: 3.2
Image Credit: Oranat Taesuwan/ istockphoto.
21. Crop production
Percentage change in employment from the first half of 2020 to the second half of 2021: 0.40%2020 average weekly wage: $690 2021 average weekly wage: $716 Percentage change in average wage from H1 2020 to H1 2021: 3.80%Difference in percentage change in wage and employment: 3.4
Image Credit: Nicholas Smith / istockphoto.
20. Professional and technical services
Percentage change in employment from the first half of 2020 to the second half of 2021: 2.60%2020 average weekly wage: $1,967 2021 average weekly wage: $2,091 Percentage change in average wage from H1 2020 to H1 2021: 6.30%Difference in percentage change in wage and employment: 3.7
Image Credit: Sura Nualpradid/istockphoto.
19. Social assistance
Percentage change in employment from the first half of 2020 to the second half of 2021: 0.80%2020 average weekly wage: $510 2021 average weekly wage: $534 Percentage change in average wage from H1 2020 to H1 2021: 4.70%Difference in percentage change in wage and employment: 3.9
Image Credit: DepositPhotos.com.
18. Heavy and civil engineering construction
Percentage change in employment from the first half of 2020 to the second half of 2021: -1.70%2020 average weekly wage: $1,467 2021 average weekly wage: $1,510 Percentage change in average wage from H1 2020 to H1 2021: 2.90%Difference in percentage change in wage and employment: 4.6
Image Credit: Ridofranz/istockphoto.
17. Fabricated metal product manufacturing
Percentage change in employment from the first half of 2020 to the second half of 2021: -2.00%2020 average weekly wage: $1,118 2021 average weekly wage: $1,151 Percentage change in average wage from H1 2020 to H1 2021: 3.00%Difference in percentage change in wage and employment: 5
Image Credit: dusanpetkovic / istockphoto.
16. Food services and drinking places
Percentage change in employment from the first half of 2020 to the second half of 2021: 4.20%2020 average weekly wage: $389 2021 average weekly wage: $425 Percentage change in average wage from H1 2020 to H1 2021: 9.40%Difference in percentage change in wage and employment: 5.2
Image Credit: igoriss/istockphoto.
15. Machinery manufacturing
Percentage change in employment from the first half of 2020 to the second half of 2021: -2.20%2020 average weekly wage: $1,400 2021 average weekly wage: $1,447 Percentage change in average wage from H1 2020 to H1 2021: 3.40%Difference in percentage change in wage and employment: 5.5
Image Credit: SeventyFour / istockphoto.
14. Merchant wholesalers, nondurable goods
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.90%2020 average weekly wage: $1,488 2021 average weekly wage: $1,563 Percentage change in average wage from H1 2020 to H1 2021: 5.10%Difference in percentage change in wage and employment: 5.9
Image Credit: DepositPhotos.com.
13. Support activities for transportation
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.20%2020 average weekly wage: $1,151 2021 average weekly wage: $1,223 Percentage change in average wage from H1 2020 to H1 2021: 6.20%Difference in percentage change in wage and employment: 6.4
Image Credit: DepositPhotos.com.
12. Membership associations and organizations
Percentage change in employment from the first half of 2020 to the second half of 2021: -3.40%2020 average weekly wage: $1,018 2021 average weekly wage: $1,050 Percentage change in average wage from H1 2020 to H1 2021: 3.10%Difference in percentage change in wage and employment: 6.6
Image Credit: DepositPhotos.com.
11. Merchant wholesalers, durable goods
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.40%2020 average weekly wage: $1,571 2021 average weekly wage: $1,669 Percentage change in average wage from H1 2020 to H1 2021: 6.30%Difference in percentage change in wage and employment: 6.7
Image Credit: DepositPhotos.com.
10. Telecommunications
Percentage change in employment from the first half of 2020 to the second half of 2021: -3.60%2020 average weekly wage: $2,022 2021 average weekly wage: $2,089 Percentage change in average wage from H1 2020 to H1 2021: 3.30%Difference in percentage change in wage and employment: 6.9
Image Credit: Deposit Photos.
9. Management of companies and enterprises
Percentage change in employment from the first half of 2020 to the second half of 2021: -0.50%2020 average weekly wage: $2,632 2021 average weekly wage: $2,807 Percentage change in average wage from H1 2020 to H1 2021: 6.70%Difference in percentage change in wage and employment: 7.2
Image Credit: istockphoto/nd3000.
8. Credit intermediation and related activities
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.90%2020 average weekly wage: $2,011 2021 average weekly wage: $2,221 Percentage change in average wage from H1 2020 to H1 2021: 10.50%Difference in percentage change in wage and employment: 8.6
Image Credit: DepositPhotos.com.
7. Electronic markets and agents and brokers
Percentage change in employment from the first half of 2020 to the second half of 2021: -1.70%2020 average weekly wage: $2,029 2021 average weekly wage: $2,188 Percentage change in average wage from H1 2020 to H1 2021: 7.90%Difference in percentage change in wage and employment: 9.6
Image Credit: Antonio_Diaz/ istockphoto.
6. Nursing and residential care facilities
Percentage change in employment from the first half of 2020 to the second half of 2021: -6.80%2020 average weekly wage: $686 2021 average weekly wage: $710 Percentage change in average wage from H1 2020 to H1 2021: 3.50%Difference in percentage change in wage and employment: 10.3
Image Credit: istockphoto/digitalskillet.
5. Computer and electronic product manufacturing
Percentage change in employment from the first half of 2020 to the second half of 2021: -1.60%2020 average weekly wage: $2,528 2021 average weekly wage: $2,770 Percentage change in average wage from H1 2020 to H1 2021: 9.60%Difference in percentage change in wage and employment: 11.2
Image Credit: DepositPhotos.com.
4. Securities, commodity contracts, investments
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.10%2020 average weekly wage: $5,238 2021 average weekly wage: $5,911 Percentage change in average wage from H1 2020 to H1 2021: 12.80%Difference in percentage change in wage and employment: 11.7
Image Credit: nortonrsx.
3. Publishing industries, except internet
Percentage change in employment from the first half of 2020 to the second half of 2021: 1.80%2020 average weekly wage: $2,718 2021 average weekly wage: $3,113 Percentage change in average wage from H1 2020 to H1 2021: 14.50%Difference in percentage change in wage and employment: 12.7
Image Credit: pinkomelet.
2. Motor vehicle and parts dealers
Percentage change in employment from the first half of 2020 to the second half of 2021: 2.60%2020 average weekly wage: $995 2021 average weekly wage: $1,207 Percentage change in average wage from H1 2020 to H1 2021: 21.30%Difference in percentage change in wage and employment: 18.7
Image Credit: gpointstudio / istockphoto.
1. Accommodation
Percentage change in employment from the first half of 2020 to the second half of 2021: -11.30%2020 average weekly wage: $629 2021 average weekly wage: $700 Percentage change in average wage from H1 2020 to H1 2021: 11.20%Difference in percentage change in wage and employment: 22.5
Image Credit: DepositPhotos.com.
How to maximize your wage
Because many industries have shown a willingness to increase employee wages, now can be a good time to negotiate a higher salary. Here are three tips that can help you do that:
- If you can afford to, don’t be afraid to hold out for a better offer. Sometimes the first job offer you receive isn’t the best that you can get. With that in mind, declining a job and waiting for a counteroffer, or an offer from another company, can be a decent strategy to raise your wages. How effectively you can implement this strategy will depend on factors like how impressive your resume is, as well as whether you’re earning enough income — either from your current job or from alternative sources like investments — to pay your bills while you search for the perfect employer.
- Ask about other employment incentives, like stock options or free meals. The hourly wage or salary paid for doing a job is typically the biggest part of your overall compensation package, but that doesn’t mean that it’s the only part. If an employer can’t necessarily offer you a higher wage but is willing to do things like pay for your lunch each day or offer you stock in the company, that could help make up for your paycheck not being as large as you’d like.
- Know when to find a new job. If you’re trying to negotiate a higher wage or better working conditions with your employer and they won’t budge, it might be time to seek a job elsewhere. Not only can switching jobs help you increase your wage more than an internal promotion would, but it might be the only option you have to find work that better suits your strengths and needs. If you do leave your company, it’s usually best to have another job lined up before you go, otherwise you risk depleting your savings if you can’t find work.
Image Credit: Chinnapong / istockphoto.
Methodology
To find the industries with the largest labor shortages, analysts looked at data from the U.S. Bureau of Labor Statistics (BLS) Quarterly Census of Employment and Wages. Researchers used data from the first half of 2020 — January through June — and the same period in 2021.
Researchers ranked the nation’s 50 largest industries in total employees by their percentage point difference between employment growth and wage growth. The industries where wages were growing fastest relative to employment were considered to have the largest labor shortages.
This article originally appeared on MagnifyMoney.com and was syndicated by MediaFeed.org.
Image Credit: DepositPhotos.com.
Claire is a student turned financial enthusiast who has a passion for helping others. Her goal is to help as many people reach financial independence and early retirement as possible. When Claire isn't working on her blog, you can find her buried in a good book, testing recipes in the kitchen, or outside playing with her ducks.