A glimmer of hope as wages creep higher
NM ranks 44th among states in fourth quarter of 2015
In the often-bleak New Mexico economy, there may be a small glimmer of hope: slowly rising wages. New data released by the U.S. Bureau of Labor Statistics show the state’s average weekly wages increased slightly in the fourth quarter of 2015 compared to the year before, 1.8 percent to $865 per week. That places New Mexico 44th in a ranking of average wages among U.S. states. The highest was in the District of Columbia at $1,756 per week; the lowest was Mississippi at $770 per week.
The national average was $1,082. Bernalillo County, which accounts for nearly 40 percent of employment in New Mexico, saw a higher increase in wages than the state as a whole — 3.6 percent in the fourth quarter compared to the year before to $904.
Among New Mexico counties, Los Alamos had the highest average weekly wage at $1,610 per week. The lowest was Catron with $530.
New Mexico ranked 47th on a ranking of wage growth in the fourth quarter compared to the year before.
Taking first place was both Michigan and
Kentucky with a 5.9 percent increase. The bottom spot was held by North Dakota with a decrease of 2.8 percent. The national average during that period was 4.4 percent.
Despite the low rankings and the fact that 1.8 percent is only slightly higher than the 1 percent rate of inflation, the recent data appear to continue a slow upward trend for the state, said James B. Howard Jr., an economist with the Bureau of Labor Statistics’ Dallas regional office.
“New Mexico’s average weekly wages have increased every year since 2011,” said Howard. “The ranking only tells part of the story.”
He pointed to 2014, when New Mexico saw a 4.4 percent increase and ranked 10th in the nation for wage growth. The year before, the state held the same ranking with a mere 1.4 percent increase in wages.
Howard also noted that New Mexico has a concentration of employment in the mining sector (which includes oil and gas) three times the national average. Even though wages in that sector decreased 6.3 percent in the fourth quarter of last year, the state managed to record overall wage growth, he said.
The New Mexico Department of Workforce Solutions had no comment on the wage data at this time.