Can you believe we’re almost five years past the COVID era? 😵 Does Trump have any plans to hand out any new stimmy checks? Will the Kardashians shapeshift further into an AI mannequin fantasy? 👽
While we don’t have answers to *those* questions, we do have some tea on why the Midwest is lagging behind when it comes to wage growth. Have a sip! 🧋
Here’s Five Fast Facts about wage growth and unemployment in the Midwest:
- 🪙 Making Cents - In certain parts of the country, wages increased more than a buck between 2019 and 2022. Those in the Northeast saw an average increase of 5.7% and 4.7% in the West. However, the Midwest is a different story. In the same time frame, wages only increased 0.4%, or roughly 8 cents. As of 2022, median wages in the Midwest have gone up 5.8% since 2007.
- 📉 But Here’s the Twist - Unemployment rates in the Midwest are at historic lows, but not across all demographics. As of May 2023, the Midwest had the lowest unemployment rates in the country at 3.2%. However, the Black unemployment rate is more than twice that of white unemployment.
- 💰 Relief Rumble - Why is the Midwest getting smacked so hard? Blame federal policies. During the pandemic, relief programs across the region greatly reduced poverty, but they were a very temporary band aid. As these relief programs come to an end, poverty rates are roaring back.
- 👷🏽♂️ State of the Union - The Midwest used to be a union powerhouse, but today, Minnesota is the only state in the region that hit the top 10 for union membership. Between 1979 and 2022, union membership in the Midwest fell from 28.9% to just 11%.
- 🤒 Sick and Tired - The region also comes up short compared to other states when it comes to sick leave. Roughly 72% of Midwestern private-sector workers have access to paid sick leave compared to the national average of 77%.
🔥Bottom line: They say when life gives us lemons, we best get to makin’ some lemonade. Any rules against using the Mike’s Hard recipe? If you’re searching for a new home, you totes want to get the most bang for your buck. Head over to this article where we break down the most affordable middle-class cities in the Midwest.
Feeling the impacts of low wage growth?
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