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Internet address: http://stats.bls.gov:80/newsrels.htm Technical information: (202) 606-6378 USDL 97-235 Media contact: 606-5902 For release: 10:00 A.M. EDT Tuesday, July 22, 1997 USUAL WEEKLY EARNINGS OF WAGE AND SALARY WORKERS: SECOND QUARTER 1997 Median weekly earnings of the nation's 93.4 million full-time wage and salary workers were $499 in the second quarter of 1997, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. This was 2.7 percent higher than a year earlier, compared with a gain of 2.3 percent in the Consumer Price Index for All Urban Consumers (CPI-U) over the same period. Data on usual earnings are collected as part of the Current Population Survey, a nationwide sample survey of households in which respondents are asked, among other things, how much each wage and salary worker usually earns. (See explanatory note.) Highlights from the second-quarter data are: ---Women who usually worked full time had median earnings of $428 a week, or 74.8 percent of the $572 median for men. The female-male earnings ratios were higher among blacks (89.4 percent) and Hispanics (87.0 percent) than among whites (75.2 percent). (See table 1.) ---Median earnings for black men working at full-time jobs were $424 per week, 72.0 percent of the median for white men ($589). The racial variation was much less among women, as black women's median earnings ($379) were 85.6 percent of those for their white counterparts ($443). Overall, median earnings of Hispanics who worked full time ($352) were lower than those of blacks ($397) and whites ($515). (See table 1.) ---The highest median weekly earnings for men in the 45- to 54-year-age group, old men next, at $660. Among women, the 45- to 54-year-olds, who had a median of olds, with a median of $475. (See table for full-time workers were $692 with the median for 55- to 64-yearhighest-earning age group also was $496, followed by 35- to 44-year2.) ---Among the major occupational groups, persons employed full time in managerial and professional specialty occupations had the highest median weekly earnings--$862 for men and $622 for women--while men and women in service and farm jobs earned the least. (See table 3.) ---Full-time workers age 25 and over with less than a high school diploma had median weekly earnings of $322, compared with $463 for high school graduates (no college) and $772 for college graduates. Among college graduates with advanced degrees (professional or master's degree and above), the highest 10 percent of male workers earned more than $2,089, compared with more than $1,515 for their female counterparts. (See table 4.) Explanatory Note The estimates in this release were obtained from the Current Population Survey (CPS), which provides the basic information on the labor force, employment, and unemployment. The survey is conducted monthly for the Bureau of Labor Statistics by the Bureau of the Census from a scientifically selected national sample of about 50,000 households, with coverage in all 50 states and the District of Columbia. The earnings data are collected from one-quarter of the CPS monthly sample and are limited to wages and salaries. The data, therefore, exclude self-employment income. Information in this release will be made available to sensory individuals upon request. Voice phone: 202-606-STAT; TDD phone: 202-606-5897; TDD message referral phone number: 1-800-326-2577. impaired Reliability In any sample survey, variations in the data can occur by chance because a sample, rather than the whole of the population, is surveyed. The standard error is a measure of such potential variation. The chances are about 68 out of 100 that an estimate from the survey differs from a figure that would be obtained from a complete census by less than one standard error. The chances are about 90 out of 100 that such a difference would be less than 1.6 standard errors. All statements of comparisons in the text of this release are significant at 1.6 or more standard errors. For a full discussion of the reliability of data from the CPS and information on estimating standard errors, see the "Explanatory Notes and Estimates of Error" section of the February 1994 and subsequent issues of Employment and Earnings. Definitions The principal definitions used in connection with the earnings series are described briefly below. Usual weekly earnings. Data represent earnings before taxes and other deductions and include any overtime pay, taxes, commissions, or tips usually received (at the main job in the case of multiple jobholders.) Prior to 1994, respondents were asked how much they usually earned per week. Since January 1994, respondents have been asked to identify the easiest way for them to report earnings (hourly, weekly, biweekly, twice monthly, monthly, annually, other) and how much they usually earn in the reported time period. Earnings reported on a basis other than weekly are converted to a weekly equivalent. The term "usual" is as perceived by the respondent. If the respondent asks for a definition of usual, interviewers are instructed to define the term as more than half the weeks worked during the past 4 or 5 months. Medians (and other quantiles) of weekly earnings. The median (or upper limit of the second quartile) is the amount which divides a given earnings distribution into two equal groups, one having earnings above the median and the other having earnings below the median. Ten percent of a given distribution have earnings below the upper limit of the first decile (90 percent have higher earnings); 25 percent have earnings below the upper limit of the first quartile (75 percent have higher earnings); 75 percent have earnings below the upper limit of the third quartile (25 percent have higher earnings); and 90 percent have earnings below the upper limit of the ninth decile (10 percent have higher earnings). The estimating procedure places each reported or calculated weekly earnings value into $50-wide intervals which are centered around multiples of $50. The actual value is estimated through the linear interpolation of the interval in which the quantile boundary lies. Over-the-year changes in the medians (and other quantile boundaries) for specific groups may not necessarily be consistent with the movements estimated for the overall quantile boundary. The most common reasons for this possible anomaly are: (1) There could be a change in the relative weights of the subgroups. For example, the medians of both 16-to-24 year olds and those 25 years and over may rise; but if the lower-earning 16-to24 group accounts for a greatly increased share of the total, the overall median could actually fall. (2) There could be a large change in the shape of the distribution of reported earnings, particularly near a quantile boundary. This could be caused by survey observations that are clustered at rounded values, e.g., $250, $300, $400. An estimate lying in a $50-wide centered interval containing such a cluster or "spike" tends to change more slowly than one in other intervals. Wage and salary workers. Workers who receive wages, salaries, commissions, tips, payment in kind, or piece rates. The group includes employees in both the private and public sectors but, for the purposes of the earnings incorporated. series, excludes self-employed persons whose businesses are - 2 Full-time workers. Workers who usually work 35 hours or more per their sole or principal job. Part-time workers. Workers who usually work fewer than 35 hours at their sole or principal job. week per at week Constant dollars. The Consumer Price Index for All Urban Consumers (CPI-U) is used to convert current dollars to constant (1982) dollars. Hispanic origin. Refers to persons who are of Mexican, Puerto Rican, Cuban, Central or South American, or of other Hispanic origin or descent. Persons of Hispanic origin may be of any race; hence, they are included in the numbers for the white and black populations. Table 1. Median usual weekly earnings of full-time wage and salary workers by selected characteristics, quarterly averages, not seasonally adjusted Number of workers (in thousands) Characteristic Median weekly earnings In current dollars II 1996 In constant (1982) dollars II 1997 II 1996 II 1997 II 1996 II 1997 SEX AND AGE Total, 16 years and over.................................. 90,956 93,387 $486 $499 $300 $301 Men, 16 years and over................................. 16 to 24 years....................................... 25 years and over.................................... 52,140 6,079 46,061 53,329 6,321 47,008 554 302 599 572 316 609 341 186 369 344 190 367 Women, 16 years and over............................... 16 to 24 years....................................... 25 years and over.................................... 38,817 4,337 34,480 40,058 4,511 35,548 414 273 439 428 289 457 255 168 271 258 174 275 RACE, HISPANIC ORIGIN, AND SEX White.................................................. Men.................................................. Women................................................ 76,144 44,604 31,540 77,856 45,493 32,363 502 578 425 515 589 443 309 356 262 310 355 267 Black.................................................. Men.................................................. Women................................................ 10,864 5,314 5,550 11,338 5,490 5,847 383 411 353 397 424 379 236 253 218 239 255 228 Hispanic origin........................................ Men.................................................. Women................................................ 8,790 5,706 3,084 9,789 6,462 3,327 336 350 313 352 368 320 207 216 193 212 222 193 NOTE: Detail for the above race and Hispanic-origin groups will not sum to totals because data for the "other races" group are not presented and Hispanics are included in both the white and black population groups. Beginning in January 1997, data reflect revised population controls used in the household survey. Table 2. Median usual weekly earnings of full-time wage and salary workers by age, race, Hispanic origin, and sex, second quarter 1997 averages, not seasonally adjusted Total Age, race, and Hispanic origin Number of workers (in thousands) Men Median weekly earnings Number of workers (in thousands) Women Median weekly earnings Number of workers (in thousands) Median weekly earnings TOTAL 16 years and over......................................... 16 to 24 years.......................................... 16 to 19 years........................................ 20 to 24 years........................................ 25 years and over....................................... 25 to 54 years........................................ 25 to 34 years...................................... 93,387 10,831 2,031 8,800 82,556 73,372 25,851 $499 305 251 318 533 533 478 53,329 6,321 1,206 5,114 47,008 41,718 14,913 $572 316 264 333 609 605 514 40,058 4,511 825 3,686 35,548 31,654 10,939 $428 289 239 302 457 462 422 35 to 44 years...................................... 45 to 54 years...................................... 55 years and over..................................... 55 to 64 years...................................... 65 years and over................................... 27,489 20,032 9,184 8,071 1,113 567 601 537 560 403 15,804 11,001 5,291 4,623 668 639 692 646 660 486 11,685 9,031 3,893 3,449 445 475 496 417 426 352 77,856 9,144 68,712 60,826 7,886 515 309 560 559 570 45,493 5,480 40,013 35,429 4,584 589 320 627 622 677 32,363 3,664 28,700 25,397 3,302 443 295 472 478 422 11,338 1,303 10,035 9,102 933 397 271 418 418 423 5,490 615 4,876 4,383 492 424 288 463 460 482 5,847 688 5,160 4,718 441 379 252 397 398 382 9,789 1,695 8,094 7,509 585 352 262 389 389 389 6,462 1,219 5,243 4,852 391 368 258 411 408 469 3,327 476 2,852 2,657 195 320 271 341 348 276 White 16 years and over......................................... 16 to 24 years.......................................... 25 years and over....................................... 25 to 54 years........................................ 55 years and over..................................... Black 16 years and over......................................... 16 to 24 years.......................................... 25 years and over....................................... 25 to 54 years........................................ 55 years and over..................................... Hispanic origin 16 years and over......................................... 16 to 24 years.......................................... 25 years and over....................................... 25 to 54 years........................................ 55 years and over..................................... NOTE: Detail for the above race and Hispanic-origin groups will not sum to totals because data for the "other races" group are not presented and Hispanics are included in both the white and black population groups. Beginning in January 1997, data reflect revised population controls used in the household survey. Table 3. Median usual weekly earnings of full-time wage and salary workers by occupation and sex, quarterly averages, not seasonally adjusted Number of workers (in thousands) Median weekly earnings Occupation and sex II 1996 II 1997 II 1996 II 1997 27,282 13,335 13,947 26,058 3,233 8,864 13,961 10,085 303 1,850 7,932 10,832 3,697 3,717 3,417 14,984 7,089 4,163 3,732 1,716 28,160 13,978 14,183 26,540 3,443 9,340 13,757 10,039 338 1,915 7,786 11,671 3,970 4,057 3,644 15,230 7,186 4,522 3,521 1,748 $718 705 729 438 566 478 404 303 224 524 285 527 554 498 543 392 380 487 333 286 $727 694 748 449 567 466 418 311 214 510 295 545 568 541 526 402 385 502 340 291 14,015 7,240 6,775 10,004 1,620 5,099 3,284 5,096 12 1,594 3,490 9,970 3,556 3,635 2,779 14,131 7,339 6,792 10,278 1,806 5,167 3,306 5,012 19 1,604 3,388 10,675 3,789 3,991 2,895 867 865 870 575 649 591 488 358 862 850 878 589 680 592 530 366 (1) $540 308 545 562 500 585 (1) $527 314 562 571 541 582 TOTAL Managerial and professional specialty.................... Executive, administrative, and managerial.............. Professional specialty................................. Technical, sales, and administrative support............. Technicians and related support........................ Sales occupations...................................... Administrative support, including clerical............. Service occupations...................................... Private household...................................... Protective service..................................... Service, except private household and protective....... Precision production, craft, and repair.................. Mechanics and repairers................................ Construction trades.................................... Other precision production, craft, and repair.......... Operators, fabricators, and laborers..................... Machine operators, assemblers, and inspectors.......... Transportation and material moving occupations......... Handlers, equipment cleaners, helpers, and laborers.... Farming, forestry, and fishing........................... Men Managerial and professional specialty.................... Executive, administrative, and managerial.............. Professional specialty................................. Technical, sales, and administrative support............. Technicians and related support........................ Sales occupations...................................... Administrative support, including clerical............. Service occupations...................................... Private household...................................... Protective service..................................... Service, except private household and protective....... Precision production, craft, and repair.................. Mechanics and repairers................................ Construction trades.................................... Other precision production, craft, and repair.......... Operators, fabricators, and laborers..................... Machine operators, assemblers, and inspectors.......... Transportation and material moving occupations......... Handlers, equipment cleaners, helpers, and laborers.... Farming, forestry, and fishing........................... 11,538 4,511 3,901 3,126 1,517 11,674 4,604 4,198 2,872 1,558 427 $444 495 352 293 438 $437 511 357 296 13,267 6,095 7,172 16,054 1,612 3,765 10,677 4,989 290 257 4,442 861 141 82 638 3,447 2,579 261 607 199 14,029 6,638 7,391 16,261 1,637 4,173 10,451 5,027 319 311 4,398 996 180 66 749 3,555 2,582 325 649 189 609 584 634 391 495 336 392 270 221 429 269 373 431 622 599 653 398 484 348 397 283 212 428 281 380 504 (1) $365 301 301 372 282 224 (1) $352 315 315 361 301 256 Women Managerial and professional specialty.................... Executive, administrative, and managerial.............. Professional specialty................................. Technical, sales, and administrative support............. Technicians and related support........................ Sales occupations...................................... Administrative support, including clerical............. Service occupations...................................... Private household...................................... Protective service..................................... Service, except private household and protective....... Precision production, craft, and repair.................. Mechanics and repairers................................ Construction trades.................................... Other precision production, craft, and repair.......... Operators, fabricators, and laborers..................... Machine operators, assemblers, and inspectors.......... Transportation and material moving occupations......... Handlers, equipment cleaners, helpers, and laborers.... Farming, forestry, and fishing........................... 1 Data not shown where base is less than 100,000. Beginning in January 1997, data reflect revised population controls used in the household survey. Table 4. Quartiles and selected deciles of usual weekly earnings of full-time wage and salary workers by selected characteristics, second quarter 1997 averages, not seasonally adjusted Characteristic Number of workers (in thousands) Upper limit of: First decile First quartile Second quartile Third quartile Ninth decile (median) SEX, RACE, AND HISPANIC ORIGIN Total, 16 years and over.................................. Men..................................................... Women................................................... 93,387 53,329 40,058 $239 260 223 $327 369 298 $499 572 428 $749 847 623 $1,081 1,215 886 White................................................... Men................................................... Women................................................. 77,856 45,493 32,363 246 269 228 340 384 304 515 589 443 772 875 640 1,129 1,247 905 Black................................................... Men................................................... Women................................................. 11,338 5,490 5,847 210 223 201 284 297 272 397 424 379 586 621 525 782 831 737 Hispanic................................................ Men................................................... Women................................................. 9,789 6,462 3,327 197 201 191 254 260 242 352 368 320 526 561 492 776 839 676 Total, 25 years and over................................ Less than a high school diploma....................... High school graduates, no college..................... Some college or associate degree...................... College graduates, total.............................. Bachelor's degree only.............................. Advanced degree..................................... 82,556 8,780 27,284 22,202 24,290 16,534 7,756 259 193 245 279 383 358 475 359 246 324 372 546 502 664 533 322 463 526 772 709 928 788 472 642 741 1,129 1,003 1,334 1,137 647 864 998 1,556 1,391 1,888 Men, 25 years and over................................ Less than a high school diploma..................... High school graduates, no college................... Some college or associate degree.................... College graduates, total............................ Bachelor's degree only............................ Advanced degree................................... 47,008 5,893 15,372 12,004 13,739 9,152 4,587 286 205 285 306 427 400 509 408 268 388 424 617 581 752 609 369 536 608 891 817 1,063 894 517 729 851 1,266 1,158 1,472 1,263 702 960 1,129 1,757 1,551 2,089 Women, 25 years and over.............................. Less than a high school diploma..................... High school graduates, no college................... Some college or associate degree.................... College graduates, total............................ Bachelor's degree only............................ Advanced degree................................... 35,548 2,887 11,911 10,198 10,551 7,382 3,169 235 179 217 253 349 $328 434 315 217 286 328 485 $449 594 457 280 381 454 657 $612 786 652 361 510 616 913 $843 1,052 919 476 670 816 1,236 $1,138 1,515 EDUCATIONAL ATTAINMENT NOTE: Ten percent of all full-time wage and salary workers earn less than the upper limit of the first decile; 25 percent earn less than the upper limit of the first quartile; 50 percent earn less than the upper limit of the second quartile, or median; 75 percent earn less than the upper limit of the third quartile; and 90 percent earn less than the upper limit of the ninth decile. Detail for the above race and Hispanic-origin groups will not sum to totals because data for the "other races" group are not presented and Hispanics are included in both the white and black population groups. Beginning in January 1997, data reflect revised population controls used in the household survey. Table 5. Median usual weekly earnings of part-time wage and salary workers by selected characteristics, quarterly averages, not seasonally adjusted Number of workers (in thousands) Median weekly earnings Age, race, and Hispanic origin II 1996 II 1997 II 1996 II 1997 Total, 16 years and over.................................. 20,770 20,853 $142 $147 Men, 16 years and over................................. 16 to 24 years....................................... 25 years and over.................................... 6,383 3,361 3,023 6,584 3,461 3,123 129 108 168 138 113 180 Women, 16 years and over............................... 16 to 24 years....................................... 25 years and over.................................... 14,387 4,390 9,996 14,268 4,365 9,903 148 111 171 151 111 173 White.................................................. Men.................................................. Women................................................ 17,926 5,356 12,570 18,090 5,541 12,549 144 131 149 148 136 153 Black.................................................. Men.................................................. Women................................................ 2,025 704 1,321 1,883 677 1,206 131 125 134 138 143 136 SEX AND AGE RACE, HISPANIC ORIGIN, AND SEX Hispanic origin........................................ Men.................................................. Women................................................ 1,758 664 1,094 1,999 723 1,276 140 143 138 142 159 132 NOTE: Detail for the above race and Hispanic-origin groups will not sum to totals because data for the "other races" group are not presented and Hispanics are included in both the white and black population groups. Beginning in January 1997, data reflect revised population controls used in the household survey.