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Internet address: http://stats.bls.gov/newsrels.htm Technical information: (202) 691-6378 USDL 00-203 Media contact: 691-5902 For release: 10:00 A.M. EDT Thursday, July 20, 2000 USUAL WEEKLY EARNINGS OF WAGE AND SALARY WORKERS: SECOND QUARTER 2000 Median weekly earnings of the nation's 100.2 million full-time wage and salary workers were $566 in the second quarter of 2000, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. This was 4.2 percent higher than a year earlier, compared with a gain of 3.3 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 the explanatory note.) Highlights from the second-quarter data are: --Women who usually worked full time had median earnings of $485 per week, or 75.8 percent of the $640 median for men. The female-to-male earnings ratios were higher among Hispanics (85.3 percent) and blacks (80.9 percent) than among whites (74.8 percent). (See table 1.) --Median earnings for black men working at full-time jobs were $514 per week, 77.9 percent of the median for white men ($660). The difference was much less among women, as black women's median earnings ($416) were 84.2 percent of those for their white counterparts ($494). Overall, median earnings of Hispanics who worked full time ($388) were lower than those of blacks ($467) and whites ($584). (See table 1.) --Among men, the $787 median weekly earnings level of 45- to 54-yearolds was the highest of any age group. Among women, earnings also were highest for those 45 to 54 years old ($557). (See table 2.) --Among the major occupational groups, persons employed full time in managerial and professional specialty occupations had the highest median weekly earnings--$999 for men and $697 for women. Men and women in service and farm jobs earned the least. (See table 3.) --Full-time workers age 25 and over without a high school diploma had median weekly earnings of $363, compared with $504 for high school graduates (no college) and $892 for college graduates. Among college graduates with advanced degrees (professional or master's degree and above), the highest-earning 10 percent of male workers made $2,381 or more per week, compared with $1,537 or more 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 U.S. Census Bureau 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 impaired individuals upon request. Voice phone: 202-691-5200; TDD message referral phone number: 1-800-877-8339. Reliability Statistics based on the CPS are subject to both sampling and nonsampling error. When a sample, rather than the entire population, is surveyed, there is a chance that the sample estimates may differ from the "true" population values they represent. The exact difference, or sampling error, varies depending on the particular sample selected, and this variability is measured by the standard error of the estimate. There is about a 90-percent chance, or level of confidence, that an estimate based on a sample will differ by no more than 1.6 standard errors from the "true" population value because of sampling error. BLS analyses are generally conducted at the 90-percent level of confidence. The CPS data also are affected by nonsampling error. Nonsampling error can occur for many reasons, including the failure to sample a segment of the population, inability to obtain information for all respondents in the sample, inability or unwillingness of respondents to provide correct information, and errors made in the collection or processing of the data. 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, 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 series, excludes all self-employed persons, regardless of whether or not their businesses are incorporated. - 2 Full-time workers. Workers who usually work 35 hours or more per week at their sole or principal job. Part-time workers. Workers who usually work fewer than 35 hours per week at their sole or principal job. 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 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 1999 In constant (1982) dollars II 2000 II 1999 II 2000 II 1999 II 2000 SEX AND AGE Total, 16 years and over.................................. 97,585 100,220 $543 $566 $315 $318 Men, 16 years and over................................. 16 to 24 years....................................... 25 years and over.................................... 55,185 6,328 48,858 56,472 6,852 49,620 617 344 665 640 371 694 359 199 386 360 209 390 Women, 16 years and over............................... 16 to 24 years....................................... 25 years and over.................................... 42,400 4,902 37,498 43,748 5,167 38,581 467 316 494 485 333 508 271 183 287 273 187 285 White.................................................. Men.................................................. Women................................................ 80,928 46,858 34,070 82,937 47,939 34,997 569 638 480 584 660 494 331 370 279 328 371 278 Black.................................................. Men.................................................. Women................................................ 12,116 5,822 6,295 12,603 5,950 6,652 432 481 402 467 514 416 251 280 234 263 289 234 Hispanic origin........................................ Men.................................................. Women................................................ 10,835 6,734 4,101 11,932 7,427 4,505 375 399 343 388 409 349 218 232 199 218 230 196 RACE, HISPANIC ORIGIN, AND SEX 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 2000, 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 2000 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........................................ 100,220 12,020 2,349 $566 352 291 56,472 6,852 1,422 $640 371 304 43,748 5,167 928 $485 333 270 20 to 24 years........................................ 25 years and over....................................... 25 to 54 years........................................ 25 to 34 years...................................... 35 to 44 years...................................... 45 to 54 years...................................... 55 years and over..................................... 55 to 64 years...................................... 65 years and over................................... 9,670 88,200 77,446 25,401 28,964 23,081 10,755 9,394 1,361 377 604 607 528 629 671 589 602 420 5,431 49,620 43,622 14,488 16,628 12,506 5,998 5,229 769 391 694 693 592 726 787 704 724 546 4,240 38,581 33,823 10,913 12,335 10,576 4,757 4,165 592 359 508 511 482 516 557 484 500 377 82,937 10,058 72,879 63,541 9,337 584 360 621 624 599 47,939 5,944 41,995 36,722 5,273 660 377 717 717 724 34,997 4,114 30,883 26,819 4,064 494 340 518 523 490 12,603 1,525 11,078 10,094 984 467 315 492 493 476 5,950 668 5,282 4,789 493 514 319 550 549 559 6,652 857 5,796 5,304 491 416 310 436 439 409 11,932 2,037 9,895 8,972 922 388 310 412 414 384 7,427 1,323 6,104 5,499 605 409 315 451 457 404 4,505 715 3,790 3,473 317 349 299 369 370 355 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 2000, 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 1999 II 2000 II 1999 II 2000 30,475 14,986 15,489 27,691 3,466 9,877 14,348 10,817 345 2,139 8,334 12,011 4,289 4,163 3,559 15,003 6,724 4,168 4,111 1,588 30,856 15,274 15,582 28,554 3,652 10,254 14,648 11,446 447 2,180 8,819 12,145 4,254 4,421 3,471 15,611 7,019 4,447 4,145 1,609 $790 793 788 488 620 524 446 333 204 589 312 583 611 559 562 422 416 514 365 328 $828 835 821 504 641 532 474 349 264 605 324 607 641 588 585 454 446 540 385 325 15,513 8,051 7,462 10,697 1,859 5,550 3,288 5,101 20 1,800 3,280 15,658 8,293 7,365 10,874 1,829 5,724 3,322 5,475 28 1,845 3,602 943 954 929 631 751 666 546 400 999 995 1,001 653 754 683 552 405 (1) 636 351 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....... (1) 611 328 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........................... 10,901 4,065 4,068 2,768 11,606 4,343 3,895 3,368 1,367 10,991 4,001 4,339 2,651 12,111 4,611 4,122 3,378 1,363 598 614 562 613 473 484 526 382 335 622 645 590 649 492 498 555 401 342 14,962 6,935 8,027 16,994 1,607 4,327 11,060 5,716 324 339 5,053 1,110 224 95 791 3,397 2,381 273 743 221 15,198 6,980 8,217 17,679 1,823 4,530 11,326 5,971 419 334 5,218 1,154 253 81 820 3,500 2,408 325 767 245 675 659 690 430 516 403 426 305 199 490 304 410 526 697 684 708 451 539 379 455 313 263 470 311 439 588 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) (1) 385 332 338 352 318 300 1 Data not shown where base is less than 100,000. Beginning in January 2000, 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 2000 averages, not seasonally adjusted Number Upper limit of: 409 353 353 421 329 288 Characteristic of workers (in thousands) First decile First quartile Second quartile (median) Third quartile Ninth decile SEX, RACE, AND HISPANIC ORIGIN Total, 16 years and over.................................. Men..................................................... Women................................................... 100,220 56,472 43,748 $278 298 254 $374 414 330 $566 640 485 $854 965 705 $1,251 1,426 1,014 White................................................... Men................................................... Women................................................. 82,937 47,939 34,997 282 301 258 383 422 339 584 660 494 879 988 719 1,273 1,456 1,033 Black................................................... Men................................................... Women................................................. 12,603 5,950 6,652 253 276 238 324 363 304 467 514 416 673 738 609 962 1,019 857 Hispanic................................................ Men................................................... Women................................................. 11,932 7,427 4,505 234 247 216 288 302 266 388 409 349 590 619 514 889 929 799 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..................................... 88,200 8,832 28,120 24,105 27,143 18,099 9,044 292 222 279 309 441 412 528 401 277 359 414 619 586 729 604 363 504 593 892 823 1,050 903 509 714 821 1,304 1,181 1,475 1,326 709 962 1,135 1,842 1,704 2,015 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................................... 49,620 5,693 15,830 12,849 15,248 10,058 5,189 323 241 312 358 499 474 592 468 303 416 487 711 673 840 694 410 594 691 1,022 951 1,229 1,014 572 817 938 1,503 1,386 1,664 1,487 768 1,055 1,260 2,013 1,896 2,381 Women, 25 years and over.............................. Less than a high school diploma..................... High school graduates, no college................... 38,581 3,139 12,290 267 196 248 351 244 313 508 302 414 739 393 569 1,064 514 747 EDUCATIONAL ATTAINMENT Some college or associate degree.................... College graduates, total............................ Bachelor's degree only............................ Advanced degree................................... 11,256 11,896 8,041 3,855 283 389 367 486 371 548 507 652 501 746 694 868 676 1,055 969 1,173 901 1,414 1,342 1,537 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 2000, 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 Characteristic II 1999 II 2000 II 1999 II 2000 Total, 16 years and over.................................. 20,964 20,538 $161 $171 Men, 16 years and over................................. 16 to 24 years....................................... 25 years and over.................................... 6,716 3,807 2,909 6,458 3,718 2,741 151 121 210 158 132 205 Women, 16 years and over............................... 16 to 24 years....................................... 25 years and over.................................... 14,248 4,648 9,600 14,080 4,549 9,531 166 122 199 178 136 210 17,832 5,633 12,199 17,709 5,414 12,295 162 150 167 172 159 179 SEX AND AGE RACE, HISPANIC ORIGIN, AND SEX White.................................................. Men.................................................. Women................................................ Black.................................................. Men.................................................. Women................................................ 2,231 782 1,449 1,911 703 1,208 156 151 159 161 146 168 Hispanic origin........................................ Men.................................................. Women................................................ 1,874 679 1,194 1,879 644 1,235 158 158 158 166 172 163 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 2000, data reflect revised population controls used in the household survey.