Which American Workers Have Gotten the Biggest Raises?

Workers in restaurants, bars, hotels, or what is also called the “accommodation and food services” sector, saw the sharpest rise in average weekly wages in the April to June quarter of 2021, compared to any other sector of the U.S. economy. Those numbers, however, might be a tad misleading as they’re a year-over-year comparison and many of those establishments in America had to shut down or operate on a limited basis during the previous April through June due to public-health restrictions enacted to control the spread of the coronavirus.

The average wage for workers including waiters and bartenders among others in this sector rose 18.4% to $482 a week, after dropping 4.9% between the second quarter of 2019 and the same period in 2020.

The findings are part of a Dec. 22 study by Washington-based think tank Pew Research Center.

Big Raises, Still Low Pay

Despite the recent wage increases, this was still the lowest-paying sector. Jobs in the hospitality and foodservice space contracted by 38% during the previous-year quarter. As restaurants and hotels reopened,

The real wage winners from the pandemic were local messengers and delivery people, whose average weekly wage more than doubled to $1,437 from $680 during the second quarter of 2021 against the same quarter in 2019.

Almost two-thirds of U.S. private-sector payroll workers (63.6%) saw wages increase at least 5% in the second quarter of 2021 compared to the same period last year, according to the most recently available data from the Quarterly Census of Employment and Wages, a product of the federal Bureau of Labor Statistics (BLS).

TheStreet Recommends

Average wages for people working in software publishing, internet publishing and web search portals rose 12.3% to $2,740, between the second quarter of 2020 compared to the same period last year.

“Management pay in this sector rose an average 12% to $2,513 a week, between mid-2020 and mid-2021, after staying nearly flat in the year-earlier period,” Pew Research Center reported.

A Lot of Workers Got Raises

Pandemic-related job losses in the information and management sectors  were “considerably smaller” in comparison the food and hospitality sectors, because employees could work from home, the study reported.

Among industries that employed more than 100,000 people, “the financial transaction processing and clearing sector” doubled pay for its 126,000 workers to $4,247 from $2,110 in the quarter ending June 30, 2021 over last year.

Local messengers and delivery people saw wage growth of 92.6%. While new car dealers and dentists’ offices saw wages rise by 40.4% and 27.6% respectively.

These sectors “notched the biggest wage gains between the second quarter of 2020 and the second quarter of 2021 but had experienced wage declines during the early months of the pandemic,” Pew Research Center reported.

A chart shows the number of unemployed people per job opening.

Image source: Bureau of Labor Statistics.

Wages, of course, often go up or down due to supply and demand. Currently, there is less than one unemployed person per available job opening, per data from the BLS.

Trending Ideas

Featured Stocks On The Move

Daily Rundown

Top 3 Stocks in Leading Sectors
  • 3 Oil Field Machinery Stocks To Buy Now

    Matrix Service Company (MTRX) Matrix Service Company provides engineering, fabrication, construction, and maintenance services to energy and industrial markets. The company operates through segments such as Storage and Terminal Solutions,... Read More

  • 3 Restaurant Stocks To Buy Now

    Brinker International, Inc. (EAT) Brinker International, Inc. is a leading casual dining restaurant company, operating well-known brands such as Chili’s Grill & Bar and Maggiano’s Little Italy. The company focuses... Read More

  • 3 Coal Stocks To Buy Now

    Natural Resource Partners L.P. (NRP) Natural Resource Partners L.P. is a master limited partnership that owns, manages, and leases a diversified portfolio of mineral properties in the United States. The... Read More

  • 3 Real Estate Developer Stocks To Buy Now

    IRSA Inversiones y Representaciones Sociedad Anónima (IRS) IRSA Inversiones y Representaciones Sociedad Anónima is a leading real estate company in Argentina, engaged in the acquisition, development, and management of diversified... Read More

  • 3 Gas Distribution Stocks To Buy Now

    New Jersey Resources Corporation (NJR) New Jersey Resources Corporation is an energy services holding company that provides regulated natural gas distribution services through its subsidiary, New Jersey Natural Gas. The... Read More

  • 3 Food Product Stocks To Buy Now

    The Chefs’ Warehouse, Inc. (CHEF) The Chefs’ Warehouse, Inc. is a premier distributor of specialty food products, serving high-end restaurants, hotels, and gourmet food stores across the United States and... Read More

  • 3 HVAC Stocks To Buy Now

    Featured Content Lennox International Inc. (LII) Lennox International Inc. is a global leader in energy-efficient climate control solutions, specializing in heating, ventilation, air conditioning, and refrigeration (HVACR) products. The company... Read More

  • 3 Hotel Stocks To Buy Now

    Featured Content Hyatt Hotels Corporation (H) Hyatt Hotels Corporation operates a global portfolio of luxury, full-service, and lifestyle hotels, as well as vacation properties. Known for its premium hospitality offerings,... Read More

  • 3 Tobacco Stocks To Buy Now

    Featured Content Turning Point Brands, Inc. (TPB) Turning Point Brands, Inc. is a consumer products company that manufactures and markets tobacco products and alternative smoking accessories. The company’s portfolio includes... Read More

  • 3 Life Insurance Stocks To Buy Now

    Featured Content F&G Annuities & Life, Inc. (FG) F&G Annuities & Life, Inc. specializes in annuities and life insurance products designed to meet the long-term financial planning needs of clients.... Read More

  • 3 Soft Beverage Stocks To Buy Now

    Featured Content Westrock Coffee Company (WEST) Westrock Coffee Company is a leading integrated coffee, tea, and extract service provider, offering comprehensive solutions from sourcing and roasting to packaging and distribution.... Read More

  • 3 Medical Info System Stocks To Buy Now

    Featured Content Clover Health Investments, Corp. (CLOV) Clover Health Investments, Corp. is a healthcare technology company focused on improving health outcomes for America’s seniors. The company offers Medicare Advantage plans... Read More