Technical information: (202) 691-6378 USDL 01-228 http://www.bls.gov/cpshome.htm For release: 10:00 A.M. EDT Media contact: 691-5902 Thursday, July 19, 2001 USUAL WEEKLY EARNINGS OF WAGE AND SALARY WORKERS: SECOND QUARTER 2001 Median weekly earnings of the nation's 99.9 million full-time wage and salary workers were $595 in the second quarter of 2001, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. This was 5.1 percent higher than a year earlier, compared with a gain of 3.4 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 $514 per week, or 77.1 percent of the $667 median for men. The female-to-male earnings ratios were higher among Hispanics (86.1 percent) and blacks (85.7 percent) than among whites (76.0 percent). (See table 1.) --Median earnings for black men working at full-time jobs were $537 per week, 78.2 percent of the median for white men ($687). The difference was much less among women, as black women's median earnings ($460) were 88.1 percent of those for their white counterparts ($522). Overall, median earnings of Hispanics who worked full time ($417) were lower than those of blacks ($495) and whites ($609). (See table 1.) --Among men, the $802 median weekly earnings level of 45- to 54-year-olds was the highest of any age group. Among women, earnings also were highest for those 45 to 54 years old ($595). (See table 2.) --Among the major occupational groups, persons employed full time in managerial and professional specialty occupations had the highest median weekly earnings--$1,017 for men and $728 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 $384, compared with $521 for high school graduates (no college) and $919 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 $2,391 or more per week, compared with $1,731 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 scienti- fically 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 nonsam- pling 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). - 2 - 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-to- 24 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. 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 Median weekly earnings (in thousands) Characteristic In current dollars In constant (1982) dollars II II 2000 2001 II II II II 2000 2001 2000 2001 SEX AND AGE Total, 16 years and over.................................. 100,220 99,917 $566 $595 $318 $323 Men, 16 years and over................................. 56,472 55,896 640 667 360 363 16 to 24 years....................................... 6,852 6,385 371 394 209 214 25 years and over.................................... 49,620 49,511 694 716 390 389 Women, 16 years and over............................... 43,748 44,021 485 514 273 280 16 to 24 years....................................... 5,167 5,240 333 348 187 189 25 years and over.................................... 38,581 38,781 508 547 285 297 RACE, HISPANIC ORIGIN, AND SEX White.................................................. 82,937 82,348 584 609 328 331 Men.................................................. 47,939 47,292 660 687 371 374 Women................................................ 34,997 35,056 494 522 278 284 Black.................................................. 12,603 12,635 467 495 263 269 Men.................................................. 5,950 5,887 514 537 289 292 Women................................................ 6,652 6,747 416 460 234 250 Hispanic origin........................................ 11,932 12,012 388 417 218 227 Men.................................................. 7,427 7,375 409 445 230 242 Women................................................ 4,505 4,637 349 383 196 208 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. Table 2. Median usual weekly earnings of full-time wage and salary workers by age, race, Hispanic origin, and sex, second quarter 2001 averages, not seasonally adjusted Total Men Women Age, race, and Hispanic origin Number Number Number of Median of Median of Median workers weekly workers weekly workers weekly (in earnings (in earnings (in earnings thousands) thousands) thousands) TOTAL 16 years and over......................................... 99,917 $595 55,896 $667 44,021 $514 16 to 24 years.......................................... 11,625 375 6,385 394 5,240 348 16 to 19 years........................................ 2,119 298 1,209 316 910 283 20 to 24 years........................................ 9,506 395 5,175 413 4,330 371 25 years and over....................................... 88,293 627 49,511 716 38,781 547 25 to 54 years........................................ 77,074 629 43,220 714 33,853 552 25 to 34 years...................................... 24,697 572 14,087 611 10,609 515 35 to 44 years...................................... 28,668 652 16,342 747 12,326 550 45 to 54 years...................................... 23,709 696 12,791 802 10,918 595 55 years and over..................................... 11,219 612 6,291 729 4,928 515 55 to 64 years...................................... 9,825 620 5,447 749 4,377 523 65 years and over................................... 1,394 513 843 624 551 397 White 16 years and over......................................... 82,348 609 47,292 687 35,056 522 16 to 24 years.......................................... 9,728 378 5,521 395 4,207 353 25 years and over....................................... 72,620 650 41,771 735 30,849 563 25 to 54 years........................................ 62,996 654 36,293 734 26,702 572 55 years and over..................................... 9,624 623 5,478 754 4,147 517 Black 16 years and over......................................... 12,635 495 5,887 537 6,747 460 16 to 24 years.......................................... 1,428 333 608 381 820 312 25 years and over....................................... 11,206 517 5,279 572 5,927 486 25 to 54 years........................................ 10,063 517 4,727 577 5,336 486 55 years and over..................................... 1,143 509 552 529 591 491 Hispanic origin 16 years and over......................................... 12,012 417 7,375 445 4,637 383 16 to 24 years.......................................... 1,946 313 1,256 317 690 306 25 years and over....................................... 10,066 452 6,119 485 3,947 402 25 to 54 years........................................ 9,114 452 5,523 484 3,591 405 55 years and over..................................... 953 449 596 497 357 373 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. 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 Median weekly earnings (in thousands) Occupation and sex II II II II 2000 2001 2000 2001 TOTAL Managerial and professional specialty.................... 30,856 32,209 $828 $846 Executive, administrative, and managerial.............. 15,274 15,891 835 846 Professional specialty................................. 15,582 16,318 821 845 Technical, sales, and administrative support............. 28,554 28,116 504 523 Technicians and related support........................ 3,652 3,673 641 659 Sales occupations...................................... 10,254 10,212 532 576 Administrative support, including clerical............. 14,648 14,231 474 489 Service occupations...................................... 11,446 10,951 349 379 Private household...................................... 447 328 264 245 Protective service..................................... 2,180 2,231 605 618 Service, except private household and protective....... 8,819 8,393 324 348 Precision production, craft, and repair.................. 12,145 12,027 607 620 Mechanics and repairers................................ 4,254 4,189 641 642 Construction trades.................................... 4,421 4,334 588 606 Other precision production, craft, and repair.......... 3,471 3,504 585 620 Operators, fabricators, and laborers..................... 15,611 14,983 454 476 Machine operators, assemblers, and inspectors.......... 7,019 6,341 446 464 Transportation and material moving occupations......... 4,447 4,631 540 583 Handlers, equipment cleaners, helpers, and laborers.... 4,145 4,011 385 396 Farming, forestry, and fishing........................... 1,609 1,631 325 346 Men Managerial and professional specialty.................... 15,658 16,174 999 1,017 Executive, administrative, and managerial.............. 8,293 8,334 995 1,009 Professional specialty................................. 7,365 7,840 1,001 1,025 Technical, sales, and administrative support............. 10,874 10,502 653 665 Technicians and related support........................ 1,829 1,853 754 750 Sales occupations...................................... 5,724 5,616 683 704 Administrative support, including clerical............. 3,322 3,032 552 574 Service occupations...................................... 5,475 5,200 405 437 Private household...................................... 28 10 (1) (1) Protective service..................................... 1,845 1,834 636 655 Service, except private household and protective....... 3,602 3,355 351 374 Precision production, craft, and repair.................. 10,991 11,111 622 636 Mechanics and repairers................................ 4,001 4,043 645 650 Construction trades.................................... 4,339 4,229 590 608 Other precision production, craft, and repair.......... 2,651 2,839 649 677 Operators, fabricators, and laborers..................... 12,111 11,586 492 505 Machine operators, assemblers, and inspectors.......... 4,611 4,093 498 518 Transportation and material moving occupations......... 4,122 4,306 555 595 Handlers, equipment cleaners, helpers, and laborers.... 3,378 3,188 401 405 Farming, forestry, and fishing........................... 1,363 1,323 342 357 Women Managerial and professional specialty.................... 15,198 16,035 697 728 Executive, administrative, and managerial.............. 6,980 7,557 684 700 Professional specialty................................. 8,217 8,478 708 745 Technical, sales, and administrative support............. 17,679 17,614 451 478 Technicians and related support........................ 1,823 1,820 539 586 Sales occupations...................................... 4,530 4,595 379 434 Administrative support, including clerical............. 11,326 11,199 455 475 Service occupations...................................... 5,971 5,751 313 332 Private household...................................... 419 317 263 246 Protective service..................................... 334 396 470 517 Service, except private household and protective....... 5,218 5,038 311 327 Precision production, craft, and repair.................. 1,154 915 439 477 Mechanics and repairers................................ 253 146 588 528 Construction trades.................................... 81 105 (1) 536 Other precision production, craft, and repair.......... 820 665 409 447 Operators, fabricators, and laborers..................... 3,500 3,397 353 366 Machine operators, assemblers, and inspectors.......... 2,408 2,249 353 364 Transportation and material moving occupations......... 325 325 421 458 Handlers, equipment cleaners, helpers, and laborers.... 767 823 329 354 Farming, forestry, and fishing........................... 245 309 288 312 1 Data not shown where base is less than 100,000. Table 4. Quartiles and selected deciles of usual weekly earnings of full-time wage and salary workers by selected characteristics, second quarter 2001 averages, not seasonally adjusted Number Upper limit of: of Characteristic workers (in First First Second Third Ninth thousands) decile quartile quartile quartile decile (median) SEX, RACE, AND HISPANIC ORIGIN Total, 16 years and over.................................. 99,917 $288 $396 $595 $893 $1,336 Men..................................................... 55,896 312 437 667 1,009 1,501 Women................................................... 44,021 267 356 514 745 1,063 White................................................... 82,348 293 405 609 919 1,370 Men................................................... 47,292 316 450 687 1,032 1,534 Women................................................. 35,056 272 366 522 761 1,104 Black................................................... 12,635 263 342 495 702 976 Men................................................... 5,887 287 382 537 768 1,101 Women................................................. 6,747 247 315 460 636 868 Hispanic................................................ 12,012 243 301 417 623 948 Men................................................... 7,375 254 314 445 661 1,021 Women................................................. 4,637 232 283 383 576 823 EDUCATIONAL ATTAINMENT Total, 25 years and over................................ 88,293 305 424 627 939 1,386 Less than a high school diploma....................... 8,657 235 292 384 529 719 High school graduates, no college..................... 27,660 287 380 521 739 1,008 Some college or associate degree...................... 24,504 329 441 619 858 1,173 College graduates, total.............................. 27,472 471 643 919 1,360 1,892 Bachelor's degree only.............................. 18,494 442 602 854 1,246 1,765 Advanced degree..................................... 8,979 569 747 1,067 1,529 2,120 Men, 25 years and over................................ 49,511 339 483 716 1,064 1,559 Less than a high school diploma..................... 5,567 256 317 424 586 795 High school graduates, no college................... 15,479 320 433 610 855 1,128 Some college or associate degree.................... 13,008 376 505 720 985 1,356 College graduates, total............................ 15,457 499 724 1,061 1,541 2,114 Bachelor's degree only............................ 10,370 479 679 971 1,444 1,923 Advanced degree................................... 5,088 597 833 1,211 1,732 2,391 Women, 25 years and over.............................. 38,781 281 381 547 773 1,117 Less than a high school diploma..................... 3,090 212 261 318 421 558 High school graduates, no college................... 12,181 259 330 446 600 790 Some college or associate degree.................... 11,496 296 397 534 709 940 College graduates, total............................ 12,015 433 590 782 1,104 1,480 Bachelor's degree only............................ 8,124 407 550 738 1,013 1,382 Advanced degree................................... 3,891 534 697 916 1,256 1,731 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. Table 5. Median usual weekly earnings of part-time wage and salary workers by selected characteristics, quarterly averages, not seasonally adjusted Number of workers Median weekly earnings (in thousands) Characteristic II II II II 2000 2001 2000 2001 SEX AND AGE Total, 16 years and over.................................. 20,538 20,956 $171 $176 Men, 16 years and over................................. 6,458 6,953 158 160 16 to 24 years....................................... 3,718 3,805 132 135 25 years and over.................................... 2,741 3,147 205 215 Women, 16 years and over............................... 14,080 14,003 178 186 16 to 24 years....................................... 4,549 4,441 136 134 25 years and over.................................... 9,531 9,562 210 220 RACE, HISPANIC ORIGIN, AND SEX White.................................................. 17,709 18,167 172 178 Men.................................................. 5,414 5,855 159 161 Women................................................ 12,295 12,312 179 188 Black.................................................. 1,911 1,924 161 162 Men.................................................. 703 694 146 146 Women................................................ 1,208 1,230 168 170 Hispanic origin........................................ 1,879 1,876 166 178 Men.................................................. 644 765 172 180 Women................................................ 1,235 1,111 163 177 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.