Jobs are Back!
- The U.S. has regained the 8.7 million jobs lost in the recession, but the average wage has dropped 23 percent, according to a U.S. Conference of Mayors study released today.
The report, “U.S. Metro Economies: Income and Wage Gaps Across the U.S.,” also found a widening income gap between the rich and poor, with the highest earning 20 percent of households gaining the most. Chicago mirrored the national trend.
“While the economy is picking up steam, income inequality and wage gaps are an alarming trend,” said Kevin Johnson, conference president and mayor of Sacramento, Calif. The organization expects the trend to continue.
The average annual wage of jobs lost in 2008-09 was $61,637 nationally, while the average wage of jobs added through the second quarter of this year was $47,171, according to the report, prepared by research firm IHS Global Insight. Jobs were lost in high-wage manufacturing and construction, and replaced with jobs in lower-wage sectors such as hospitality, health care and administrative support.
The 23 percent wage gap compares with 12 percent drop after the 2000-03 recession, the report said.
Elections have consequences - and we'll will be paying for the past few for decades to come.