NEWS for North Dakotans
Agriculture Communication, North Dakota State University
7 Morrill Hall, Fargo, ND 58105-5665


July 1, 1999

N.D. Wages Keep Ahead of Inflation but Trail U.S. Average

The average wage per job in North Dakota rose 17.0 percent from 1992 through 1997. In hard-earned dollars, that increase totals $3,153, up to $21,724 from $18,571, according to the latest Population Bulletin released from the North Dakota State Data Center at North Dakota State University. During the period, the average wage per job in North Dakota grew faster than inflation, which increased by 16.2 percent.

"North Dakota workers, on average, increased their buying power during the 1992-1997 period. Salary increases in the state reflected the typical raises that most Americans saw," says Richard Rathge, data center director. "Unfortunately, North Dakota salaries lag significantly behind the national average by about 27 percent. The low wage situation in the state makes it difficult to retain and attract good workers."

The retention-attraction challenge essentially boils down to a supply-and-demand issue. Rural areas of North Dakota, for example, are greatly disadvantaged in the competition for labor because of the inability to hold the young adult population, who are attracted to larger cities because of the large wage differentials, Rathge says.

During the 1992-1997 period, average wages per job in the United States increased 17.1 percent, from $25,471 to $29,814, while in Minnesota they rose 19.1 percent to $29,644. In Montana the increase was 15.3 percent, to $21,728, and in South Dakota wages rose 19 percent to $21,186.

In North Dakota, Oliver County had the highest average wage per job in 1997, $34,837. Mercer County came in second at $31,328, and Sargent County was third at $28,402. North Dakota counties with the lowest average wage per job in 1997 were the following: Slope, $12,664; Divide, $13,276; and Logan, $13,489.

The average wage per job in metropolitan areas of North Dakota—Bismarck, Fargo-Moorhead and Grand Forks—was $23,309. The average North Dakota wage per job in nonmetropolitan areas in 1997 was $19,995.

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Source: Richard Rathge (701) 231-8621

Editor: Dean Hulse (701) 231-6136

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