Private-sector workers in these states had the biggest pay raises over the past year
Though America's job market has been notoriously turbulent since the COVID-19 pandemic, the dust has finally begun to settle in 2024. That's good news for companies, but not necessarily for employees—according to a July 2024 report from professional services firm Willis Towers Watson, 47% of U.S. employers have lowered their salary budgets from 2023. The median pay raise has also dropped slightly, from 4.5% in 2023 to 4.1% in 2024.
Though that might understandably alarm most employees, these numbers signify greater stability in the nation's economy. In fact, in recent years, wage growth has outpaced inflation rates. A June 2024 NBC News analysis of data from the Bureau of Labor Statistics found that average hourly earnings are up 22.3% since February 2020, while the Consumer Price Index has risen by 20.8% in the same time.
As inflation continues to slow, those in the workforce will likely be able to stretch their salaries (and raises) further. And while public employees can generally expect annual raises in keeping with cost-of-living increases, the private sector is a different story altogether.
Stacker used Bureau of Labor Statistics data to find which states had the largest pay increases for private-sector workers from March 2022 to 2023. The analysis also includes the monthly change in pay. Maryland and Washington D.C. experienced wage decreases year over year and weren't included in the rankings.
