Compared to the rest of the US, the Midwest is lagging in terms of real median wage growth, rising just 0.4% — or eight cents — from 2019 to 2022, new research from the left-leaning think tank Economic Policy Institute shows. This is in contrast to the nation’s 3.1% median wage growth during the same period.
Workers in the Northeast saw a median wage growth increase of 5.7% during the three-year period, while the West rose 4.7%. The South was a bit above the Midwest at 0.9%.
…
Though federal funding from the American Rescue Plan Act and the CARES Act helped many Midwesterners stay afloat, the Midwest “has endured years of slow wage growth, slow job growth, public-sector employment shortfalls, and declines in unionization,” the report notes.
“That decline was ushered in by a period of austerity — disinvestment in the public sector, as well as in public-sector employment — trade policies that incentivized offshoring, and a host of anti-worker policies that have limited the collective bargaining power of workers and the ability of unions to secure higher wages for their members, and in turn, all workers in the region,” Nina Mast, one of the study’s coauthors, told Insider.