Benton County led the nation in average weekly wage growth to close out 2014, according to the Bureau of Labor Statistics.
The federal agency on Wednesday released its county employment and wages summary outlining fourth quarter changes in 339 of the largest U.S. counties. Benton County's average weekly wage increased 9.9 percent to $996, or $24.90 an hour.
Wage growth
The Bureau of Labor Statistics released its fourth quarter 2014 county employment and wage report Wednesday. The percent change column represents the change between the fourth quarters of 2013 and 2014.
Benton County Washington County
Job category Average weekly wage Percent change Average weekly wage Percent change
Natural resources and mining $1,801 15.2 $1,239 16.7
Professional and business services $1,500 16.5 $1,682 0.7
Financial activities $1,119 1.5 $1,017 8.7
Information $917 -4.5 $882 1.4
Trade, transportation and utilities $893 4.7 $808 2.9
Construction $891 3.6 $954 6.8
Manufacturing $848 8.6 $827 8.7
Education and health services $781 4.7 $911 4.4
Other services $655 8.8 $576 6.3
Leisure and hospitality $325 6.6 $296 8.4
TOTAL $996 9.9 $868 8.6
SOURCE: Bureau of Labor Statistics
The U.S. average weekly wage increased 3.5 percent over the year to $1,035. Washington County's weekly wage increased 4.3 percent to $896, or $22.40 an hour.
Kathy Deck, director of the Center for Business and Economic Research at the University of Arkansas, said the jump is not surprising.
"There has been pent-up wage issues," she said. "When unemployment is so low, you have to raise wages to keep good employees."
The area's unemployment rate has consistently been at least a point below national levels. Northwest Arkansas' unemployment rate was 4 percent in April; the national rate was 5.1 percent. The area's metropolitan statistical area includes Benton, Washington and Madison counties in Arkansas and McDonald County, Mo.
Deck said employers added 6,106 jobs in Benton County and 3,020 in Washington County last year.
Benton County's 5.5 percent employment growth year-over-year landed the area in the ninth spot nationally for percentage change. The national job growth rate was 2.2 percent. Washington County's growth was 3.5 percent.
All job areas saw average weekly wage growth between the fourth quarters in 2013 and 2014, except for Benton County's information sector. It dropped 4.5 percent. Information includes the telecommunications, broadcasting and publishing industries.
Deck said some people might point to Wal-Mart raising the wages of hourly employees, but the company didn't even make that announcement until February. The first employees receiving a jump to $9 an hour saw it in their paychecks in April. Wages are set to go up to $10 an hour in February 2016.
She said companies such as Wal-Mart turn to wage increases to hold on to good employees and reduce turnover.
Retail and restaurant workers are part of the leisure and hospitality sector that increased 6.6 percent to $325 a week in Benton County and 8.4 percent to $296 a week in Washington County.
The job category seeing the largest increase in Benton County was professional and business services. Average wages jumped 16.5 percent to $1,500 a week, but still lag behind the $1,682 workers earned in Washington County. Business services includes jobs ranging from legal services to computer system design.
"Business and professional services include a lot of college educated people and the University of Arkansas is putting out a steady stream of folks taking those kinds of jobs," Deck said.
Cameron Smith, president and founder of executive search firm Cameron Smith & Associates in Rogers, is seeing that growth firsthand. He said there are close to 7,500 people working locally in the Wal-Mart vendor world.
"We're seeing bigger salaries than we've ever seen, across the board," he said.
Smith said an entire technology business park has emerged near Wal-Mart's information systems division building.
"Major tech organizations like Salesforce.com, Microsoft, Oracle, IBM, etc., have literally circled their wagons around the world's biggest retailer," Smith wrote in an email. "Additionally, the Walmart supplier job market continues to be a candidate driven market as companies compete for the best and brightest talent."
Northwest Arkansas also reached third in the nation for job growth on a list of mid-size metropolitan statistical areas released by newgeography.com, an online economic development and analysis publishing site. Midsize areas have between 150,000 and 450,000 jobs. Northwest Arkansas's 2014 employment was 227,800.
The area was also ranked third in 2013, but slipped to the 10th spot last year.
Christie Swanson can be reached at [email protected] or on Twitter @NWAChristie.
A Section on 06/18/2015