Nonmetro real wages fell in 2010 and 2011

After 2 years of economic recovery, improvements in nonmetro labor markets remain limited. While the 2007-09 recession was less severe in nonmetro areas, the subsequent economic recovery appears to be slower than in metro areas. Weak labor demand has put downward pressure on hourly wages, although wage declines have been smaller in nonmetro than metro areas. Real hourly wages grew through 2009, but fell in 2010 and 2011. The median hourly wage for all workers (excluding the self-employed), measured in constant 2011 dollars, was estimated at $14.53 in nonmetro counties and $17.04 in metro areas in 2011, down by $0.19 and $0.52, respectively, from their peak in 2009. Nonmetro real wages fell by 0.4% in 2010 and 0.9% in 2011, compared to a decline of about 1.5% in metro areas in both years. The larger wage declines registered in metro areas in 2010 and 2011 may in part reflect the fact that metro area unemployment was about one-half of a percentage point higher than in nonmetro counties. This chart appears in the 2012 edition of Rural America At A Glance, December 2012.

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