1/ Today we look at recent wage data across major industries and what it suggests about the evolving role of remote work in the U.S. economy. The latest figures show steady increases in average hourly earnings from December 2019 through December 2024.
2/ Total private sector wages rose from about 28 dollars per hour in 2019 to nearly 36 dollars per hour in 2024. Manufacturing wages followed a similar upward path, increasing from roughly 28 dollars to more than 34 dollars per hour. Leisure and hospitality, which started much lower at around 17 dollars per hour, climbed to above 22 dollars per hour. The trend is consistent across industries, even though levels differ significantly.
3/ Remote work plays a meaningful role in these patterns. Higher paying industries, especially in the broader private sector, include many roles that are adaptable to remote or hybrid arrangements. As remote options expanded after 2020, competition for skilled labor intensified, which likely supported upward wage pressure in sectors with digital or office based roles.
4/ Manufacturing is less remote friendly, yet wages still rose steadily. That suggests tight labor markets and productivity shifts may also be contributing. Meanwhile, leisure and hospitality, which is mostly in person, saw significant gains from a lower base, reflecting post pandemic labor shortages and stronger bargaining power for workers.
5/ Overall, the data shows broad wage growth across industries. Remote work may not explain every increase, but it has reshaped labor market competition, especially in sectors where work location is flexible. As hybrid arrangements remain common, wage dynamics may continue to reflect a more geographically competitive workforce.
Dataset
Data Source
U.S. Bureau of Labor Statistics. Current Employment Statistics, Average Hourly Earnings (December 2019–2024), via Federal Reserve Bank of St. Louis.
https://fred.stlouisfed.org/series/CEU0500000003