2010 wages up in Arkansas, manufacturing GDP declines

Federal data released Wednesday (Dec. 14) shows an increase in average wages during 2010 in most Arkansas metro areas and also provides more numerical proof of the state’s struggling manufacturing sector.

According to the U.S. Bureau of Economic Analysis, six of the seven metro areas located entirely or mostly in Arkansas saw an increase in the average wage per job during 2010 compared to 2009. Only the Little Rock-North Little Rock-Conway area posted a decline. The average statewide in 2010 was $36,683, slightly ahead of $36,029 in 2009.

All areas posted gains in a five year (2006) comparison. In the five-year period (2010-2006), the Fort Smith metro area had the lowest rate (6.89%) of wage per job growth, and Northwest Arkansas posted the highest rate (15.93%).

AVERAGE WAGE PER JOB (metro area)
Fayetteville-Springdale-Rogers
2010: $42,381
2009: $40,742
2006: $36,557
15.93% gain over five-year period

Fort Smith
2010: $34,053
2009: $32,848
2006: $31,857
6.89% gain over five-year period

Hot Springs
2010: $30,685
2009: $30,100
2006: $28,482
7.73% gain over five-year period

Jonesboro
2010: $33,030
2009: $32,097
2006: $29,324
12.6% gain over five-year period

Little Rock-North Little Rock-Conway
2010: $40,935
2009: $41,426
2006: $37,328
9.66% gain over five-year period

Pine Bluff
2010: $36,039
2009: $35,015
2006: $32,725
10.12% gain over five-year period

Texarkana:
2010: $36,207
2009: $35,362
2006: $32,878
10.12% gain over five-year period

Arkansas
2010: $36,683
2009: $36,029
2006: $32,900
11.49% gain over five-year period

The BLS data showed that compensation was up 2,480 counties and declined in 633 U.S. counties during 2010. Nationwide, the average annual compensation per job increased 2.7% to $58,451.

“Total compensation of U.S. workers increased 2.2 percent in 2010, as net job losses partially offset compensation growth. Inflation grew 1.8 percent, as measured by the national price index for personal consumption expenditures,” noted the BLS report.

LACKLUSTER GDP
The economic data was not as positive in terms GDP per capita. While six of seven metro areas saw gains between 2010 and 2009, only the Jonesboro metro area is ahead when compared to 2006 GDP per capita levels.

GDP PER CAPITA (metro area)
Fayetteville-Springdale-Rogers
2010: $35,187
2009: $34,670
2006: $37,800
6.91% decline over five-year period

Fort Smith
2010: $30,476
2009: $29,592
2006: $31,724
3.93% decline over five-year period

Hot Springs
2010: $23,727
2009: $23,562
2006: $25,493
6.92% gain over five-year period

Jonesboro
2010: $31,042
2009: $30,009
2006: $30,911
0.42% gain over five-year period

Little Rock-North Little Rock-Conway
2010: $42,437
2009: $43,040
2006: $42,494
0.13% decline over five-year period

Pine Bluff
2010: $27,217
2009: $26,408
2006: $27,501
1.03% decline over five-year period

Texarkana:
2010: $28,367
2009: $27,906
2006: $28,722
1.2% decline over five-year period

Arkansas
2010: $31,431
2009: $30,979
2006: $32,107
2.15% decline over five-year period

MANUFACTURING DECLINE
Manufacturing GDP increased in 2010 when compared to 2009, but the 2010 levels are lower than those posted in 2006. The biggest decline was in the Fort Smith metro area, where manufacturing GDP fell more than 22% between 2010 and 2006.

The GDP figures among Arkansas’ three largest metro areas reflect the continued loss of jobs in the manufacturing sector. The sector employed an estimated 153,600 during October. The sector employed 160,000 during October 2010. The manufacturing sector, once Arkansas’ largest, reached a peak of 247,400 jobs in February 1995. Manufacturing employment is now at numbers not seen since the mid-1960s.

MANUFACTURING GDP (metro area)
Fayetteville-Springdale-Rogers
2010: $2.417 billion
2009: $2.176 billion
2006: $2.538 billion
4.76% decline over five-year period

Fort Smith
2010: $1.889 billion
2009: $1.673 billion
2006: $2.423 billion
22.03% decline over five-year period

Little Rock-North Little Rock-Conway
2010: $2.327 billion
2009: $2.252 billion
2006: $2.403 billion
3.16% decline over five-year period

Arkansas
2010: $15.077 billion
2009: $13.589 billion
2006: $17.204 billion
12.36% decline over five-year period