changes in the industrial distribution of wages in the united ...changes in the industrial...

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This PDF is a selection from an out-of-print volume from the National Bureau of Economic Research Volume Title: An Appraisal of the 1950 Census Income Data Volume Author/Editor: Conference on Research in Income and Wealth Volume Publisher: Princeton University Press Volume ISBN: 0-691-04102-4 Volume URL: http://www.nber.org/books/unkn58-2 Publication Date: 1958 Chapter Title: Changes in the Industrial Distribution of Wages in the United States, 1939-1949 Chapter Author: Herman P. Miller Chapter URL: http://www.nber.org/chapters/c1059 Chapter pages in book: (p. 357 - 430)

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Page 1: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

This PDF is a selection from an out-of-print volume from the NationalBureau of Economic Research

Volume Title: An Appraisal of the 1950 Census Income Data

Volume Author/Editor: Conference on Research in Income and Wealth

Volume Publisher: Princeton University Press

Volume ISBN: 0-691-04102-4

Volume URL: http://www.nber.org/books/unkn58-2

Publication Date: 1958

Chapter Title: Changes in the Industrial Distribution of Wages in theUnited States, 1939-1949

Chapter Author: Herman P. Miller

Chapter URL: http://www.nber.org/chapters/c1059

Chapter pages in book: (p. 357 - 430)

Page 2: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

Changes in the Industrial Distribution of

Wages in the United States, i99—i99

HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

Wages are among the most stable components of aggregate income.1They are generally less subject to the fluctuations characterizingearnings from "riskier" activities like the operation of a farm or abusiness, or receipts from other sources like dividends, rents, androyalties. This fact, perhaps, explains why income analysts havetended to overlook the vast body of 1940 census data on the distri-bution of wage income as well as some of the information providedby the 1950 census.

The present study attempts to remedy this oversight. It is basedlargely on wage data tabulated from the past two decennial censusesand on data obtained in the annual income surveys conducted bythe Bureau of the Census. It aims to identify some of the variableas well as the stable elements of the distribution of wage income.Recently available data indicate that between 1939 and 1949 therewas a marked decrease of inequality in this distribution. What arethe underlying forces responsible for the change? What general les-sons can be learned from the changes for specific industry groups?These are two questions which the present study attempts to answer.

Changes in the Distribution of Wages

Between 1939 and 1949 total wages increased from $46 billion to$134 billion. This threefold increase was accompanied by a markedchange in their level and distribution.

In 1939 the average wage earner received about $800 during theentire year. By 1949 this figure rose to $2,000 (Table 1). In 1939only 1 per cent of the wage earners had incomes of $5,000 or moreand 60 per cent had incomes below $1,000. By 1949 the proportionin the higher classes increased fourfold, and the proportion in thelowest class was cut by one-half. For men alone, typically the pri-mary income recipients in their families and likely to be full-timeworkers, the changes are even more striking.

The changes in the level of wage income and in the frequencydistribution of the earners were accompanied by a marked change

1Because wages and salaries are not distinguished in this paper, "wages" and"wage income" will be used to include both types of income.

355

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USES OF INCOME DATATABLE 1

Wage Income of Persons, by Income Class and Sex, 1939, 1945, and 1949

INCOME CLASS

Both Sexes Male Female1939' 1945 1949 1939' 1945 1949 1939' 1945 1949

(per cent)

Total 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0$ 1—$ 999 60.0 32.9 27.6 52.8 23.0 19.6 79.0 49.0 44.4

1,000— 1,999 29.2 28.4 21.8 33.4 21.8 18.1 18.1 39.3 29.62,000— 2,499 5.3 13.2 13.2 6.8 16.4 12.9 1.6 7.8 13.92,500— 2,999 2.0 9.7 11.0 2.6 14.1 13.3 0.5 2.4 6.43,000— 4,999 2.4 13.6 22.0 3.1 20.8 30.0 0.6 1.5 5.65,000 and over 1.0 2.4 4.2 1.4 3.8 6.1 0.1 — 0.2

(dollars)

Median income 789 1,617 2,016 939 2,157 2,476 555 1,023 1,208

Note: In this and the following tables, figures do not always add to totals because of round-ing.

'Include receipts from public emergency work.Source: Current Population Reports—Consumer income, Bureau of the Census, Series P-60,

No. 7, 1951, Table 23 (for 1939 and 1949) and P-60, No. 2, 1948, Table 22 (for 1945).

in the dispersion (or "inequality") in the distribution of this typeof income. Table 2 shows the relative distribution of wage incomefor several years between 1939 and 1949.

The substantial changes in the relative distribution of wage in-• come took place during the war years. Between 1939 and 1945 theshare received by the highest fifth of the recipients decreased from49 per. cent to 44 per cent. In contrast, the years immediately fol-lowing World War 11(1947—1949) did not see any change in therelative distribution. This suggests that something about the ex-pansion of economic activities stimulated by World War II re-sulted in a decrease in the concentration of wage income. However,

TABLE 2

Percentage of Total Wage Income Received by Persons Ranked byAmount Received, Selected Years, 1939—1949

RANK 1939 1945 1947 1948 1949

Total 100.0 100.0 100.0 100.0 100.0Lowest fifth . 3.4 2.9 2.9 2.9 2.6Second fifth 8.4 10.1 10.3 10.2 10.1Middle fifth 15.0 17.4 17.8 18.6 18.7Fourth fifth 23.9 25.7 24.7 25.5 26.2Highest fifth 49.3 43.9 44.3 42.8 42.4

Source: Herman P. Miller, income of the American People, Wiley, 1955, p. 104.

356

Page 4: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

CHANGES IN WAGE DISTRIBUTIONduring the immediate postwar period, when employment levels werehigh, there was relatively little change in income concentration. Thisshould be kept in mind when the data for detailed industries areconsidered.

Tables 1 and 2 clearly indicate a marked equalization in thedistribution of wage income between 1939 and 1949. To whatextent can this be explained by census wage data for separate in-dustries? This paper will consider the relationship between theequalization of wages and salaries between 1939 and 1949 and (1)changes in the industrial distribution of the labor force, (2) changein the relative earnings position of industries, (3) decrease in thewage spread between high-paid and low-paid industries, and (4)decrease in the wage spread between high-paid and low-paid work-ers within industries.

Impact of Changes in the Labor Force

The frequency distribution of all workers classified by the amountof wage income is the weighted sum of a large number of com-ponent distributions. Conceivably this distribution could havechanged even if all of the component groups retained their initialdistributions and only their associated weights changed. For ex-ample, each of the 117 industries examined in this report mighthave had exactly the same distribution of wage income in 1949 asit had ten years earlier, but changes in the industrial distributionof the labor force (the proportion of workers in each industry)might have caused a change in the distribution of total wages.

The decline in the importance of agricultural activities and theincreasing importance of manufacturing, evident for many decades,appear in the data for the two most recent decennial censuses. Table3 shows that between 1940 and 1950 the proportion of personsemployed in agriculture dropped by about one-third (from 19 to 13per cent), but the proportion employed in manufacturing, particu-larly in durable goods manufacturing, increased significantly (from11 to 13 per cent). How are these changes related to equalizationin the distribution of total wages?

An attempt is made to answer this question in Table 4. On theassumption that each industry had exactly the same number ofmale workers in 1949 as it had ten years earlier and that the onlyvariable was the frequency distribution of workers by wage income,the separate distributions were combined to obtain a single distribu-tion based on 1939 weights and 1949 frequencies, shown in fifths.

357

Page 5: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

USES OF INCOME DATATABLE 3

Employed Persons, by Major Industry Group, 1940 and 1950

INDUSTRY GROUP' 1940 1950

(number in thousands)

Total 44,888 55,843

(percent)Agriculture 18.7 12.8Mining 2.0 1.7Construction 4.6 6.2Manufacturing 23.6 25.3

Durable goods 11.4 13.2Nondurable goods 11.8 11.8Not specified manufacturing 0.4 0.3

Transportation, communication, and otherpublic utilities 6.9 7.6

Wholesale and retail trade 16.8 18.6Service industries 22.5 21.6All other industries 3.4 4.7Industry not reported 1.5 1.5

'The industry in which the person was employed (or the industry of his lastjob, if unemployed) at the time of the census.

Source: 1950 Census of Population, Employment and Income in the UnitedStates, by Regions, 1950, Series PC-7, No. 2, Table 8.

TABLE 4

Percentage of Total Wage Income Received by Male Workers Ranked by AmountReceived; Actual, 1939 and 1949, and Standardized, 1949

1939 1949RANK OF WORKERS Actual' Actual a Standardized b

Total 100.0 100.0 100.0Lowest fifth 3.8 5.2 4.9Second fifth 92 13.3 12.8Middle fifth 16.2 18.2 18.2Fourth fifth 23.3 23.3 23.5Highest fifth 46.6 39.8 40.6

'Based on Appendix Tables B-i and B-2.b The standardized distribution was obtained by multiplying the actual distribu-

tions in Table B-i by the numbers of workers in Table B-2 and summing theresults.

The standardized distribution shows the changes associated withvariations in the component frequency distributions, assuming nochanges in the weights associated with each distribution.

Apparently most of the equalization of wages and salaries be-tween 1939 and 1949 can be explained without reference to changesin the industrial distribution of the labor force. The share of aggre-

358

Page 6: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

CHANGES IN WAGE trSTRIEUTIONgate wage income received by the top fifth of the male workers de-creased from 47 per cent in 1939 to 40 per cent in 1949. This fifthwould have received 41 per cent of the aggregate in 1949 if therehad been no change in the industrial distribution of the labor force.Therefore by far the greatest part of the. equalization of wages dur-ing the decade is attributable to changes in the component distribu-tions rather than to changes in the weights associated with thosedistributions.

Changes in the Dispersion of Wages within Industries

To what extent does the change in the over-all distribution reflect adecrease in the dispersion of wages between high-paid and low-paid Workers within specific industries?

An examination of the changes in the dispersion of wage incomefor men indicates that there was a narrowing of wage differentialsin all but five of the 117 industries examined. In fifty-four industriesthe share of the aggregate wages received by the highest paid fifthof the workers in the industry decreased by less than 10 per cent;in an additional fifty-four industries the share received by the topfifth decreased by between 10 and 20 per cent, and in four indus-tries the decrease was over 20 per cent (Table 5). Decreases in

TABLE 5

Industries Ranked by 1949 Mean Wage Income of Male Workers, by Change inDispersion of Income between 1939 and 1949

'

.

CHANGE INHIGHEST

SHARE OF TOTAL RECEIVED BY-PAID FIFTH OF WORKERS,

1939 TO 1949Decrease

20.0% 10.0 to Less thanRANK OF INDUSTRY TOTAL or More 19.9% 10.0% Increase

Total 117 4 54 54 5Lowest tenth 5 — — 5 —Second tenth 13 — 3 8 2Third tenth 12 1 5 5 1

Fourth tenth 11 — 4 7 —Fifth tenth 11 — 6 3 2Sixth tenth . 18 — 11 7 —Seventh tenth 19 1 13 5 —Eighth tenth 8 — 3 5 —Ninth tenth 4 1 — 3 . —Highest tenth 16 1 9 6 —

Changes in dispersion are defined here in terms of changes in the share of aggre-gate wage income received by the highest-paid fifth of the workers.

Source: Derived from Appendix Table B-4.

359

Page 7: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

USES OF INCOME DATAdispersion were somewhat greater in the high-paid industries thanin those with relatively low average incomes. Thus, fourteen of thetwenty-eight industries in the highest three tenths (ranked bymedian wage or salary income in 1949) had decreases in disper-sion of 10 per cent or more, whereas oniy nine of the thirty indus-tries in the lowest three tenths had decreases this great.

Some factors affecting the distribution of wages within an in-dustry can be brought into sharper focus by examining the changesin average wages for specific occupations within it. Data availablefrom the past two censuses permit the analysis of changes in aver-age wage income for the following groups of male workers withineleven manufacturing industries, which include about one-fourthof all wage workers: laborers (not elsewhere classified or n.e.c.);operatives (n.e.c.); and all other workers. Although these data areextremely useful, they are defective in several important ways.

In the first place, they do not show separate income distributionsfor all laborers and for all operatives within each industry, butonly for those who were not classified in specific occupations. Thisdefect can be roughly adjusted for by the procedure discussed be-low. A second and more important defect, which cannot be ad-justed for, stems from the fact that the residual category "otherworkers" does not distinguish between craftsmen and the other oc-cupations. For this reason the data cannot be regarded as show-ing the differential income gains of unskilled, semiskilled, andskilled workers within each industry but rather of unskilled, semi-skilled, and "higher-paid" workers, since about three-fourths of the"other workers" category in most industries is composed of pro-fessional and managerial workers and craftsmen.

The unadjusted data, summarized in Table 6, show that in eachof the industries studied, the lowest-paid workers made the greatestrelative gains and the highest-paid workers made the smallest. Forexample, in the iron and steel industry the increase in average wagesbetween 1939 and 1949 was 152 per cent for laborers, 133 per centfor operatives, and 112 per cent for "other workers." The increasein the food manufacturing industry was 149 per cent for laborers,123 per cent for operatives, and 109 per cent for "other workers."

• As previously indicated, the data require adjustment. It is knownfrom a tabulation of industry by occupation (but without a furtherclassification by wage income) that there were 376,000 male opera-tives and 46,000 male laborers in the motor vehicle and motorvehicle equipment manufacturing industry in 1950.2 However, 2 79,-000 operatives and 45,000 laborers were not classified in specific

2 1950 Census of Population, Vol. iv, Special Reports, Part 1, Chap. C.

3 6o

Page 8: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

The

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TABLE 6

Laborers, Operatives, and "Other Workers" in Selected Manufacturing Industries, 1939 and 1949

1939

1949

PER

CE

NT

AG

E I

NC

RE

ASE

, 193

9'ro

194

9"O

ther

Wor

kers

""O

ther

Wor

kers

""O

ther

Wor

kers

"

Lab

or-

Ope

r-U

nad-

Ad-

Lab

or-

Ope

r-U

nad-

Ad-

Lab

or-

Ope

r-U

nad-

Ad-

n.m

usT

ayer

s a

ativ

es'

just

ed b

just

ed'

ers

ativ

es a

just

edju

sted

'er

r a

ativ

es a

just

ed b

just

ed

Food and

kind

red

prod

ucts

$85

3Textiles,

text

ile p

rodu

cts

and

appa

rel

675

$1,119

878

$1,662

1,609

$1,842

1,718

$2,128

1,913

$2,491

2,452

$3,481

3,606

$3,762

3,791

149

183

123

179

109

124

104

121

Furn

iture

, lum

ber,

and

woo

d pr

oduc

ts"

573

Pape

r, p

aper

pro

duct

s,an

d pr

intin

g87

1

852

1,16

0

1,03

3

1,89

6

1,44

7

1,95

0

1,58

5

2,32

5

1,90

6

2,77

5

2,36

4

3,74

6

3,53

1.

3,83

8

177

167

124

139

129

98

144

97

Che

mic

als,

pet

role

um, a

ndco

al p

rodu

cts

912

1,34

52,

188

2,29

92,

444

3,05

34,

362

4,55

616

812

799

98

Ston

e, c

lay,

and

gla

ssproducts

815

1,114

Iron and steel and not

1,745

1,872

2,213

2,684

3,497

3,691

172

141

100

97

spec

ifie

d m

etal

indu

s-tr

ies

924

1,162

1,670

1,778

2,32

52,

711

3,54

33,

762

152

133

112

99

Non

ferr

ous

met

als

and

.

thei

r pr

oduc

ts99

01,

110

1,67

11,

827

2,30

72,

602

3,52

33,

833

133

134

111

110

Machinery

943

1,177

1,817

1,898

2,318

2,797

3,757

3,89

5146

138

107

105

Motor vehicles and mo-

tor vehicle

equi

pmen

t1,074

1,227

1,695

1,825

2,621

2,876

3,793

4,074

144

134

124

123

Tra

nspo

rtat

ion

equi

p-m

ent,

exce

pt m

otor

vehi

cles

866

1,11

21,

577

1,64

72,

262

2,91

03,

575

3,65

316

116

212

712

2

Page 9: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

USES OF INCOME DATAoccupations within their respective major groups. Thus, about97,000 operatives (largely welders and painters) and 1,000 labor-ers were included in the category of "other workers," which iscomprised for the most part of craftsmen and white-collar workers.These workers can be separated from the "other workers" group byassuming that they have the same distribution by wage income asoperatives (n.e.c.) and laborers (n.e.c.). The addition of theformer groups to operatives (n.e.c.). and laborers (n.e.c.) does notchange the mean for the combined group since identical distribu-tions were assumed for both. However, their removal from "otherworkers" raises the mean for the latter group from $3,793 to$4,074. Similar adjustments were made, for each industry and therevised results for "other workers" are presented in the "adjusted"columns. In every case, with the exception of the furniture, lumber,and wood products industry, the adjustment tended to reduce therelative gain in average wage income for this group.

TABLE 7

Relationship of Mean Wages of Laborers, Operatives, and "Other Workers," inSelected Manufacturing Industries, 1939 and 1949

Mean Wage of:"Other Workers" Operatives

as%of as%ofLaborers' Laborers'

1939 1949 1939 1949INDUSTRY

'Food and kindred products 216 177 131 117Textiles, textile products, and apparel 255 198 130 128Furniture, lumber, and wood products 253 223 149 120Paper, paper products, and printing 224 165 133 119Chemicals, petroleum, and coal productsStone, clay, and glass productsIron and steel and not specified metal industriesNonferrous metals and their productsMachineryMotor vehicles and motor vehicle equipment

252230192185201170

186167162166168155

147137126112125114

125121117113121110

Transportation equipment, except motor vehicles 190 161 128 129

Source: Derived from Table 6.

Another way of viewing the differential gains of unskilled, semi-skilled, and "other workers" within specified manufacturing indus-tries is presented in Table 7. The average wage income of laborersis expressed first in relation to the average for high-paid workerswithin each industry for 1939 and 1949, and then in relation tothe average for operatives. In every industry there was a markedreduction in income differentials between high-paid workers andlaborers, it being greatest in the stone, clay,, and glass products

362

Page 10: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

CHANGES IN WAGE DISTRIBUTIONindustry. In this industry, high-paid workers made 2.3 times asmuch as laborers in 1939 but only 1.7 times as much in 1949. Thewage differentials were most stable in the motor vehicle and motorvehicle equipment industry; high-paid workers made 1.7 times asmuch as laborers in 1939 and 1.6 times as much in 1949.

Because of the heterogeneous nature of the "other workers" cate-gory, changes in differentials between oniy unskilled workers (labor-ers) and semiskilled workers (operatives) within each industrymay be more significant. Here again, Table 7 shows a reduction inwage differentials within most industries. In 1939, for example,operatives in the food processing industry; the paper and printingindustry; and the stone, clay and glass industry made about one-third more than laborers. In 1949, they made only one-fifth more.In the chemicals, petroleum, and coal products industries the dif-ferential between operatives and laborers was reduced from nearlyone-half to one-fourth.

It could be argued that these decreases are in some measureattributable to the reduction in unemployment, which had the great-est impact on the earnings of low-paid workers. While there is somejustification for this view, it may unduly minimize the importanceof reductions in wage rate differentials, which are not affected byvariations in the extent of employment. Evidence on this point ispresented in Table 8, which shows the average wage or salary in-come in 1939 and 1949 of operatives and laborers who were full-year workers in specified manufacturing industries. A full-yearworker is defined in this table as a person who worked fifty weeksor more during the year. Weeks worked, as defined in the 1950census, includes all weeks in 1949 during which work was per-formed. Accordingly, full-year workers for 1949 are persons whodid any paid work (not necessarily full-time) in fifty weeks ormore. Persons who worked regularly on a part-time basis were thuscounted as full-year workers in 1949. In contrast, the 1940 censusenumerators were instructed to convert part-time work to equiva-lent full-time weeks. Accordingly, a full-year worker for 1939 is aperson who worked full-time during the entire year. This changetended to understate the decrease in wage differentials because theinclusion of regular part-time workers in the 1939 data would haveprobably reduced the average income for laborers proportionatelymore than the average income for operatives.

Despite this, it is apparent from Table 8 that there was a reduc-tion in wage differentials between unskilled and semiskilled workersin most of the industries. The greatest reductions were in foodprocessing; furniture, lumber, and wood products; chemicals,

363

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TABLE 8

Relationship of Mean Wages of Full-Year Laborers and Operatives in Selected ManufacturingIndustries, 1939 and 1949

1939 1949Mean WOpera-

age of:Labor- (1) as %

Mean WOpera-

age of:Labor- (4) as

tives a ers a of (2) tives a err a of (5)INDUSTRy (1) (2) (3) (4) (5) (6)

Food and kindred productsTextiles, textile products, and

$1,323 $1,097 121 $2,834 $2,549 111

apparel 1,061 852 125 2,771 2,235 124Furniture, lumber, and wood

productsPaper, paper products, and

printing

1,056

1,350

736

1,073

143

126

2,301

3,098

1,902

2,616

121

118Chemicals, petroleum, and coal

productsStone, clay, and glass productsIron and steel and not specified

metal industries

1,5401,355

1,411

1,1691,030

1,209

132132

117

3,3532,986

3,040

2,7932,575

2,652

120116

115Nonferrous metals and their

productsMachinery

1,3591,447

1,2301,202

110120

3,0163,180

2,7272,768

111115

Motor vehicles and motor ye- .

hide equipment 1,555 1,393 112 3,311 3,063 108Transportation equipment, ex-

cept motor vehicles 1,476 1,164 127 3,301 2,671 124

a Not elsewhere classified.Source: Herman P. Miller, income of the American People, Wiley, 1955, Tables C2 and C4.

petroleum, and coal products; and stone, clay, and glass products.In most of the other industries there were small, but persistent, re-ductions.

The preceding tables are based entirely on census results and aresubject to all of the biases inherent in the household survey tech-nique as well as difficulties of interpretation. For this reason, it isparticularly important to refer to independent data on the samesubject as a check. Table 9 presents estimates derived from theBureau of Labor Statistics index of urban wage rates. They showthe percentage increase in wage rates for skilled, semiskilled, andunskilled workers by industry groups from October 1943 to April1947. These data support the conclusions based on census results.In almost all of the industries the greatest relative gains in wagerates were made by unskilled workers and the smallest by skilledworkers.

Changes in the Level of Wages among industries

The decade which ended in 1949 was a period of rapid increase inaverage earnings for practically all industries. The increases, how-

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CHANGES IN WAGE DISTRIBUTIONTABLE 9

Percentage Increase in Urban Wage Rates, by Industry, October 1943—April 1947

.

mmusmy TotalSkilled

WorkersSemiskilled

WorkersUnskilledWorkers

Total 32.3 27.7 34.5 35.7Food and kindred products 34.3 28.3 35.1 38.8Tobacco manufactures 41.3 30.1 40.2 48.8Textile mill productsApparel and allied productsFurniture and finished lumber prod-

51.547.9

45.334.2

.

58.549.5

52.342.4

ucts 44.9 40.9 44.3 55.3Paper and allied productsPrinting, publishing, and allied in-

dustries

35.3

46.9

28.0

45.0

34.4

49.6

40.9

51.4Chemicals and allied products 37.8 34.7 37.3 40.7Products of petroleum and coalRubber productsLeather and leather products

31.734.046.9

28.830.947.9

31.734.145.1

34.738.554.0

Basic iron and steel 25.2 21.4 22.7 38.8ShipbuildingMetal working, excluding basic iron

18.8 15.9 — 24.4

and steel and shipbuilding 27.5 23.2 29.0 31.2

Source: Harry Ober, "Occupational Wage Differentials, 1907—1947," MonthlyLabor Review, Dept. of Labor, August 1948, p. 131.

'ever, were by no means uniform. Out of 117 industries examined,eighteen had increases in average wage income of less than 100per cent, forty-seven of 100 to 125 per cent, thirty-eight of 125 to150 per cent, and fourteen of 150 per cent or more (Table 10).

TABLE 10

Industries Ranked by 1949 Mean Wage Income of All Workers, by Increase inMean Income between 1939 and 1949

'

INCREASE IN1939

MEAN INCOME,TO 1949

Less than 100.0 to 125.0 to 150.0%RANK OF INDUSTRY TOTAL 100.0% 124.9% 149.9% or More

Total 117 18 47 38 14Lowest tenth 5 — 3 1 1

Second tenth 13 1 4 6 2Third tenth 12 ' 1 3 6 2Fourth tenth 11 1 4 4 2Fifth tenth Ii 2 3 3 3Sixth tenth 18 2 10 4 2Seyenth tenth 19 3 8 8 —Eighth tenth 8 3 2 3 —Ninth tenth 4 1 3 — —Highest tenth 16 4 7 3 2

Source: Derived from Appendix Table B-4.

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USES OF INCOME DATAThese different gains could have had an important impact on thedistribution of total wage income.

There was a marked difference between the gains of high-paidand low-paid industries (Table 10). Among the thirty lowest-paidindustries, eighteen had gains in average earnings of 125 per centor more, and only two failed to double their average wage incomes.In contrast, of the twenty-eight highest-paid industries, only eighthad increases of 125 per cent or more, and an equal number failedto double their average earnings. These data lend support to thehypothesis that the greater relative gains of the lower-paid indus-tries are a factor in the general reduction in the dispersion of wageincome during the decade.

An examination of the particular industries involved quicklydispels the notion that the greater relative gains of the low-paidgroups can be entirely explained by a single factor such as the in-crease in union membership during the decade. For example, in-cluded among the lowest third of the industries with income gainsof 125 per cent or more are agriculture, restaurants, logging, saw-mills, taxicab service, gasoline service stations, drug stores, laun-deries, and many others in which the impact of the union has beenrelatively slight. Probably most of the relatively greater wage in-creases in the low-paid industries resulted from the pressure forworkers exerted by the other industries in the expanding defenseprogram during the early 1940's. Industries losing workers wereforced to raise wages to hold their existing labor force or to attractpeople outside the labor market. This increase in wages tended tochange the wage relationships which prevailed in 1940. During thewar, the revised wage differentials, established early during the de-fense program, were more or less stabilized by regulation. As aresult, the postwar period inherited a wage structure which differedsignificantly from that of 1940. The relatively full-employmentconditions during the postwar period have served to maintain thedifferentials.

Despite the differential gains in average earnings among indus-tries, there were comparatively few changes in the relative positionof industries. When ranked by mean wage income in 1949, ninety-four of the 117 industries studied remained either in the sametenths or in tenths adjacent to the ones they had been in 1939 (Ap-pendix Table B-5). However, welfare and religious services droppedfrom the seventh tenth in 1939 to the third in 1949; educationalservices, from the eighth to the fourth; telephone and state andlocal public administration, from the highest to the sixth; andpostal services and credit agencies, from the highest to the eighth.

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CHANGES IN WAGE DISTRIBUTIONAbout one-third of the workers in these industries were in govern-ment or education.

Reasons for the Decrease in Differentials

The statistical data clearly show that the decrease in the dispersionof wages during the decade which ended in 1949 is primarily at-tributable to decreases in wage differentials between skilled andunskilled workers within each industry and between high-paid andlow-paid industries. What forces operated to produce these changes?

The decrease in differentials between skilled and unskilled work-ers can perhaps best be understood as part of a historical processobserved in the United States since the turn of the century.3 In1907, for example, the median earnings of skilled workers in manu-facturing industries was about twice that received by unskilledworkers. By the end of World War I it was only 75 per cent greater,and by the end of World War II, only about 55 per cent greater(Table 11). Thus, during a forty-year period, the differential be-

TABLE 11

Relationship between Earnings of Skilled and Unskilled Occupations inManufacturing Industries, 1907—1947

(average earnings for representative unskilled occupations = 100)

PERIOD Median Range'

1907 205 180—2801918—1919 175 150—2251931—1932 180 160—2201937—1940 165 150—1901945—1947 155 145—170

'Middle half of all indexes.Source: Harry Ober "Occupational Wage Differentials, 1907—1947," Monthly

Labor Review, Dept. of Labor, August 1948, p. 130.

tween skilled and unskilled workers was reduced by about 50 percent, or by an average of about 1 per cent per year.

Many factors, of course, contributed to the reduction, and thereis disagreement on the importance of specific factors. One studenthas explained the decrease during this period largely in terms offorces affecting the supply of workers for unskilled jobs.4 He points

'The tendency for occupational wage differentials to narrow has also been ob-served in Great Britain. The British experience is analyzed in a study by K. 0. C.Knowles and D. J. Robertson, "Differences between the Wages of Skilled and Un-skilled Workers, 1880—1950," Bulletin of Oxford University Institute of Statistics,April 1951, pp. 109—127.

particularly Harry M. Douty, "Union Impact on Wage Structures," Pro-ceedings of Sixth Annual Meeting of Industrial Relations Research Association,1953.

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USES OF INCOME DATAout that the restriction of immigration and a declining birth rateup to the 1940's tended to reduce the supply of unskilled workersrelative to that of skilled workers and thereby to increase the rela-tive price of the former. Also the extension of the minimum legalage for leaving school both delayed the entrance of many youngpeople into the labor force and increased the numbers eligible forthe more skilled jobs. But the increase in the productivity of un-skilled labor by its combination with larger quantities of capitalmay also have made it economically feasible to raise wages.

Wage differentials since the depression have probably continuedto be affected by the relative supply of skified and unskilled work-ers. As previously indicated, the lowest paid, least organized indus-tries are among those which made the greatest relative gains duringthe 1940's. Workers in these industries undoubtedly benefited fromthe pressures for higher wages exerted by organized workers. Inaddition, however, many employers in these industries doubtlessraised wages because they were afraid of losing workers to thehigher paying defense industries. So the relative labor supply wasprobably important in the decrease of wage differentials even dur-ing the past decade.

At the same time, however, two powerful forces, the federalgovernment and the unions, have influenced wage regulation andwage determination to an unprecedented extent during the pasttwenty years. Before the depression of the 1930's the governmentexercised little direct control over wages. Even the unions playeda relatively minor role during this period.5

Since the 1930's, however, the federal government has assumedan increasingly prominent role. Aside from its direct influence as theemployer of an ever-growing proportion of the labor force, it has at-tempted to regulate wage differentials under a minimum wage lawand by the policies and decisions of the various wage control andstabilization boards beginning with the National War Labor Boardin 1942. Each of these has tended to affect wage structures dif-ferently.

The past twenty years have also witnessed a tremendous growthin union membership, from 2.9 million in 1933, mostly craftsmenconcentrated in a few industries like construction, railroads, andprinting, to about 17 million in 1952 scattered throughout the econ-

51t has been pointed out that "as late as 1934, union—management contractsfixed the wages and working conditions for some three or four million workers andwere confined, to a great extent, to the so-called sheltered trades such as printing,construction, or bakeries, or to regulated industries like railroads." (see Everett M.Kassalow, "New Patterns of Collective Bargaining," insights into Labor issues,ed. by R. A. Lester and J. Shister, Macmillan, 1948, p. 117).

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CHANGES IN WAGE DISTRIBUTIONomy.° Most economists agree that the growth of the big union, likethe growth of big government, has had some impact on wagestructures. Some, like Milton Friedman, believe that the efficacyof union pressure has been exaggerated. But even Friedman con-cedes that between 10 and 20 per cent of the labor force "can besupposed to have had their wages significantly affected by the exist-ence of unions."

One cannot separate the impact of government and union policyon wage differentials from those of other forces. The fact that thepolicies of both of these major institutions generally coincided withthe changes in wage dispersion does not signify that they causedthese changes.

FAIR LABOR STANDARDS ACT

Federal minimum wage regulation began in 1938 with the pas-sage of the Fair Labor Standards Act. The statutory minimum wageset was 25 cents an hour. Subsequently the minimum was raised to30 cents (1939), 35 cents (1941), 40 cents (1944) and 75 cents(1950). By 1955 about 24 million of the 44 million workers inprivate firms were covered by the law.8

The law could theoretically have reduced dispersion• in the dis-tribution of wages by raising the average level in low-paid indus-tries more than in high-paid industries and of low-paid workersmore than of high-paid workers. Actually, however, it has probablyhad little impact because it was enacted at the beginning of a rela-tively long period of high employment during which wage rates,even in covered industries, were substantially above the minimum.It was estimated in 1954, for example, that an increase in the mini-mum wage rate for workers covered by the Fair Labor StandardsAct from 75 cents an hour to $1.00 an hour would affect less than2 million workers out of the total of 44 million.9 However, there issome evidence that it influenced the wage structure within at leastone industry—the southern lumber industry.10 This may provideimportant clues to the impact of an effective minimum wage lawon the average level and dispersion of wages within industries. The

'Statistical Abstract of the United States, 1954, Bureau of the Census, p. 235.7Milton Friedman, "Some Comments on the Significance of Labor Unions for

Economic Policy," impact of the Union, ed. by David McC. Wright, Harcourt,Brace, 1951.

'Economic Report of the President, January 1955, p. 58.'Clarence D. Long, "The Minimum Wage," mimeographed, May 6, 1954.10J. P. Walker and Harry M. Douty, "Effects of Minimum Wage in Southern

Sawmills," and J. F. Walker, "Earnings in the Southern Lumber Industry," inthe September 1950 and October 1953. issues, respectively, of the Monthly LaborReview, Dept. of Labor.

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USES OF INCOME DATAtrend of wages in the southern lumber industry has been summar-ized as follows: "When the first FLSA minimum of 25 cents becameeffective in October 1938, the average in the industry rose almostimmediately from about 27 cents to 31 cents. The 5-cent raise inthe minimum a year later increased the average 3 cents, from 32 to35 cents an hour. The next 5-cent increase in the minimum (to 35cents) in November 1941 raised the industry average from 39 to42 cents per hour. . . . The 75-cent minimum, effective January25, 1950, had the immediate result of raising the average 11 centsto 80 cents an hour by March 1950." '

Both the timing and the magnitude of these changes suggest thatthis average is very responsive to changes in the statutory minimumhourly wage. In view of this fact, it is reasonable to assume that theminimum wage law tends to raise the average level of wages in thelow-paid industries. The law may account in some measure for thefact that average annual earnings of laborers in the furniture,lumber, and wood products industry rose proportionately morebetween 1939 and 1949 than those of laborers in every other indus-try for which data are shown, with the exception of the textile andapparel industry (Table 6).

Although the minimum wage law appears to have had a directimpact on the average level of wages in the southern lumber indus-try, apparently it has had only a negligible effect on the dispersionof wages within the industry. The available evidence is presented inTable 12, where the relationship in average hourly earnings for six

TABLE 12

Relationship of Average Hourly Earnings of Six Occupations in theSouthern Lumber Industry, 1949, 1950, and 1953(average earnings of machine off-bearers = 100)

October— .

OCCUPATIONDecember

1949March1950k

April1953

Teamsters, logging 105 103 104Truck drivers, logging 106 103 106Fallers and buckers, hand • 117 114 111Circular head-saw operators 170 153 164Band-head-saw operators 216 195 206

The minimum hourly wage was raised to 75 cents on January 25, 1950.Source: James F. Walker, "Earnings in the Southern Lumber Industry,"

Monthly Labor Review, October 1953, p. 1080.

different types of jobs are examined for a period just preceding anincrease in the statutory minimum wage, immediately after an in-crease, and three years after the increase.' Walker, op. cit., p. 1078.

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CHANGES IN WAGE DISTRIBUTIONThe immediate effect of the increase in the minimum wage to 75

cents an hour was a reduction in wage differentials. The averagehourly earnings of machine off-bearers, a low-paying job, rose rela-tive to the average for each of the other five types of higher-payingjobs. Three years later, however, the wage differentials before theincrease in the minimum wage had been largely re-established. Al-though the data indicate that after three years machine off-bearershad made a slight net gain relative to three of the other skills, theminimum wage law apparently did not permanently affect the dis-persion of wages within this industry to any significant degree.

NATIONAL WAR LABOR BOARD

One. month after our entry into World War II, the National WarLabor Board (NwLB) was established and given general responsi-bility for "settling labor disputes which threatened to impede theeffective prosecution of the war." The NWLB still did not then haveauthority to regulate wages, only to "resolve issues in dispute bymediation, voluntary arbitration, or arbitration under rules of itsown making." Nearly one year later, in October 1942, it was givencomplete jurisdiction over all wage rate adjustments, with the stipu-lation that it could grant increases in wage rates prevailing in Sep-tember 1942 only "to correct maladjustments or inequalities, toeliminate substandards of living, to correct gross inequities, or toaid in the effective prosecution of the war." 12

Thus, at the very inception of the wartime regulation, provisionwas made for wage adjustments consistent with the established gov-ernment policy of raising the lower end of the income curve. Evenbefore the authority for wartime wage controls was officially turnedover to the NWLB, President Roosevelt stated in his anti-inflationmessage to Congress on April 27, 1942, that "the existing machin-ery for labor disputes will . . . continue to give due considerationto inequalities and to the elimination of substandards of living."

The NWLB used three major administrative techniques in de-ciding whether or not to grant wage increases: (1) the "LittleSteel Formula"; (2) the bracket system; and (3) the substandardpolicy.

The Little Steel FormulaSuperficially, the Little Steel Formula appears to have tended

to maintain wage differentials existing at the outbreak of the war—

' Termination Report of the National War Labor Board, Dept. of Labor, 1947,Vol. 1, pp. 7 and 8.

'1bid., p. 211.

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USES OF INCOME DATAand it has been so interpreted by some authors '4—since it permit-ted an increase in straight-time hourly earnings of 15 per cent overthe January 1941 levels. However, "One of the fundamental con-cepts of the Little Steel Formula was that it should be applied tocombined occupational groups rather than to individual employeesor to individual job classifications in order that all workers in theunit should receive the same wage or salary adjustment in centsper hour, and, that, percentagewise, the unskilled relatively low-paid workers should receive greater increases than the skilled, high-paid workers." 15

The Little Steel Formula provided a basis for compensatingworkers for increases in the cost of living and for stabilizing thegeneral level of wages. It did not provide an effective basis foradjusting wage rates in new plants or in plants converting to themanufacture of new products. And it was not suitable for adjustingproblems associated with wage differentials between plants in anindustry or an area. To deal with "interplant inequities," the wagerate bracket approach was adopted.

Wage BracketsThe wage bracket was defined as "a band of rates or rate ranges

from minimum to maximum representing the sound, tested, andstable rates paid by employers for a particular job classification ina particular industry and labor market area." '° This range wasthen converted to a single rate bracket minimum,'7 and rates belowthe minimum could be raised to it. However rates within the bracketcould not be increased on the basis of comparisons with otherplants.

The effect was to reduce the dispersion of wages by raising thewage level for the lowest-paid workers. Within each occupation ina given industry and locality, most wage rates of the lowest-paidworkers were raised to a point 10 per cent below the average forthat group. About 60 per cent of the approvals of wage rate in-creases by the NWLB were made on the basis of the bracket system.'8This procedure, therefore, was very important in the general reduc-tion in the dispersion of wages during the war.

"David R. Roberts, "The Meaning of Recent Wage Changes," Insights intoLabor Issues, p. 201.' Termination Report of the National War Labor Board, Vol. 1, p. 201.

"ibid., p. 230.'7Two methods were employed to convert the range of rates to a single rate.

The procedure recommended by the NWLB and the one most commonly usedestablished the single-rate bracket minimum at 10 per cent below the weightedaverage of rates for the given occupation, industry, and area. The other methodwas to set the single-rate bracket minimum at the first substantial cluster of ratesfor the occupation, industry, and area.

"Roberts, op. cit., p. 227.

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CHANGES IN WAGE DISTRIBUTIONSubstandard Rates

Wage increases granted by the NWLB for "eliminating substand-ards of living" were specifically designed to raise the incomes ofthe lowest-paid workers. In general, the Board interpreted its taskas one of determining "an appropriate minimum up to which wageadjustments could voluntarily be made to correct substandards ofliving." In accordance with this policy, the NWLB decided inFebruary 1943 that wage rates could be raised up to 40 cents anhour without obtaining approval.20 The permissive minimum wasraised to 50 cents an hour in November 1944 and, finally, to 55cents an hour in August 1945. To make its substandard policy con-sistent with its wage rate brackets, the NWLB permitted wages be-low the substandard rate to be increased to that level. However, in-creases at higher wage rates had to be tapered progressively to zeroat 70 cents per hour. In other words, no wage rate increases werepermitted on the basis of the substandard policy for rates of 70cents an hour or more. The net effect of this procedure, as in thecase of the Little Steel FormUla and the wage-rate bracket policy,was to raise the level of the lowest paid workers relative to others.

UNION POLICY

During recent years, labor unions have increasingly demandedhigher wages in terms of uniform cents-per-hour increases. Such in-creases, of course, tend to reduce the dispersion of wages since theyresult in greater relative gains for lower-paid workers. This in-clination on the part of organized labor was manifested even beforethe outbreak of World War II. However, its greatest actual impacton the distribution of wages began with the cessation of hostilities.

About six months after the end of World War II, the UnitedStates experienced some of the greatest strikes in its history. Amongthe first and the most important, because they set the pattern forlater demands and settlements, were the steel strike (750,000 work-ers), the electrical workers (200,000), the automobile workers(200,000), the meat packers (125,000), and the oil workers (35,-000). Altogether, about 1,750,000 workers were idled by strikes inJanuary 1946 alone.

What were the wage demands of these strikes? The United Steel•Workers of America (cio) and the United Electrical, Radio andMachine Workers of America (cio) both demanded an increase of$2 per day.2' In the meat-packing industry, the United Packing-house Workers (cio) initially demanded a wage increase of 25cents per hour; the Amalgamated Meat Cutters and Butcher Work-

"Ibid., p. 211. lbid., p. 212.Monthly Labor Review, March 1946, pp. 426 if.

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USES OF INCOME DATAmen of North America (AFL) a minimum wage rate of $36 perweek, but were willing later to accept a straight increase of 15 centsper hour. At some point in each of these strikes the unions de-manded a uniform cents-per-hour increase. Only the United Auto-mobile Workers (do) and the Oil Workers International (cio)stated their demands in percentage terms, both demanding a 30 percent increase. (Ultimately the automobile workers settled for auniform cents-per-hour increase of 18% cents and the oil workersreceived an 18 per cent increase.) In addition, numerous otherdisputes during the first year after VJ Day were settled on a uniformcents-per-hour basis.

Since the early postwar strikes, organized labor has shifted itsmajor emphasis to demands for pension and welfare and otherfunds. However, many unions have continued to press for uniformcents-per-hour increases; and some contracts, particularly in themotor vehicle industry, feature automatic uniform changes in wagerates for annual increases in productivity or for changes in the costof living.

Appendix A: Definitions and Explanations

DEFINITIONS

Money WagesThis is the total money earnings received for work performed as an

employee during the calendar year preceding the date of the census. Thus,in the 1950 census, the money wages refer to earnings during 1949. Theyinclude wages, salaries, Armed Forces pay, commissions, tips, piece-ratepayments, and cash bonuses earned, before deductions were made fortaxes, bonds, pensions, union dues, and so forth. They do not includethe value of free meals, board, or other wages "in kind," or earnings fromthe operation of a farm, business, or professional practice.

Occupation, industry and Class of WorkerThe data on industry, occupation, and class of worker refer to the job

held during the survey week. Persons employed at two or more jobs werereported in the job at which they worked the greatest number of hoursduring the week. Persons who were unemployed during the survey weekwere classified according to their last civilian job.

Wage workers are persons who worked as employees for wages orsalaries. They include not only factory operatives, laborers, clerks, andso forth, who worked for wages, but also other persons working fortips or for room or board, salesmen, and other employees working forcommissions, and salaried business managers, corporation executives,and government officials.

The industrial and occupational classification systems used in the

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CHANGES IN WAGE DISTRIBUTION1940 census are basically the same as those used in 1950. An attemptwas made to make each group as comparable as possible for 1940 and1950. There are, however, a number of differences in the specific con-tent of particular groups. The industry data shown for 1940 have notbeen entirely adjusted for comparability with the 1950 classification sys-tem. But available evidence indicates that the 1940—1950 relationshipsshown by the data are not significantly affected by these differences. The1940 classification by class of worker is similar to the 1950 classification.

METHOD OF ESTIMATING AGGREGATE WAGE OR SALARY INCOME

An estimate of the number of persons at each income level was ob-tained by distributing those not reporting on income among all the incomelevels in the same proportion as those that did report. A mean incomewas then selected for each wage income level, and estimates of aggregatewages were obtained by multiplying the number of persons at each in-come level by the mean for that level.

For income levels under $10,000, the midpoint of each level was as-sumed to be the mean. The open-end interval in the 1950 census was"$10,000 and over." The Current Population Survey for April 1951 andother sources indicated that $20,000 was a reasonable estimate of themean wage income for this interval. The open-end interval in the wagedata for 1939 was "$5,000 and over." Income tax returns for that yearand data obtained in the income surveys indicated that $9,000 was a rea-sonable estimate of the mean wage or salary income for this interval.

METHOD OF CLASSIFYING INDUSTRIES BY DECILES

Table 13-5 shows industries classified by level of wage income in 1939and 1949 and Table B-6 shows a similar classification by dispersion. ofwage income. The procedure described below was used to prepare TableB-S. A similar procedure was used for Table B-6.

A listing of industries ranked from lowest to highest by mean wage in-come was prepared for 1939 and a separate listing for 1949. Each listingshowed the name of the industry, the average income, and the proportionof all wage workers included in the industry. On the basis of these listings,the industries were grouped into tenths.

COMPARABILITY OF CENSUS RESULTS WITH OTHER DATA

One' method of appraising the accuracy of the wage or salary data ob-tained for specific industries in the 1940 and 1950 decennial censusesis to compare them with similar information from other sources. All thecomparisons attempted in this paper must be regarded as rough approxi-mations because they are subject to a wide range of error attributable todifferences in definition. However the data may indicate the probabledirection and magnitude of 'error in the census results for specific in-dustries. . .

Table A-i shows the mean wage income in 1949 for workers in seven-

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USES OF INCOME DATATABLE A-i

Estimates of 1949 Mean Wage Income for Workers in Seventeen Manufacturing Industries,Census of Population, National Income Division, and Survey of Manufactures

. Difference:National (2)—(1) (3)—(1)

Census of Income Survey of as % of as % ofINDUSTRY Population

(1)Division b

(2)Manufactures

(3)(2)(4)

(3)(5)

Food and kindred products $2,680 $2,926 $2,870 8.4 6.6Tobacco manufactures 1,960 2,089 2,063 6.2 5.0Textile mill products 2,279 2,565 2,542 11.2 10.3Apparel and related productsLumber and furniture products

2,0262,083

2,3832,463

2,3412,382

15.015.4

13.512.6

Paper and allied products 2,858 3,230 3,174 11.5 10.0Printing and publishingChemicals and allied products

3,2103,313

3,6533,529

3,6293,418

12.161

11.53.1

Petroleum and coal products 4,058 4,179 3,936 2.9 —3.1Rubber productsLeather and leather products

3,0332,143

3,2252,410

3,2082,376

6.011.1

5,59.8

Stone, clay, and glass products 2,759 3,014 2,920 8.5 5.5Metals 3,021 3,366 3,361 10.2 10.1Machinery, except electricalElectrical machinery

3,2482,950

3,4783,247

3,5203,234

6.69.1

7.78.8

Transportation equipment 3,251 3,604 3,595 9.8 9.6Miscellaneous manufacturing

industries 2,692 2,961 2,983 9.1 9.8

B Derived from Appendix Table B-4.b Derived from National Income and Product of the United States, 1929—1950, Dept. of

Commerce, 1951, Table 14 (wages and salaries by industry) and Table 25 (average numberof full-time and part-time employees by industry).

Derived from Annual Survey of Manufactures, 1949 and 1950, Bureau of the Census, 1952,Table 4, p. 17.

teen manufacturing industry groups. These data were obtained from theNational Income Division (NW) of the Department of Commerce, the1950 Survey of Manufactures (SM) conducted by the Bureau of theCensus, and the 1950 Census of Population. Table A-2 shows the meanwage income for all industries and is based on information obtainedfrom the Nm and the 1950 census. Several important conceptual differ-ences underly these data. In the SM each plant was asked to report thetotal wages and salaries paid to all employees. Average employment wasreported by each plant for the four pay periods nearest the 15th ofMarch, May, August, and November. The NW data for manufacturingindustries are based largely on the quarterly reports filed by each em-ployer with the Bureau of Employment Security. These reports containa list of all employees and the taxable earnings paid to each employee.The estimates prepared from the SM and from the NID data are con-ceptually very similar since they are based largely on reported payrollinformation taken from the accounting records of establishments. Incontrast, the 1950 census averages for each industry represent the wages

376

Page 24: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

CHANGES IN WAGE DISTRIBUTIONand salaries paid to persons employed in that industry in April 1950 orwho were then unemployed but worked in that industry at their last job.Thus the wages of individuals who left the labor force during the yearwould not appear in the census data by industry, but they would be re-flected in the series based on establishment reports. Many people whodo some work during a given year are not in the labor force in a par-ticular month. In January 1952, for example, about one-third of the menand one-sixth of the women who were not in the labor force did somework during the preceding year.22 In addition, the wages and salaries ofworkers who changed jobs during the year or who had more than onejob at the time of the survey were all attributed to the industry at whichmost time was spent during the survey week in the census data. In con-trast, in the establishment reports all such earnings were allocated to theindustry in which the earnings were actually made.

One can only speculate about the net effect of these conceptual differ-ences. There can be little question that the census aggregates tend to belower than those derived from establishment reports because of the ex-clusion of the wages of persons. who left the labor force. The impactof these differences on the averages, however, is more difficult to deter-mine. The census averages tend to be higher than those based on estab-lishment reports because of the exclusion of workers who left the laborforce and who typically have lower earnings. The impact of multiple jobholders (either at a given time or throughout the year) on the averagesfor both series is indeterminate because it tends to raise some averagesand depress others.

Table A-i indicates that the census averages are below those derivedfrom the NID in all of the seventeen manufacturing industries for whichdata are shown. The difference was between $200 and $300 (6 and 10per cent) in most cases. Only in two industries (apparel and lumber) wasthe difference between the estimates as great as 15 per cent. One possibleexplanation is that in 1949 these two industries had a considerably largerproportion of part-year workers than most other manufacturing indus-tries.23 Conversely, the similarity of the estimates for the petroleumand coal products industry may be related to the fact that this industrybad the largest proportion of full-year workers in 1949.

Census and m estimates of mean wage income for all industries for1939 and 1949 are shown in Table A-2. These figures again emphasizethe tendency for the census estimates to be lower than those based onestablishment reports. The census estimates in 1949 exceeded NID in onlynine industries. In seven of these industries, however, the census estimatesfor 1939 were also higher than those based on NID figures. This factis significant because it suggests that there is a certain degree of stabilityin the relationship between the two sets of data. In the manufacturing

Current Population Reports—Labor Force, Bureau of the Census, SeriesP-SO, No. 43, 1953, Table 5.' Derived from 1950 Census of Population, Vol. a, Characteristics of the Popu-lation, Part 1, United States Summary, Table 135.

Page 25: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E A

-2

Min

ing:

Met

al m

inin

gC

oal m

inin

gC

rude

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role

um a

nd n

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al g

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onm

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lic m

inin

g an

d qu

arry

ing

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trac

t con

stru

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ed p

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man

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and

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re, a

nd w

ood

prod

ucts

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r an

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prod

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ting,

pub

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ng, a

nd a

llied

indu

stri

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hem

ical

s an

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lied

prod

ucts

Prod

ucts

of

petr

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m a

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ber

prod

ucts

1,658

3,697

123

932

2,663

186

238

1

21

358

12

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imat

es o

f 19

39 a

nd 1

949

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n W

age

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me

for

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kers

, by

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, 195

0 C

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s of

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and

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ome

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.

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b

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.centage

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1949

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1939

1949

Increase

lute

NW

lute

NW

Agr

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, for

estr

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gric

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d fi

sher

ies:

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2$1

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stry

700

2,07

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ies

852

2,28

6

203

$ 39

3$1,304

232

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3$148

11

196

440

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355

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2,767

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148

15

481

17

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139

1,515

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125

233

15

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10

909

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328

27

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14

1,684

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26

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246

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301

24

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18

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114

.1,3

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926

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68

835

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81

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Page 26: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

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nex

t pag

e

Page 27: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E A

-2, c

oncl

uded

Com

mun

icat

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and

pub

lic u

tiliti

es:

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epho

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re-

late

d se

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ities

and

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lic s

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ines

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rvic

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llane

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ures

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usem

ent,

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eatio

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edic

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ther

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lth s

ervi

ces

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al, e

ngin

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ng, a

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ther

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essi

onal

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vice

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igio

us o

rgan

izat

ions

and

non

-pr

ofit

orga

niza

tions

1,41

62,

484

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93—

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2022

1

CE

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S

IND

UsT

RY

1939

OF 19

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NC

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ION

b

Per

-ce

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e19

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se

DIF

FER

EN

CE

:

1939

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o- A

s%of

lute

NID

Nm

—C

EN

SUS

1949

Abs

o-lu

teA

s%of

Nm

Air

tran

spor

tatio

nPi

pe-l

ine

tran

spor

tatio

nSe

rvic

es a

llied

to tr

ansp

orta

tion

1,78

33,

862

1,57

93,

750

1,32

13,

028

117

2,26

73,

870

137

1,95

54,

172

129

1,12

72,

586

$1,5

742,

167

1,68

5

7148

421

113

376

1912

9—

194

—17

$2,8

104,

183

3,08

5

842

2—

442

79$1

,600

932,

261

831,

739

$2,9

074,

056

3,34

0

10—

17 3—

3 8

82$2

62

$97

7994

4—

127

9254

3•25

5

738

1,61

611

989

11,

817

104

153

1720

111

825

1,83

612

394

12,

038

117

116

1220

210

354

788

123

466

1,26

317

111

224

475

38

1,25

12,

385

911,

379

2,24

563

128

—9

—14

092

61,

970

113

907

1,99

512

0—

19—

225

1,74

13,

271

881,

301

2,74

711

1—

440

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—52

4—

19

'Der

ived

fro

m A

ppen

dix

Tab

le B

-4.

bD

eriv

edfr

om N

atio

nal I

ncom

e an

d Pr

oduc

t of

the

Uni

ted

Stat

es, 1

929—

1950

, Dep

t.

—4

—7 8

—6 1

1,32

72,

276

721,

183

2,24

990

—14

4—

12—

27—

1

of C

omm

erce

, 195

1, T

able

s 14

and

25.

Page 28: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

CHANGES IN WAGE DISTRIBUTIONindustries, there was considerable improvement in the consistency ofthe results between 1939 and 1949. In all but four of the manufacturingindustries the percentage difference between the census and m averageswere reduced between 1939 and 1949. The lumber and apparel indus-tries, which showed the greatest relative differences among manufacturingindustries in 1949, were also among those, with the greatest relative dif-ferences in 1939. Similarly, the petroleum and coal industry, whichshowed the smallest relative difference in 1949, also showed the smallestrelative difference in 1939. The most striking changes in the relation-ships between the two series were found in transportation. In the auto-mobile manufacturing industry the percentage difference between thecensus and NID average was reduced from 20 per cent in 1939 to 10 percent in 1949 and in industries which manufactured transportation equip-ment other than automobiles the differential was reduced from 17 to 9per cent.

Among nonmanufacturing industries, there appears to be a wide varia-tion in the consistency of the results produced by the two series. Theestimates tended to be most consistent in the following industry groups:wholesale and retail trade; banking, insurance, and real estate; and com-munications and public utilities. Only two of the specific industries withinthese groups showed differences as great as 10 per cent in 1939 or 1949.The group of service industries was the only one in which the censusestimates were typically greater than rm ones. One-half of all industries inin which the census average exceeded NID one were in the service trades.The contract construction industry showed widely divergent averages inthe census and NID in 1939 and 1949. In 1939, the NID average was 24per cent greater than the census one, in 1949, 18 per cent greater. Thecensus and NID estimates for the mining industry also differed markedlyin 1939 and 1949. Within this group, only the crude petroleum andnatural gas production industry produced census and NID averages whichdid not differ significantly in 1939 or 1949. The averages for other min-ing industries ranged from a minimum of 10 per cent for metal mining in

• 1949 to a maximum of 27 per cent for coal mining in 1939. In transporta-tion, as in mining and construction, wide differences between the censusand NID estimates were typical.

381

Page 29: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

Appendix B: Statistical Tables Relating to industries

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& r

ë!. p

rod.

Mis

c. n

onm

et. m

m. &

sto

ne p

rod.

Met

al in

dust

ries

Iron

& s

teel

& th

eir

prod

.

Page 42: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

Bla

st f

urn.

, ste

el w

ks.,

& r

oll.

mill

s0t

h. p

rim

, iro

n, s

teel

, & f

ab. s

teel

pro

d.N

onfe

rrou

s m

etal

s &

thei

r pr

od.

Not

spe

c. m

etal

md.

Mac

hine

ry, e

xc. e

lec.

Agr

i. m

ach.

& tr

acto

rsO

ffic

e &

sto

re m

ach.

& d

evic

esM

isc.

mac

h.E

lect

rica

l mac

hine

ry, e

quip

., &

sup

p.T

rans

port

atio

n eq

uip.

Mot

or v

ehic

les

& m

otor

veh

. equ

ip.

Air

craf

t & p

arts

Ship

& b

oat b

ldg.

& r

epai

r.R

ailr

oad

& m

isc.

tran

sp. e

quip

.O

ther

dur

able

goo

dsPr

ofes

sion

al &

pho

to. e

quip

. & s

upp.

Wat

ches

, clo

cks,

& m

isc.

mfg

. md.

Non

dura

ble

good

sFo

od &

kin

dred

pro

d.M

eat p

rod.

Dai

ry p

rod.

Can

. & p

rese

rv. f

ruit,

veg

. & s

ea f

ood

Gra

in m

ill p

rod.

Bak

ery

prod

.C

onfe

ctio

nery

& r

el. p

rod.

Bev

erag

e hi

d.M

isc.

foo

d pr

ep. &

not

spe

c. f

ood

md.

Tob

acco

man

ufac

ture

sT

extil

e m

ill p

rod.

Kni

tting

mill

s -

Dye

ing

& f

in. t

ex. e

xc. k

nit g

oods

6.2

13.4

17.8

22.8

39.6

6.1

12.3

17.2

21.7

42.4

6.4

13.7

17.8

21.6

40.3

5.3

11.6

16.2

20.7

46.0

6.1

13.0

17.2

21.8

41.7

7.1

14.2

18.5

23.0

37.0

7.0

13.0

16.7

21.7

41.4

6.0

12.8

16.9

21.7

42.4

5.6

12.3

16:3

21.6

44.0

6.6

13.8

18.8

23.2

37.4

7.2

14.4

18.7

22.8

36.6

5.6

12.5

17.8

23.3

40.4

6.2

13.2

18.8

24.6

37.0

5.0

11.1

16.6

23.0

44.1

5.3

11.4

16.4

21.8

44.9

6.5

12.8

16.9

22.1

41.4

5.1

11.5

16.0

21.4

45.8

5.1

11.2

16.2

22.1

45.1

5.5

12.4

17.4

22.5

42.0

6.9

14.3

17.8

21.8

39.0

6.0

12.9

17.3

22.5

41.0

4.2

8.7

14.8

22.3

49.9

5.4

11.7

16.3

21.5

44.9

6.5

13.8

18.2

23.5

37.7

4.9

11.4

16.5

21.3

45.6

5.6

12.1

17.3

22.6

42.2

4.7

10.5

16.4

21.9

46.2

4.8

10.3

14.6

21.8

48.2

6.5

12.2

15.3

20.5

45.2

6.0

11.7

16.3

22.3

43.5

6.6

12.5

16.1

21.2

43.3

cont

inue

d on

nex

t pag

e

10.2

15.8

18.5

21.4

33.8

27.

7.9

15.0

18.5

21.8

36.6

28.

8.3

15.2

18.6

21.8

35.9

29.

6.5

12.9

16.6

20.9

42.9

30.

8.6

14.9

18.3

21.4

36.5

31.

9.7

16.2

19.2

21.8

32.9

32.

8.5

14.4

17.9

21.2

37.8

33.

8.6

14.9

18.3

21.3

36.7

34.

8.2

14.7

18.1

21.5

37.3

35.

9.2

15.9

19.2

21.8

33.7

36.

9.3

16.0

19.2

21.6

33.6

37.

9.6

16.2

18.6

21.9

33.3

38.

8.1

15.8

19.8

22.8

33.3

39.

9.5

15.6

19.0

21.7

33.9

40.

6.8

13.8

18.0

21.7

39.5

41.

.8.5

14.4

17.8

21.6

37.5

42.

6.5

13.6

17.8

22.2

39.6

43.

6.4

13.4

18.1

22.1

39.7

44.

6.9

14.3

19.0

22.8

36.7

45.

8.1

15.5

18.9

22.4

34.9

46.

7.2

14.6

19.2

22.8

36.0

47.

4.6

12.0

18.2

24.1

40.8

48.

7.0

13.9

17.7

22.6

38.6

49.

7.0

14.9

19.1

23.2

35.6

50.

6.4

13.6

17.3

21.7

40.8

51.

7.2

14.9

19.1

22.2

36.4

52.

6.9

13.6

18.1

22.5

38.6

53.

5.9

13.0

17.4

22.1

41.3

54.

7.6

14.3

17.4

21.7

38.8

55.

6.6

12.9

17.0

23.0

40.2

56.

7.8

14.4

17.3

20.5

39.8

57.

TA

BL

E B

-3, m

ales

, -co

ntin

ued

Low

est

1939

1949

Seco

ndM

iddl

eFo

urth

Hig

hest

Low

est

Seco

ndM

iddl

eFo

urth

Hig

hest

Fift

hFi

fth

Fift

hFi

fth

Fift

hFi

fth

Fift

hFi

fth

Fift

hFi

fth

INDUSTRy

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

40.

41.

42.

43.

44.

45.

46.

47.

48.

49.

50.

51.

52.

53.

54.

55.

56.

57.

Page 43: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, m

ales

, con

tinue

d

1939

1949

Low

est

Fift

hSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hL

owes

tFi

lthSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hIN

ousm

y(1

)(2

)(3

)(4

)(5

)(6

)(7

)(8

)(9

)(1

0)

•58

.59

.C

arpe

ts, r

ugs,

& o

th. f

loor

coy

.Y

arn,

thre

ad, &

fab

ric

mill

s7.

16.

812

.712

.716

.915

.420

.920

.442

.144

.58.

77.

714

.714

.518

.117

.521

.322

.036

.938

.158

.59

.60

.61

.62

.63

.64

.65

.

Mis

c. te

x. m

ill p

rod.

App

arel

& o

th. f

ab. t

ex. p

rod.

App

arel

& a

cces

s.M

isc.

fab

. tex

. pro

d.Pa

per

& a

ll, p

rod.

Pulp

, pap

er, &

pap

erbo

ard

mill

s

5.7

5.3

5.4

4.3 6.4

6.8

11.7

10.8

10.9

9.8

12.8

13.4

16.0

15.4

15.4

14.6

16.6

17.0

20.7

21.7

21.7

20.7

20.7

20.8

45.6

46.5

46.3

50.3

43.2

41.7

7.3

6.1

6.1

6.3 8.0

8.6

13.8

12.5

12.3

14.0

14.9

15.5

17.3

16.4

16.4

17.4

18.4

18.7

21.4

21.7

21.5

22.5

21.8

22.0

40.0

43.0

43.4

39.6

36.8

34.9

60.

61.

62.

63.

64.

65.

66.

Pape

rboa

rd c

ont.

& b

oxes

5.3

11.5

15.6

20.1

47.2

7.1

13.7

18.0

22.0

39.0

66.

67.

Mis

c. p

aper

& p

ulp

prod

.5.

711

.915

.120

.346

.77.

814

.217

.621

.239

.067

.68

.Pr

intin

g, p

ubi.,

& a

ll. m

d.3.

510

.516

.423

.446

.02.

611

.818

.124

.343

.068

.69

.C

hem

ical

s &

all.

pro

d.4.

811

.316

.020

.647

.17.

614

.117

.621

.239

.369

.70

.Sy

nthe

tic f

iber

s8.

514

.918

.221

.536

.610

.316

.419

.021

.232

.870

.71

.72

.73

.74

.

Pain

ts, y

arn.

, & r

el. p

rod.

Dru

gs, m

ed.,

& m

isc.

che

m. &

all.

pro

d.Pe

trol

eum

& c

oal p

rod.

Petr

o. r

efin

ing

6.2

4.3

7.3

7.9

11.9

10.8

13.7

14.0

14.8

16.0

17.6

17.6

19.4

21.1

20.9

20.8

47.5

47.6

40.3

39.4

7.8

7.4

9.4

9.9

14.3

13.9

15.5

15.7

17.4

17.5

18.4

18.3

20.4

21.4

21.0

20.6

39.9

39.6

35.4

35.2

71.

72.

73.

74.

75.

76.

Mis

c. p

etro

. & c

oal p

rod.

Rub

ber

prod

.6.

06.

612

.013

.116

.817

.421

.021

.843

.940

.98.

59.

515

.115

.518

.418

.821

.021

.536

.834

.475

.76

.77

.78

.L

eath

er &

leat

her

prod

.L

eath

er: t

anne

d, c

urri

ed, &

fin

.6.

28.

012

.014

.016

.818

.121

.321

.943

.437

.77.

08.

514

.314

.717

.918

.222

.321

.638

.336

.777

.78

.79

.Fo

otw

ear,

exc

. rub

ber.

6.3

12.3

16.4

21.4

43.4

6.9

14.0

17.8

22.4

38.6

79.

80.

Lea

ther

pro

d., e

xc. f

ootw

ear

4.9

10.5

15.4

20.3

48.7

6.4

13.3

17.5

21.7

40.9

80.

81.

Not

spe

c. m

fg m

d.5.

211

.616

.621

.544

.86.

013

.017

.321

.242

.381

.82

.83

.T

rans

port

atio

n, c

omm

un.,

& o

th. p

ub. u

til.

Tra

nspo

rtat

ion

5.7

5.7

12.5

12.3

18.1

18.2

23.9

24.0

39.6

39.5

7.8

7.6

15.4

15.4

19.4

19.5

22.8

22.8

34.4

34.4

82.

83.

84.

85.

Rai

lroa

ds &

rai

lway

exp

. ser

v.St

. rai

lway

s &

bus

line

s6.

49.

213

.116

.518

.620

.024

.022

.637

.631

.59.

29.

215

.717

.019

.620

.622

.922

.632

.430

.384

.85

.86

.87

.T

ruck

ing

serv

.-

War

ehou

sing

& s

tora

ge4.

94.

411

.210

.517

.816

.924

.624

.641

.243

.46.

26.

614

.415

.020

.119

.224

.123

.434

.935

.686

.87

.co

ntin

ued

on n

ext p

age

Page 44: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

No

brea

kdow

n av

aila

ble

for

who

lesa

le tr

ade

for

1939

.

TA

BL

E B

-3, m

ales

, con

tinue

d

cont

inue

d on

nex

t pag

e

Tax

icab

ser

v.

Low

est

Fift

hSe

cond

Fift

h

1939

Middle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

Low

est

Fift

hSe

cond

Fift

h

1949

Middle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

IND

UsT

RY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

88.

89.

90.

91.

92.

93.

Wat

er tr

ansp

.A

ir tr

ansp

.Pe

tro.

& g

as. p

ipe

lines

Serv

. inc

id. t

o tr

ansp

.T

elec

omm

unic

atio

ns

7.1

5.2

4.4

5.3

4.9

4.7

13.8

10.6

10.8

14.2

12.4

12.5

18.0

15.8

15.9

21.4

18.1

18.3

23.7

23.2

21.3

23.9

23.5

22.9

37.1

44.9

47.3

34.9

40.8

41.3

6.7

6.0

7.7

8.5

6.8

8.4

14.6

12.9

13.2

16.6

14.0

14.7

19.9

17.8

16.5

20.0

18.1

18.2

24.2

22.6

20.1

22.4

21.4

22.7

34.4

40.4

42.2

32.3

39.3

35.7

88.

89.

90.

91.

92.

93.

94.

95.

96.

97.

98.

99.

Tel

epho

ne, w

ire

& r

adio

Tel

egra

ph, w

ire

& r

adio

Util

ities

& s

anita

ry s

erv.

Ele

c. li

ght,

pow

er, g

as, &

oth

. util

.G

as &

ste

am s

uppl

y sy

stem

sW

ater

sup

ply

& s

an. s

erv.

6.7

3.2

7.0

7.8

7.5

6.3

13.4

8.7

14.2

14.3

14.8

13.6

17.8

16.8

18.6

18.1

18.6

19.3

23.2

26.0

22.2

21.9

21.7

24.4

38.7

45.1

37.7

37.6

37.0

36.1

9.0

4.5

8.4

9.0

9.3

7.6

14.8

14.2

15.4

15.2

15.7

15.7

18.0

20.3

19.1

18.9

19.2

19.7

22.6

25.1

22.5

22.6

21.9

23.7

35.5

35.6

34.4

34.0

33.6

32.9

94.

95.

96.

97.

98.

99.

100.

Who

lesa

le &

ret

ail t

rade

4.5

10.7

16.3

22.6

45.7

4.8

12.4

17.3

22.9

42.4

100.

101.

Who

lesa

le tr

ade

4.8

10.6

15.4

21.6

47.4

6.1

12.6

16.8

21.1

43.1

101.

102.

103.

104.

105.

106.

107.

108.

109.

Mot

or v

ehic

les

& e

quip

.D

rugs

, che

m.,

& a

ll. p

rod.

Dry

goo

ds &

app

arel

Food

& r

el. p

rod.

Ele

c. g

oods

, har

dwar

e, &

plu

mb.

equ

ip.

Mac

hine

ry, e

quip

., &

sup

p.Pe

tro.

pro

d.Fa

rm p

rod.

& r

aw m

ater

ials

.7.5

6.9

5.1

6.3

7.0

6.8

7.9

5.6

13.8

13.0

10.2

13.6

13.0

12.4

13.6

12.7

17.5

16.8

14.0

18.6

16.4

16.3

17.5

16.4

21.5

21.7

20.0

22.7

20.6

20.6

21.1

21.1

39.5

41.3

50.5

38.5

42.7

43.7

39.7

44.0

102.

103.

104.

105.

106.

107.

108.

109.

110.

Mis

c. w

hole

sale

5.4

11.6

16.2

20.6

45.9

110.

111.

112.

Not

spe

c. w

hole

sale

Ret

ail t

rade

, sto

res

4.6

11.0

17.2

23.4

43.5

5.6

4.5

11.5

12.2

15.7

18.0

19.8

23.5

47.1

41.6

111.

112.

113.

114.

115.

Food

, exc

. dai

ry p

rod.

Dai

ry p

rod.

.& m

ilk r

etai

lG

enl.

mer

chan

dise

4.1

5.3

4.5

11.6

13.2

11.0

17.8

19.2

15.7

24.7

24.9

20.7

41.5

37.1

47.8

3.6

5.9

4.7

11.7

15.2

12.0

19.0

20.0

16.0

25.1

24.8

21.3

40.3

33.9

45.7

113.

114.

115.

116.

Five

& te

n ce

nt3.

49.

213

.819

.753

.62.

58.2

14.6

21.6

52.9

116.

Page 45: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, m

ales

, con

tinue

d

Low

est

Fift

h

1939

1949

Seco

ndFi

fth

Mid

dle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

Low

est

Fift

hSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hrN

nus.

rRy

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

117.

App

arel

& a

cc.,

exc.

sho

e4.

810

.916

.222

.145

.84.

311

.516

.221

.146

.711

7.11

8.Sh

oe4.

912

.318

.023

.840

.94.

012

.318

.023

.242

.311

8.11

9.Fu

rnitu

re &

hou

sefu

rn.

5.1

11.1

16.1

21.5

46.0

5.5

12.9

16.9

22.4

42.0

119.

120.

121.

Hou

seho

ld a

pp!.

& r

adio

Mot

or v

ehic

les

& a

ce.

5.2

6.0

12.2

12.4

18.0

17.2

23.0

22.7

41.4

41.5

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6.5

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121.

122.

Gas

. ser

v. s

tatio

ns4.

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.217

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612

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.525

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2.12

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rug

3.6

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16.9

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124.

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ing

& d

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ing

plac

es5.

211

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712

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ardw

are

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ater

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7.12

8.12

9.13

0.Je

wel

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el &

ice

4.8

4.3

11.5

10.7

17.0

16.5

23.1

23.7

43.4

44.6

4.7

5.6

12.2

13.5

17.1

18.2

21.9

23.1

43.8

39.3

129.

130.

131.

Mis

c. r

etai

l5.

011

.316

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.744

.34.

411

.817

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.943

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ot s

pec.

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ail

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10.1

15.7

22.0

48.1

3.9

10.9

15.9

21.2

47.9

132.

133.

Fina

nce,

insu

ranc

e, &

rea

l est

ate

4.7

10.3

14.5

20.6

49.7

5.6

11.7

15.9

21.3

45.4

133.

134.

Ban

k &

cre

d. a

genc

. & c

omm

od. b

rok.

5.7

10.7

14.2

19.7

49.3

6.0

11.5

15.2

20.0

47.0

134.

135.

136.

Insu

ranc

eR

eal e

stat

e, m

d. r

eal e

st. i

ns, l

aw o

ff.

5.4

5.1

10.7

11.1

15.7

15.9

21.3

21.3

46.5

46.4

6.5

5.3

12.9

11.7

16.6

16.9

21.6

21.9

42.3

43.9

135.

136.

137.

138.

139.

140.

141.

Bus

ines

s &

rep

air

serv

.A

dver

tisin

gA

ccou

nt. a

udit.

, boo

kkee

p., &

mis

c. b

us.

Aut

o. r

epai

r se

rv. &

gar

ages

Mis

c. r

epai

r se

rv.

serv

.

17.8

14.2

17.3

19.5

19.5

22.9

19.7

22.0

24.4

24.5

40.1

51.7

43.1

34.9

35.9

137.

138.

139.

140.

141.

142.

143.

144.

145.

Pers

onal

ser

v.Pr

ivat

e ho

useh

olds

Hot

els

& lo

dgin

g pl

aces

Lau

nd.,

clea

n., &

dye

ing

4.5

3.8

5.1

5.6

10.1

9.2

10.7

12.2

17.0

16.4

16.7

17.7

24.5

25.0

23.4

23.6

43.6

45.5

43.9

40.6

4.1

4.0

4.9

6.0

10.8 8.7

11.4

13.2

18.3

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18.1

18.8

24.6

25.5

24.2

24.2

41.8

45.4

41.1

37.5

142.

143.

144.

145.

4.8

10.9

3.1

8.0

4.1

10.0

5.7

12.6

16.8

12.7

15.5

18.9

18.0

22.8

19.8

21.6

25.0

25.2

44.4

56.1

48.4

37.6

40.7

5.5

13.4

4.0

10.1

5.0

12.4

6.4

14.7

5.8

14.0

cont

inue

d on

nex

t pag

e

Page 46: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, m

ales

, con

tinue

d

1939

1949

Low

est

Seco

ndM

iddl

eFo

urth

Hig

hest

Low

est

Seco

ndM

iddl

eFo

urth

Hig

hest

.Fi

fth

Fift

hFi

fth

Fift

hFi

fth

Fift

hFi

fth

Fift

hFi

fth

Fift

hINDUSTRY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

146.

Dre

ss &

sho

e re

p. s

hops

.m

isc.

pers

. ser

v.5.

111

.916

.823

.942

.04.

612

.619

.024

.539

.114

6.

147.

Ent

erta

in. &

rec

r.2.

97.

913

.021

.154

.92.

57.

714

.422

.652

.614

7.

148.

Rad

io b

road

. & te

levi

sion

4.5

9.9

14.2

20.5

50.6

4.8

11.0

14.9

20.5

48.7

148.

149.

150.

The

ater

s &

mot

ion

pict

.B

owl.

all.,

bill

. & p

ool p

an.,

mis

c. e

nt.

•3.

13.

68.

38.

613

.814

.622

.422

.352

.250

.72.

42.

48.

08.

515

.115

.122

.623

.751

.750

.014

9.15

0.

151.

Prof

essi

onal

& r

el. s

erv.

4.4

9.8

15.0

21.9

48.7

4.8

11.8

16.9

23.5

42.8

151.

152.

Med

ical

& o

th. h

ealth

4.9

10.1

14.6

20.7

49.5

5.5

11.8

16.6

21.5

44.4

152.

153.

Edu

catio

nal

4.7

10.5

15.5

22.5

46.5

4.8

12.5

18.4

24.3

39.7

153.

154;

155.

Wel

fare

, rel

ig.,

& n

onpr

ofit

Leg

al, e

ng.,

arch

., &

mis

c. p

rof.

ser

v.4.

53.

710

.2 9.0

15.6

14.3

21.6

21.9

47.9

50.9

4.5

4.4

11.1

11.0

17.0

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23.5

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43.7

45.7

154.

155.

156.

Publ

ic a

dmin

istr

atio

n4.

311

.718

.424

.241

.18.

615

.619

.222

.334

.115

6.

157.

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al s

erv.

8.5

17.3

23.0

23.2

27.7

10.5

17.8

21.1

23.2

27.1

157.

158.

Fede

ral p

ub. a

dmin

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26.

613

.623

.452

.97.

914

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.822

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.515

8.

159.

Stat

e &

loca

l pub

. adm

in.

6.4

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17.9

22.6

39.6

8.2

15.6

19.4

22.5

34.0

159.

cont

inue

d on

nex

t pag

e

Page 47: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, c

ontin

ued

1939

1949

Low

est

Fift

hSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hL

owes

tFi

fth

Seco

ndFi

fth

Mid

dle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

INDusrRY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

PAR

T 2

: FE

MA

LE

S1.

Tot

al2.

Agr

icul

ture

, for

estr

y, &

fis

heri

es3.

Agr

icul

ture

4.Fo

rest

ry5.

Fish

erie

s

Min

ing,

ext

ract

., &

qua

rry.

Met

als

Coa

lC

rude

pet

role

um &

nat

i. ga

sN

onm

etal

s, c

xc. f

uel

11.

Con

stru

ctio

n

4.1

11.7

19.0

25.8

39.2

1. 2. 3. 4. 5.

6. 7. 8. 9. 10.

12.

Man

ufac

turi

ng13

.D

urab

le g

oods

14.

Lum

ber

& w

ood

prod

., ex

c. f

urn.

15.

Log

ging

16.

Saw

& p

lani

ng m

ills,

& m

ill w

ork

17.

Mis

c. w

ood

prod

.18

.Fu

rnitu

re &

fix

ture

s19

.St

one;

cla

y, &

gla

ss p

rod.

20.

Gla

ss &

gla

ss p

rod.

21.

Cem

ent,

conc

rete

, gyp

sum

, & p

last

er p

rod.

22.

Stru

ctur

al c

lay

prod

.23

.Po

ttery

& r

d. p

rod.

24.

Mis

c. n

onm

et. m

m. &

sto

ne p

rod.

25.

Met

al in

dust

ries

26.

Iron

& s

teel

& th

eir

prod

.27

.B

last

fur

n., s

teel

wks

., &

rol

l. m

ills

3.8

9.9

16.9

24.4

44.7

5.0

5.0

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55.4

7.3

7.3

7.3

19.8

58.3

5.1

5.1

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55.1

7.6

7.6

7.6

19.6

57.3

2.7

7.0

13.9

31.4

44.7

4.5

10.1

21.7

27.6

35.8

——

——

5.6

5.6

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47.5

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613

.722

.024

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316

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.029

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5.3

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36.4

8.6.

814

.819

.723

.534

.97.

316

.619

.623

.632

.69.

4.2

12.6

18.5

23.7

407

7.1

15.1

20.5

23.2

34.0

10.

4.6

11.7

17.8

25.0

40.6

5.1

14.3

19.7

24.0

36.6

11.

6.2

12.8

18.7

23.6

38.4

5.9

14.2

19:5

25.Q

35.2

12.

5.7

14.0

18.9

24.3

36.9

6.4

15.4

20.6

24.1

33.2

13.

5.8

11.7

18.0

24.0

40.2

4.7

12.3

18.6

25.1

39.1

14.

6.9

11.0

17.0

23.9

41.0

6.0

12.4

17.6

27.1

36.9

15.

5.0

11.7

18.6

25.6

38.8

4.6

12.1

19.0

24.9

39.2

16.

6.1

12.1

18.1

23.6

39.7

5.0

12.7

18.3

25.7

38.3

17.

5.6

13.4

17.4

22.7

40.6

5.4

13.5

20.2

25.4

35.4

18.

6.6

14.6

18.4

23.5

36.9

6.3

15.5

19.8

25.3

32.9

19.

6.7

14.3

18.6

24.1

36.0

7.0

15.4

19.6

24.5

33.2

20.

6.7

14.8

18.9

22.8

36.5

5.8

14.4

20.6

24.0

35.0

21.

7.8

15.1

18.7

23.1

35.0

5.4

13.9

20.5

25.9

34.1

22.

6.4

15.6

19.7

22.7

35.3

6.5

14.9

21.4

24.2

32.8

23.

6.0

14.3

19.5

24.1

36.0

6.4

16.3

21.2

23.9

32.0

24.

6.3

14.3

18.8

23.5

36.9

7.4

16.2

20.9

23.4

31.8

25.

6.4

14.2

18.8

23.3

37.1

7.6

16.4

20.9

23.2

31.6

26.

6.2

14.7

19.2

23.3

36.3

9.8

17.2

20.1

22.6

30.0

27.

cont

inue

d on

next

pag

e

Page 48: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, f

emal

es, c

ontin

ued

1939

1949

Low

est

Fift

hSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hL

owes

tFi

fth

Seco

ndFi

fth

Mid

dle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

INDUSTRY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

28.

0th.

pri

m, i

ron,

ste

el, &

fab

. ste

el p

rod.

6.4

14.6

18.8

23.4

36.5

7.3

16.1

20.6

23.3

32.4

28.

29.

Non

ferr

ous

met

als

& th

eir

prod

.5.

714

.518

.723

.937

.06.

815

.620

.823

.832

.829

.30

.N

ot s

pec.

met

al m

d.5.

112

.117

.623

.541

.46.

116

.619

.624

.832

.630

.31

.M

achi

nery

, exc

. ele

c.6.

615

.319

.624

.234

.17.

716

.220

.923

.331

.731

.32

.A

gri.

mac

h. &

trac

tors

8.3

15.9

19.3

23.7

32.5

8.8

17.0

20.1

23.3

30.5

32.

33.

Off

ice

& s

tore

mac

h. &

dev

ices

7.7

15.4

19.6

23.6

33.4

8.2

17.1

20.7

23.4

30.4

33.

34.

Mis

c. m

ach.

6.1

14.8

19.4

24.1

35.4

7.6

16.2

20.7

23.3

32.0

34.

35.

Ele

ctri

cal m

achi

nery

, equ

ip.,

& s

upp.

5.9

14.3

19.6

24.9

35.1

5.8

15.8

21.6

24.5

32.1

35.

36.

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nspo

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p.6.

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t bld

g. &

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10.3

17.8

20.5

22.7

28.4

39.

40.

Rai

lroa

d &

mis

c. tr

ansp

. equ

ip.

4.6

12.8

20.6

25.2

36.5

6.6

15.7

20.1

23.1

34.2

40.

41.

Oth

er d

urab

le g

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5.9

12.9

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5.9

14.1

20.5

25.4

33.9

41.

42.

Prof

essi

onal

& p

hoto

. equ

ip. &

sup

p.6.

814

.819

.123

.535

.67.

716

.421

.323

.830

.642

.43

.W

atch

es, c

lock

s, &

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c. m

fg. m

d.6.

112

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813

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.124

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6.0

14.0

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24.7

35.2

44.

45.

Food

& k

indr

ed p

rod.

4.7

10.9

18.4

24.9

40.9

5.0

12.4

19.8

26.2

36.4

45.

46.

Mea

t pro

d.5.

614

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.76.

215

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.023

.933

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.47

.D

airy

pro

d.4.

711

.419

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413

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.947

.48

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an. &

pre

serv

. fru

it, v

eg. &

sea

foo

d3.

910

.214

.223

.647

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59.

815

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.744

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rain

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pro

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113

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aker

y pr

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36.8

5.8

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33.7

50.

51.

Con

fect

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ry &

rel

. pro

d.5.

511

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013

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.B

ever

age

md.

4.8

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42.7

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52.

53.

Mis

c. f

ood

prep

. & n

ot s

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foo

d hi

d.5.

011

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.725

.040

.95.

013

.020

.325

.535

.953

.54

.T

obac

co m

anuf

actu

res

7.5

14.1

18.5

23.9

35.8

5.8

14.2

20.0

24.6

35.1

54.

55.

Tex

tile

mill

pro

d.7.

614

.819

.823

.034

.66.

614

.920

.824

.832

.655

.56

.K

nitti

ng m

ills

7.6

14.9

19.7

23.1

34.5

6.5

14.3

19.2

24.2

35.5

56.

57.

Dye

ing

& f

in. t

ex. e

xc. k

nit g

oods

6.6

13.5

19.3

22.4

37.9

8.5

17.1

20.4

24.2

29.6

57.

58.

Car

pets

, rug

s, &

oth

. flo

or c

oy.

7.0

14.4

18.9

24.7

34.8

6.8

15.3

21.3

24.3

32.1

58.

cont

inue

d on

nex

t pag

e

Page 49: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, f

emal

es, c

ontin

ued

Low

est

Fift

h

1939

1949

Seco

ndFi

fth

Mid

dle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

Low

est

Fift

hSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hINDUSTRY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

59.

Yar

n, th

read

, & f

abri

c m

ills

7.7

15.0

20.0

23.7

33.3

7.2

15.6

20.5

25.0

31.4

59.

60.

61.

62.

63.

64.

65.

66.

67.

68.

69.

70.

71.

72.

Mis

c. te

x. m

ill p

rod.

App

arel

& o

th. f

ab. t

ex. p

rod.

App

arel

& a

cces

s.M

isc.

fab

. tex

. pro

d.Pa

per

& a

ll, p

rod.

Pulp

, pap

er, &

pap

erbo

ard

mill

sPa

perb

oard

con

t. &

box

esM

isc.

pap

er &

pul

p pr

od.

Prin

ting,

pub

l., &

all.

md.

Che

mic

als

& a

ll. p

rod.

Synt

hetic

fib

ers

Pain

ts, y

arn.

, & r

el. p

rod.

Dru

gs, m

ed.,

& m

isc.

che

m. &

all.

pro

d..

6.7

6.9

6.9

6.2

6.2

6.6

6.8

6.5

5.2

6.0

8.0

6.8

5.6

13.0

12.7

12.8

12.6

13.6

14.2

13.6

14.2

13.1

13.7

16.8

15.0

13.4

18.4

17.3

17.3

18.6

18.5

18.5

19.1

18.2

17.6

18.6

20.4

18.5

18.2

23.4

23.3

23.3

24.7

23.1

22.4

23.1

23.1

23.4

22.9

22.9

23.2

23.4

38.3

39.5

39.5

37.7

38.4

38.0

37.1

37.7

40.4

38.5

31.7

36.3

39.2

6.4

6.5

6.5

6.5

7.0

7.6

7.0

6.7

5.3

6.8

8.6

8.5

6.6

14.5

14.4

14.4

14.2

15.6

16.5

15.0

15.7

14.3

15.6

18.0

16.2

15.6

20.0

18.8

18.7

19.4

19.5

20.6

19.9

19.7

18.9

20.7

20.7

20.9

20.6

23.7

24.1

24.0

24.9

24.5

23.6

24.3

24.8

23.4

23.6

24.3

22.7

23.8

35.1

36.0

36.2

34.8

33.2

31.6

33.6

32.9

37.8

33.0

28.2

31.5

33.2

60.

61.

62.

63.

64.

65.

66.

67.

68.

69.

.70

.71

.72

.

73.

74.

Petr

oleu

m &

coa

l pro

d.Pe

tro.

ref

inin

g8.

08.

315

.715

.719

.519

.623

.123

.233

.533

.09.

49.

616

.516

.519

.519

.623

.423

.331

.030

.873

.74

.

75.

76.

77.

78.

Mis

c. p

etro

. & c

oal p

rod.

Rub

ber

prod

.L

eath

er &

. lea

ther

pro

d..

Leat

her:

tann

ed, c

urri

ed, &

fin

.

8.0

6.9

7.4

6.5

14.5

14.8

13.5

15.0

18.3

19.1

18.3

19.2

23.6

24.0

23.9

24.3

35.3

34.9

36.6

34.8

6.5

7.7

6.8

8.0

13.4

16.2

15.2

15.8

19.1

21.1

19.6

20.1

20.5

22.8

23.5

24.5

40.2

31.9

34.7

31.3

75.

76.

77.

78.

79.

Foot

wea

r, e

xc. r

ubbe

r.7.

613

.818

.524

.235

.66.

915

.619

.823

.334

.279

.80

.81

.L

eath

er p

rod.

, exc

. foo

twea

rN

ot s

pec.

mfg

. md.

7.1

5.7

12.2

12.4

17.8

17.6

24.8

23.6

37.9

40.5

6.5

5.6

13.7

13.5

18.7

19.2

24.3

24.7

36.5

36.8

80.

81.

82.

83.

84.

Tra

nspo

rtat

ion,

com

mun

., &

oth

. pub

. util

.T

rans

port

atio

nR

ailr

oads

& r

ailw

ay e

xp. s

erv.

6.8

6.2

7.5

14.8

14.1

16.2

19.5

20.1

20.4

24.4

24.3

24.2

34.3

35.0

31.5

7.4

6.5

9.9

16.3

16.0

17.2

20.4

20.4

21.0

23.7

24.9

24.1

31.9

31.9

27.5

82.

83.

84.

85.

St. r

ailw

ays

& b

us li

nes

7.6

15.7

20.1

24.3

32.0

5.1

14.5

20.7

25.3

34.1

85.

86.

87.

88.

Tru

ckin

g se

rv.

War

ehou

sing

& s

tora

geT

axic

ab s

en.

6.0

3.7

6.0

13.3

10.5

14.1

18.6

18.6

20.7

23.7

25.4

25.3

38.1

41.5

33.6

5.7

5.1

3.8

14.8

11.7

10.6

19.5

19.2

18.8

23.4

25.6

26.6

36.3

38.1

40.0

86.

87.

88.

89.

Wat

er tr

ansp

.5.

613

.920

.723

.735

.88.

717

.019

.523

.331

.289

.

cont

inue

d on

nex

t pag

e

Page 50: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, f

emal

es, c

ontin

ued

Air

tran

sp.

Petr

o. &

gas

. pip

e lin

esSe

rv. i

ncid

. to

tran

sp.

Tel

ecom

mun

icat

ions

Tel

epho

ne, w

ire

& r

adio

Tel

egra

ph, w

ire

& r

adio

Util

ities

& s

anita

ry s

erv.

Ele

c. li

ght,

pow

er, g

as, &

oth

. util

.G

as &

ste

am s

uppl

y sy

stem

sW

ater

sup

ply

& s

an. s

erv.

100.

Who

lesa

le &

ret

ail t

rade

101.

Who

lesa

le tr

ade

a10

2.M

otor

veh

icle

s &

equ

ip.

103.

Dru

gs, c

hem

., &

all.

pro

d.10

4.D

ry g

oods

& a

ppar

el10

5.Fo

od &

ret

. pro

d.10

6.E

lec.

goo

ds, h

ardw

are,

& p

lum

b. e

quip

.10

7.M

achi

nery

, equ

ip.,

& s

upp.

108.

Petr

o. p

rod.

109.

Farm

pro

d. &

raw

mat

eria

ls11

0.M

isc.

who

lesa

le11

1.N

ot s

pec.

who

lesa

le11

2.R

etai

l tra

de, s

tore

s11

3.11

4.11

5.11

6.11

7.11

8.

5.1

14.4

20.4

25.7

34.2

4.7

17.0

22.1

25.5

30.4

7.5

15.2

19.2

23.8

34.0

6.5

15.2

19.9

24.3

33.9

6.4

15.1

19.9

24.2

34.2

8.0

15.2

18.6

23.7

34.2

8.8

16.0

19.5

22.9

32.6

9.1

16.0

19.5

22.7

32.5

8.3

15.5

19.6

23.8

32.5

8.2

15.4

18.7

23.0

34.4

4.5

11.4

18.5

24.4

41.0

4.8

12.9

18.5

24.3

39.2

4.4

11.5

18.7

24.6

40.5

4.4

11.7

18.8

25.2

39.6

4.7

12.4

18.8

24.7

39.1

4.5

12.7

19.7

24.0

38.8

3.4

11.0

20.5

27.3

37.5

5.1

12.1

19.0

23.7

39.9

4.0

11.8

19.6

24.8

39.5

9.0

17.3

19.9

22.6

30.9

8.8

16.0

18.9

23.9

32.1

4.6

15.1

20.6

25.1

34.3

7.8

16.6

20.9

23.5

31.0

7.7

16.3

208

23.2

31.8

9.6

16.9

20.2

23.8

29.2

7.9

16.1

20.4

23.4

32.0

8.4

16.3

20.3

23.4

31.4

7.1

16.1

20.4

24.0

32.2

6.2

16.1

20.1

22.6

34.7

3.9

11.5

18.4

25.7

40.3

5.3

14.2

19.6

24.1

36.6

6.9

15.6

19.3

22.6

35.4

5.8

15.4

20.3

23.5

34.8

7.0

14.0

18.3

22.3

38.2

4.7

11;6

19.3

25.9

38.2

7.3

15.5

19.9

22.6

34.4

7.6

16.2

21.1

23.0

31.8

7.8

16.4

19.3

24.0

32.3

4.0

12.3

20.1

25.9

37.4

5.8

14.7

19.5

23.5

36.2

8.3

15.5

19.6

22.9

33.4

3.6

11.2

18.1

25.7

41.2

4.2

11.8

18.9

25.4

39.3

3.5

11.4

19.5

27.6

37.8

4.6

13.2

190

24.7

38.2

4.9

8.4

18.5

25.3

42.7

4.6

12.5

18.4

24.2

40.0

3.3

11.3

18.8

26.0

40.3

a N

obr

eakd

own

avai

labl

e fo

r w

hole

sale

trad

e fo

r 19

39.

cont

inue

d on

nex

t pag

e

.

Low

est

Fift

h

1939

1949

Seco

ndFi

fth

Mid

dle

Fift

hFo

urth

Fift

hH

ighe

stFi

fth

Low

est

Fift

hSe

cond

Fift

hM

iddl

eFi

fth

Four

thFi

fth

Hig

hest

Fift

hnm

usny

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

(10)

90.

91.

92.

93.

94.

95.

96.

97.

98.

99.

Food

, cxc

. dai

ry p

rod.

Dai

ry p

rod.

& m

ilk r

etai

lG

eni.

mer

chan

dise

Five

& te

n ce

ntA

ppar

el &

acc

., ex

c. s

hoe

Shoe

90.

91.

92.

93.

94.

95.

96.

97.

98.

99.

100.

101.

102.

103.

104.

105.

106.

107.

108.

109.

110.

111.

112.

113.

114.

115.

116.

117.

118.

Page 51: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, f

emal

es, c

ontin

ued

Furn

iture

& h

ouse

furn

.H

ouse

hold

app

!. &

rad

ioM

otor

veh

icle

s &

acc

.G

as. s

erv.

sta

tions

Dru

gE

atin

g &

dri

nkin

g pl

aces

Har

dwar

e &

far

m im

p!.

Lum

ber

& b

ldg.

mat

eria

l ret

ail

Liq

uor

Flor

ists

Jew

elry

Fuel

& ic

eM

isc.

ret

ail

Not

spe

c. r

etai

l

133.

Fina

nce,

insu

ranc

e, &

rea

l est

ate

134.

Ban

k &

cre

d. a

genc

. & c

omm

od. b

rok.

135.

Insu

ranc

e13

6.R

eal e

stat

e, m

d. r

eal e

st. i

ns, l

aw o

ff.

142.

Pers

onal

ser

v.14

3.Pr

ivat

e ho

useh

olds

144.

Hot

els

& lo

dgin

g pl

aces

145.

Lau

nd.,

clea

n., &

dye

ing

146.

Dre

ss &

sho

e re

p. s

hops

& m

isc.

per

s. s

erv.

5.0

13.7

18.2

23.6

39.3

4.9

12.9

19.6

25.0

37.4

6.5

14.6

19.4

24.7

34.6

4.2

10.1

17.0

24.6

43.8

5.3

13.0

19.6

24.6

37.2

4.5

12.4

17.3

24.7

40.8

5.2

13.5

18.8

24.1

38.2

6.2

14.0

19.0

24.3

36.3

.4.8

10.4

17.3

23.9

43.3

4.2

11.5

19.0

25.6

39.6

5.5

14.1

18.2

23.3

38.6

6.1

14.3

19.9

24.5

35.0

4.3

11.5

18.6

25.4

39.9

3.7

11.3

18.9

23.7

42.2

6.5

14.8

19.2

23.8

35.5

8.4

15.2

19.5

23.0

33.7

8.0

15.5

19.1

23.0

34.2

5.4

11.6

17.7

24.0

41.0

4.1

9.4

16.3

24.1

45.9

4.0

9.7

18.0

.23

.644

.45.

111

.317

.424

.341

.66.

913

.718

.924

.236

.05.

012

.119

.125

.138

.6

cont

inue

d on

nex

t pag

e

4.7

12.6

19.6

24.7

38.2

119.

4.9

13.3

19.8

25.4

36.3

120.

6.6

14.9

19.3

23.3

35.6

121.

3.6

9.6

17.9

27.1

41.5

122.

4.0

10.7

18.9

25.7

40.3

123.

4.6

11.2

16.6

25.2

42.1

124.

5.4

14.2

20.8

24.8

34.6

125.

5.7

14.8

19.2

24.3

35.8

126.

5.0

12.0

19.6

26.3

36.8

127.

3.7

9.3

18.9

28.1

39.8

128.

4.0

11.7

18.3

23.5

42.4

129.

6.4

15.8

19.9

24.0

33.7

130.

3.6

11.5

18.6

25.2

40.9

131.

3.6

12.2

18.7

25.0

40.3

132.

6.7

15.7

19.5

23.7

34.2

133.

7.9

16.4

19.8

23.0

32.6

134.

7.4

16.3

19.4

23.3

33.4

.13

5.4.

811

.718

.325

.040

.013

6.

4.9

13.5

19.1

23.8

38.5

137.

5.0

13.0

18.3

22.5

40.9

138.

4.8

13.5

19.6

24.4

37.5

139.

6.1

14.3

19.7

24.2

35.5

140.

5.4

12.7

19.9

25.5

36.3

141.

5.4

7.2

16.3

25.0

45.8

142.

6.9

6.9

15.9

23.0

47.1

143.

4.8

12.3

18.8

25.0

38.9

144.

5.7

12.8

19.6

25.4

36.2

145.

4.3

11.6

18.5

25.3

40.0

146.

1949

Low

est

Fift

hiu

snty

(1)

Mid

dle

Four

thSe

cond

Fift

h(2

)

Mid

dle

Fift

h(3

w)

Four

thFi

fth

(4)

Hig

hest

Fift

h(5

)

Low

est

Fift

h(6

)Fi

fth

(7)

Fift

h(8

)Fi

fth

(9)

Fift

h(1

0)

119.

120.

121.

122.

123.

124.

125.

126.

127.

128.

129.

130.

131.

132.

137.

Bus

ines

s &

rep

air

serv

.4.

712

.717

.523

.541

.4

138.

Adv

ertis

ing

4.5

12.2

17.6

23.2

42.2

139.

Acc

ount

. aud

it., b

ookk

eep.

, & m

isc.

bus

. ser

v.4.

813

.218

.122

.840

.8

140.

Aut

o. r

epai

r se

rv. &

gar

ages

5.4

13.5

18.3

24.6

37.9

141.

Mis

c. r

epai

r se

rv.

4.3

10.7

17.4

23.6

43.7

Page 52: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-3, f

emal

es, c

oncl

uded

.

1939

1949

TL

owes

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Seco

ndFi

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Mid

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Low

est

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Four

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Hig

hest

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)(2

)(3

)(4

)(5

)(6

)(7

)(8

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)(1

0)

147.

Ent

erta

in. &

rec

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89.

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.849

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8.14

9.15

0.

Rad

io b

road

. & te

levi

sion

The

ater

s &

mot

ion

pict

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owl.

all.,

bill

. & p

ool p

an.,

mis

c. e

nt.

.4.

33.

73.

9

10.9 8.9

9.6

16.2

14.2

15.8

20.3

21.5

23.5

48.2

51.5

46.9

4.5

3.2

3.4

13.3 7.4

8.6

18.2

13.5

15.2

21.8

23.5

26.0

42.0

52.2

46.6

148.

149.

150.

151.

Prof

essi

onal

& r

el. s

erv.

4.9

11.3

16.7

23.7

43.2

4.6

11.8

19.6

25.5

38.3

151.

152.

Med

ical

& o

th. h

ealth

4.9

11.9

18.4

24.5

40.0

5.1

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25.6

37.6

152.

153.

Edu

catio

nal

5.2

11.4

16.3

24.2

42.6

4.4

12.4

19.5

25.9

37.7

153.

154.

155.

Wel

fare

, rel

ig.,

& n

onpr

ofit

Leg

al, e

ng.,

arch

., &

mis

c. p

rof.

ser

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.624

.243

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110

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blic

adm

inis

trat

ion

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22.3

40.3

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32.1

156.

157.

Post

al s

erv.

3.9

10.1

15.1

26.4

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4.4

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20.5

27.2

34.7

157.

158.

159.

Fede

ral p

ub. a

dmin

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ate

& lo

cal p

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915

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8.15

9.

Sour

ce: D

eriv

ed f

rom

Tab

les

B-i

and

B-2

.

Page 53: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-4

Der

ived

Est

imat

es f

or W

age

Wor

kers

by

Indu

stry

, 193

9 an

d 19

49

PERCENTAGECHANGE, 1939

TO

1949

Dec

reas

e in

Sha

re o

fPE

RC

EN

TA

GE

DIS

TR

IBU

TIO

NO

F A

LL

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RK

ER

SM

EA

N I

NC

OM

EO

F A

LL

WO

RK

ER

S

DE

CIL

E R

AI4

KOF

IND

UST

RY

BY

ME

AN

IN

CO

ME

Incr

ease

in

Tot

al R

ecei

ved

byH

ighe

st-P

aid

Fift

h(+

= in

crea

se)

1939

1949

1939

1949

1939

1949

Mea

n In

com

eM

ale

Fem

ale

..

INDUTBY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

1. T

otal

100.

010

0.0

$1,1

24$2

,554

— —

127

1512

2. 3. 4. 5.

Agr

icul

ture

, for

estr

y, &

fis

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esA

gric

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reFo

rest

ryFi

sher

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6.5

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396

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1,19

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202

203

196

168

4 4 19 —

+5

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6. 7. 8. 9. 10.

11.

Min

ing,

ext

ract

., &

qua

rry.

Met

als

Coa

lC

rude

pet

role

um &

nat

i. ga

sN

onm

etal

s, e

xc. f

uel

-

Con

stru

ctio

n

2.6

0.3

1.6

0.5

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6.0

2.0

0.2

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0.2

6.6

1,10

61,

282

909

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893

2

967

2,86

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3

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9

—6 3 10 4 4

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159

139

176

123

186

174

12 14 7 8 15 12

10 15 8 7 16 10

12.

13.

14.

15.

16.

17.

18.

19.

20.

21;

22.

23.

24.

25.

Man

ufac

turi

ngD

urab

le g

oods

Lum

ber

& w

ood

prod

., ex

c. f

urn.

Log

ging

Saw

& p

lani

ng m

ills,

& m

ill w

ork

Mis

c. w

ood

prod

.Fu

rnitu

re &

fix

ture

sSt

one,

cla

y, &

gla

ss p

rod.

Gla

ss &

gla

ss p

rod.

Cem

ent,

conc

rete

, gyp

sum

, & p

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er p

rod.

Stru

ctur

al c

lay

prod

.Po

ttery

& r

el. p

rod.

.M

isc.

nonm

et. m

m. &

sto

ne p

rod.

Met

al in

dust

ries

30.5

14.9

2.1

0.4

1.3

0.4

0.6

1.0

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0.2

0.1

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4.5

32.5

17.4 1.7

0.3

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4.6

1,20

71,

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8

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72,

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— — —2 2 5 5

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— — —2 2 3 4

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—•

131

130

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190

153

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124

123

166

119

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126

14 135

+2 5 10 9 15 13 19 13 10 14 13

S 10 3 10 +1 4 13 11 5 4 3 7

11 14

cont

inue

d on

nex

t pag

e

Page 54: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-4, c

ontin

ued

.

PERCENTAGECHANGE, 1939

TO1949

Dec

reas

e in

Sha

re o

fPE

RC

EN

TA

GE

DE

CIL

E R

AN

KT

otal

Rec

eive

d by

.

INDUSTRY

DIS

TR

IBU

TIO

NO

F A

LL

WO

RK

ER

S

1939

1949

(1)

(2)

ME

AN

IN

CO

ME

OF

AL

L W

OR

KE

RS

1939

1949

(3)

(4)

OF

IND

UST

RY

BY

ME

AN

IN

CO

ME

1939

1949

(5)

(6)

incr

ease

inM

ean

Inco

me

(7)

Hig

hest

-Pai

d Fi

fth

(+in

crea

se)

Mal

eFe

mal

e(8

)(9

)

26.

27.

28..

29.

30.

31.

32.

33.

Iron

& s

teel

& th

eir

prod

.B

last

fur

n., s

teel

wks

., &

rol

l, m

ills

0th.

pri

m, i

ron,

ste

el, &

fab

. ste

el p

rod.

Non

ferr

ous

met

als

& th

eir

prod

.N

ot s

pec.

met

al m

d.M

achi

nery

,cx

c. e

lec.

Agr

i. m

ach.

& tr

acto

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e &

sto

re m

ach.

& d

evic

es

3.8

1.7

2.1

0.6

0.1

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0.3

0.2

3.9

1.6

2.3

0.7

— 2.9

0:4

0.2

1,34

41,

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1,29

71,

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3,15

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.

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•14 15 14 117 12 11 9

15 17 11 11 21 7 6 934

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.39

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.

Ele

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upp.

Tra

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p.M

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veh

icle

s &

mot

or v

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par

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c. tr

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. equ

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Oth

er d

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Prof

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& p

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. equ

ip. &

sup

p.W

atch

es, c

lock

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mis

c. m

fg. m

d.N

ondu

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ods

Food

& k

indr

ed p

rod.

Mea

t pro

d.D

airy

pro

d.C

an. &

pre

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it, v

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Gra

in m

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ery

prod

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nery

& r

d. p

rod.

.B

ever

age

md.

Mis

c. f

ood

prep

. & n

ot s

pec.

foo

d m

d.

1.1

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0.3

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15 10 8 18 10 23 12 9 14 12 13 11 12 18 14 6 11 14 16

9 18 16 24 14 6 11 14 6 911 4 7 7 9 8 10 19 12

cont

inue

d on

nex

t pag

e

Page 55: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-4, c

ontin

ued

.

.PE

RC

EN

TA

GE

CH

AN

GE

, 193

9 T

O 1

949

Dec

reas

e in

Sha

re o

f

:

.

nusm

y

.

PER

CE

NT

AG

ED

IST

RIB

UT

ION

OP

AL

L W

OR

KE

RS

1939

1949

(1)

(2)

ME

AN

IN

CO

ME

OF

AL

L W

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KE

RS

1939

1949

(3)

(4)

DE

CIL

E R

AN

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F IN

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STR

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Y M

EA

N I

NC

OM

E

1939

1949

(5)

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283

51,

960

32

135

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55.

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tile

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pro

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82,

279

——

166

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56.

57.

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59.

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t goo

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0.6

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55

139

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sPa

perb

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pap

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er: t

anne

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.

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cont

inue

d on

nex

t pag

e

Page 56: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-4, c

ontin

ued

PERCENTAGE CHANGE, 1939TO

1949

Dec

reas

e in

Sha

re o

fPE

RC

EN

TA

GE

DE

CIL

E R

AN

KT

otal

Rec

eive

d by

DIS

TR

IBU

TIO

NM

EA

N I

NC

OM

EO

F IN

DU

STR

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hO

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LL

WO

RK

ER

S

1939

1949

OF

AL

L W

OR

KE

RS

1939

1949

BY

ME

AN

IN

CO

ME

1939

1949

Incr

ease

inM

ean

Inco

me

(+ =

incr

ease

)M

ale

Fem

ale

INDUSTRY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

82.

Tra

nspo

rtat

ion,

com

mun

., &

oth

. pub

. util

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99.

61,

515

3,01

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137

83.

Tra

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6.3

1,46

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Tel

epho

ne, w

ire

& r

adio

0.9

1.4

1,62

72,

813

10.

673

87

95.

Tel

egra

ph, w

ire

& r

adio

0.2

0.1

1,30

42,

933

77

125

2115

96.

Util

ities

& s

anita

ry s

erv.

1.6

1.8

1,68

53,

085

——

839

297

.E

lec.

ligh

t, po

wer

, gas

, & o

th. u

til.

1.0

1.1

1,81

33,

291

1010

8210

3

98.

Gas

& s

team

sup

ply

syst

ems

0.3

0.3

1,60

03,

103

97

949

1

99.

Wat

er s

uppl

y &

san

. ser

v.0.

30.

41,

390

2,52

37

582

9.+

110

0.W

hole

sale

& r

etai

l tra

de16

.518

.51,

084

2,38

9—

—12

07

210

1.W

hole

sale

trad

e3.

03.

91,

579

3,21

39

910

39

711

2.R

etai

l tra

de, s

tore

s13

.514

.697

12,

163

——

123

4+

211

3.Fo

od, e

xc. d

airy

pro

d.2.

22.

393

02,

111

43

127

31

114.

Dai

ry p

rod.

& m

ilk r

etai

l0.

40.

31,

371

2,91

27

711

29

311

5.G

enI.

mer

chan

dise

1.9

1.8

964

2,10

04

311

84

211

6.Fi

ve &

ten

cent

0.2

0.2

1,19

02,

609

21

100

1+

1411

7.A

ppar

el &

acc

., ex

c. s

hoe

0.9

0.9

1,00

62,

248

53

123

+2

—11

8.Sh

oe0.

20.

468

81,

374

65

119

+3

+2

119.

Furn

iture

& h

ouse

furn

.0.

40.

51,

298

2,71

86

610

99

3

cont

inue

d on

nex

t pag

e

Page 57: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-4, c

ontin

ued

.PE

RC

EN

TA

GE

CH

AN

GE

, 193

9 T

O 1

949

Dec

reas

e in

Sha

re o

fPE

RC

EN

TA

GE

DIS

TR

IBU

TIO

NO

F A

LLWORKERS

1939

1949

ME

AN

IN

CO

ME

OF

AL

LWORKERS

1939

1949

DE

CIL

E R

AN

KOF

IND

UST

RY

BY

ME

AN

IN

CO

ME

1939

1949

Incr

ease

inM

ean

inco

me

Tot

al R

ecei

ved

byH

ighe

st-P

aid

Fift

h(+

—in

crea

se)

Mal

eFe

mal

eINDUSTRY

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

120.

1.21

.H

ouse

hold

app

l. &

rad

ioM

otor

veh

icle

s &

acc

.0.

20.

80.

41.

01,

239

1,39

62,

623

3,16

66 7

5 811

212

74 1

3

+3

122.

Gas

. ser

v. s

tatio

ns0.

70.

682

41,

945

32

136

75

123.

Dru

g0.

50.

594

31,

864

42

98+

5+

812

4.12

5.12

6.

Eat

ing

& d

rink

ing

plac

esH

ardw

are

& f

arm

impl

.L

umbe

r &

bld

g. m

ater

ial r

etai

l

2.5

0.3

0.6

2.8

0.4

0.7

667

1,14

61,

279

1,52

22,

488

2,83

1

2 6 6

1 4 6

128

117

121

4 7 7

+3 9 1

•12

7.L

iquo

r0.

10.

11,

241

2,54

56

510

52

1512

8.Fl

oris

ts0.

10.

187

01,

833

32

111

1+

112

9.Je

wel

ry0.

10.

21,

359

2,61

47

592

+1

+10

130.

Fuel

& ic

e0.

40.

31,

064

2,55

75

514

012

413

1.M

isc.

ret

ail

0.6

0.7

1,09

52,

438

54

123

2+

313

2.N

ot s

pec.

ret

ail

V0.

40.

494

52,

191

43

132

—5

1.33

.Fi

nanc

e, in

sura

nce,

& r

eal e

stat

e3.

73.

71,

729

3,00

2—

—74

94

134.

Ban

k &

cre

d. a

genc

. & c

omm

od. b

rok.

1.3

1.3

2,01

73,

187

108

58.

53.

135.

Insu

ranc

e1.

31.

51,

910

3,21

310

968

92

136.

Rea

l est

ate,

md.

rea

l est

. ins

, law

off

.1.

10.

91,

145

2,35

85

410

65

2

137.

Bus

ines

s &

rep

air

serv

.1.

82.

21,

156

2,73

5—

—-—

137

107

138.

139.

Adv

ertis

ing

Acc

ount

. aud

it., b

ookk

eep.

, & m

isc.

bus

.se

rv.

0.2

0.3

0.2

0.5

2,00

01,

355

4,06

22,

944

10 710 7

103

117

811

3 814

0.A

uto.

rep

air

serv

. & g

arag

es1.

11.

198

72,

456

54

149

76

141.

Mis

c. r

epai

r se

rv.

0.2

0.4

1,00

02,

513

55

151

1217

142.

Pers

onal

ser

v.9.

56.

350

21,

242

147

4—

143.

Priv

ate

hous

ehol

ds6.

33.

3.

354

785

11

123

—6

144.

Hot

els

& lo

dgin

g pl

aces

.1.2

1.0

738

1,61

62

111

96

614

5.L

aund

., cl

ean.

, & d

yein

g1.

11.

383

31,

825

32

119

8+

114

6.D

ress

& s

hoe

rep.

sho

ps &

mis

c. p

ers.

ser

v.0.

90.

7.

815

1,85

42

212

77

+4

cont

inue

d on

nex

tpa

ge

Page 58: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TA

BL

E B

-4, c

oncl

uded

INDUSTRY

PERCENTAGE

DISTRIBUTION

OF ALL WORKERS

1939

1949

(1)

(2)

.

ME

ANINCOME

OF ALL WORKERS

1939

1949

(3)

(4)

DECILE RANK

0?INDUSTRY

BYMEAN INCOME

1939

1949

(5)

(6)

PERCENTAGE CHANGE, 1939

TO1949

Incr

ease

inM

ean

Inco

me

(7)

Dec

reas

e in

Sha

re o

fT

otal

Rec

eive

d by

Hig

hest

-Pai

d Fi

fth

(+=

incr

ease

)M

ale

Fem

ale

(8)

(9)

-

147.

148.

149.

150.

Entertain. &

recr

.Radio

broa

d.&

tele

visi

onTheaters &

mot

ion

pict.

Bowl.

all.,

bill

. & p

oolpan., misc. ent.

1.2

1.0

0.1

0.1

0.5

0.4

0.6

0.5

1,30

82,

609

2,16

74,

183

1,61

92,

865

925

1,96

9

— —

1010

97

32

99 93 77 113

42

413

1+

11

1

151.

152.

153.

154.

155.

Prof

essi

onal

& r

el. s

erv.

Med

ical

& o

th. h

ealth

Edu

catio

nal

Wel

fare

, rel

ig.,

& n

onpr

ofit

Leg

al, e

ng.,

arch

. & m

isc.

pro

f. s

erv.

7.5

8.7

1.9

2.8

4.2

4.3

0.9

1.1

0.5

0.5

1,29

02,

332

926

1,97

01,

416

2,48

41,

327

2,27

61,

741

3,27

1

— —

32

84

73

1010

81 113 75 72 88

1211

106

1512

97

109

156.

157.

158.

159.

Publ

ic a

dmin

istr

atio

nPo

stal

ser

v.Fe

dera

l pub

. adm

in.

Stat

e &

loca

l pub

. adm

m.

5.1

5.7

0.9

1.1

1.7

2.3

2.5

2.3

1,69

93,

036

1,84

53,

106

1,47

63,

222

1,75

12,

833

— —

108

89

106

79 68 118

62

1720

222

295

147

Sour

ce: D

eriv

ed f

rom

Tab

les

B-I

, B-2

, and

B-3

.

Page 59: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TABLE B-S

Industries Ranked by Mean Wage Income of All Workers, 1939 and 1949

1939

Lowest Tenth

1949

Agriculture (3)Private households (143)

Forestry (4)Logging (15)Sawmills (16)Canning and preserving (48)Yarn, thread, and fabric mills (59)Five and ten cent stores (116)Eating and drinking places (124)Hotels and lodging places (144)Dressmaking shops (146)

Fisheries (5)Coal mining (8)Tobacco manufacturing (54)Knitting mills (56)Apparel and accessories manufacturing

(62)Miscellaneous fabricated textile prod-

ucts (63)Footwear excluding rubber (79)Taxicab service (88)Gasoline service stations (122)Retail florists (128)Laundering, cleaning (145)Bowling alleys and miscellaneous enter-

tainment (150)Medicine and other health services

(152)

Nonmetallic mining and quarrying ex-cluding fuel (10)

Constrution (11)Confectionery and related products

(51)Leather products, excluding footwear

(80)

Agriculture (3)Five and ten cent stores (116)Eating and drinking places (124)Private households (143)Hotels and lodging places (144)

Logging (15)Sawmills (16)Canning and preserving (48)Tobaôco manufacturing (54)Apparel and accessories manufacturing

(62)Taxicab service (88)Gasoline service stations (122)Drug stores (123)Retail florists (128)Laundering, cleaning (145)Dressmaking shops (146)Bowling alleys and miscellaneous enter-

tainment (150)Medical and other health services (152)

Forestry (4)Miscellaneous wood products (17)Knitting mills (56)Yarn, thread, and fabric mills (59)Miscellaneous fabricated textile prod-

ucts (63)Footwear excluding rubber (79)Leather products, excluding footwear

(80)Food stores excluding dairy products

(113)General merchandise stores (115)Apparel and accessories stores (117)Not specified retail trade (132)Welfare and related services (154)

Fisheries (5)Coal mining (8)Furniture and fixtures (18)Pottery and relate4 products (23)Confectionery and related products

(51)Warehousing and storage (87)

continued on next page

412

Second Tenth

Third Tenth

Fourth Tenth

Page 60: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

1939

TABLE B-S. continued

1949

Food stores excluding dairy products(113)

General merchandise stores (115)Drug stores (123)Not specified retail trade (132)

Miscellaneous wood products (17)Furniture and fixtures (18)Structural clay products (22)Pottery and related products (23)Watches, clocks, and miscellaneous

manufactures (43)Dyeing and finishing textiles (57)Miscellaneous textile mill products (60)Paperboard containers and boxes (66)Trucking service (86)Warehousing and storage (87)Apparel and accessories stores (117)Fuel and ice retailing (130)Miscellaneous retail stores (131)Real estate (136)Auto repair service and garages (140)Miscellaneous repair services (141)

Metal mining (7)Glass and glass products (20)Cement, concrete, gypsum and plaster

products (21)Miscellaneous nonmetallic mineral and

stone products (24)Other primary iron and steel industries

and fabricated steel (28)Railroad and miscellaneous transporta-

tion equipment (40)Bakery products (50)Miscellaneous food preparation (53)Carpets and rugs (58)Pulp, paper and paperboard mills (65)Miscellaneous paper and pulp products

(67)Synthetic fibers (70)Leather; tanned, curried and finished

(78)Not specified manufacturing industries

(81).Water transportation (89)Shoe stores (118)Furniture and house furnishings stores

(119)

Hardware and farm implements (125)Miscellaneous retail stores (131)Real estate (136)Auto repair service and garages (140)Educational services (153)

Fifth TenthConstruction (11)Structural clay products (22)Watches, clocks, and miscellaneous

manufactures (43)Miscellaneous textile mill products (60)Water supply and sanitary service (99)Shoe stores (118)Household appliance and radio stores

(120)Liquor stores (127)Jewelry stores (129)Fuel and ice retailing (130)Miscellaneous repair services (141)

Nonmetallic mining and quarrying, ex-cluding fuel (10)

Glass and glass products (20)Cement, concrete, gypsum, and plaster

products (21)Meat products (46)Dairy products (47)Grain mill products (49)Bakery products (50)Miscellaneous food preparation (53)Dyeing and finishing textiles (57)Paperboard containers and boxes (66)Miscellaneous paper and pulp products

(67)Leather; tanned, curried and finished

(78)Not specified manufacturing industries

(81)Trucking service (86)Telephone (94)Furniture and house furnishings stores

(119)Lumber and building material retailing

(126)State and local public administration

(159)continued on next page

413

Sixth Tenth

Page 61: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

1939

TABLE B-5, continued

Household appliance and radio stores(120)

Hardware and farm implements (125)Lumber and building material retailing

(126)Liquor stores (127)

Seventh Tenth

1949

Blast furnaces, steel works, and rollingmills (27)

Nonferrous metals and their products(29)

Not specified metal industries (30)Agricultural machinery and tractors

(32)Motor vehicles and motor vehicle

equipment (37)Aircraft and patts manufacturing (38)Meat products (46)Dairy products (47)Grain mill products (49)Rubber products (76)Services incidental to transportation

(92)Telegraph (95)Water supply and sanitary services (99)Dairy products stores (114)Motor vehicles and accessories retailing

(121)Jewelry stores (129)Accounting, auditing, bookkeeping, and

miscellaneous business service (139)Welfare and related services (154)

Metal mining (7)Miscellaneous nonmetal mining and

stone products (24)Other primary iron and steel industries

and fabricated steel (28)Nonferrous metals and their products

(29)Agricultural machinery and tractors

(32)Electrical machine equipment and sup-

plies (35)Ship and boat building (39)Beverage industries (52)Carpets and rugs (58)Pulp, paper, and paperboard mills (65)Synthetic fibers (70)Rubber products (76)Street railways and bus lines (85)Telegraph (95)Services incidental to transportation

(92)Gas and steam supply systems (98)Dairy products stores (114)Accounting, auditing, bookkeeping and

miscellaneous business service (139)Theaters and motion pictures (149)

Eighth Tenth

Miscellaneous machinery (34)Electrical machine equipment and sup-

plies (35)Ship and boat building (39)Professional and photographic equip-

ment (42)Beverage industries (52)Drugs, medicines, and miscellaneous

chemicals (72)Miscellaneous petroleum and coal

products (75)Educational services (153)Federal public administration (158)

Blast furnaces, steel works and rolling• mills (27)Not specified metal industries (30)Professional and photographic equip-

ment (42)Railroads and railway express services

(84)Water transportation (89)Motor vehicles and accessories retailing

(121)Banking and credit agencies (134)Postal service (157)

Ninth Tenth

Office and store machinery and devices Printing, publishing, and allied indus-(33) tries (68)

continued on next page

414

Page 62: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

1939

TABLE B-5, concluded

1949

Printing, publishing, and allied indus-tries (68)

Railroads and railway express service(84)

Street railway and bus lines (85)Petroleum and gas pipe lines (91)Gas and steam supply systems (98)Wholesale trade (101)Theaters and motion pictures (149)

Wholesale trade (101)Insurance (135)Federal public administration (158)

Highest Tenth

Crude petroleum and natural gas ex-traction (9)

Paints, varnishes, and related products(71)

Petroleum refining (74)Air transportation (90)Telephone (94)Electric light and power and other utili-

ties (97)Banking and credit agencies (134)Insurance (135)Advertising (138)Radio broadcasting (148)Legal, engineering, and architectural

services (155)Postal service (157)State and local public administration

(159)

Crude petroleum and natural gas ex-traction (9)

Office and store machinery and devices(33)

Miscellaneous machinery (34)Motor vehicles and motor vehicle

equipment (37)Aircraft and parts manufacturing (38)Railroad and miscellaneous transporta-

tion equipment manufacturing (40)Paints, varnish, and related products

(71)Drugs, medicines, and miscellaneous

chemicals (72)Petroleum refining (74)Miscellaneous petroleum and coal prod-

ucts (75)Air transportation (90)Petroleum and gas pipe lines (91)Electric light and power and other utili-

ties (97)Advertising (138)Radio broadcasting (148)Legal, engineering, and architectural

services (155)

Source: Derived from Table B-4.

415

Page 63: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TABLE B-6

Industries Ranked by Dispersion [(Q — Q1) / Q] of Wage Income of MaleWorkers, 1939 and 1949

1939

Lowest Tenth

1949

Crude petroleum and natural gas ex-traction (9)

Pottery and related products (23)Nonferrous metals and their products

(29)Agricultural machinery and tractors

(32)Motor vehicles and motor vehicle

equipment (37)Meat products (46)Carpets, rugs, and other floor coverings

(58)Pulp, paper, and paperboard mills (65)Synthetic fibers (70)Petroleum refining (74)Leather: tanned, curried and finished

(78)Street railways and bus lines (85)Electric light and power, electric gas

and other not specified utilities (97)Gas and steam supply systems (98)Postal service (157)

Blast furnaces, steel works and rollingmills (27)

Agricultural machinery and tractors(32)

Motor vehicle and motor vehicle equip-ment (37)

Aircraft and parts (38)Railroad and miscellaneous transporta-

tion equipment (40)Synthetic fibers (70)Petroleum refining (74)Rubber products (76)Street railways and bus lines (85)Petroleum and gasoline pipe lines (91)Postal service (157)

Second Tenth

Glass and glass products (20)Blast furnaces, steel works, and rolling

mills (27)Office and store machines and devices

(33)Professional and photographic equip-

ment and supplies (42)Bakery products (50)Dyeing and finishing textiles, exclusive

of knit goods (57)Yarn, thread and fabric mills (59)Paints, varnishes, and related products

(71)Miscellaneous petroleum and coal prod-

ucts (75)Rubber products (76)Petroleum and gasoline pipe lines (91)Telephone (wire and radio) (94)Liquor stores (127)State and local public administration

(159)

Metal mining (7)Cement, and concrete, gypsum, and

Metal mining (7)Crude petroleum and natural gas ex-

traction (9)Miscellaneous machinery (34)Ship and boat building and repairing

(39)Meat products (46)Dyeing and finishing textiles except

knit goods (57)Pulp, paper, and paperboard mills (65)Miscellaneous petroleum and coal prod-

Ucts (75)Gas and steam supply systems (98)State and local public administration

(159)

Other primary iron and steel and fabri-cated steel products (28)

Third Tenth

continued on next page

416

Page 64: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

1939

TABLE B-6, continued

1949

plaster products (21)Other primary iron and steel and fabri-

cated steel products (28)Not specified metal industries (30)Miscellaneous machinery (34)Electrical machinery, equipment and

supplies (35)Dairy products (47)Miscellaneous textile mill products (60)Paperboard containers and boxes (66)Footwear, except rubber (79)Taxicab service (88)Water supply and sanitary services (99)Hardware and farm implement stores

(125)

Nonferrous metals and their products(29)

Office and store machines and devices(33)

Electrical machinery equipment andsupplies (35)

Professional and photographic equip-ment and supplies (42)

Carpets, rugs, and other floor coverings(58)

Paints, varnishes and related products(71)

Leather: tanned, curried, and finished(78)

Railroads and railway express service(84)

Electric light and power, electric gasand other not specified utilities (97)

Fourth TenthCoal mining (8)Structural clay products (22)Miscellaneous nonmetallic mineral and

stone products (24)Aircraft and parts (38)Miscellaneous paper and pulp prod-

ucts (67)Not specified manufacturing industries

(81)Railroads and railway express service

(84)Household appliance and radio stores

(120)Motor vehicles and accessories retailing

(121)

Coal mining (8)Glass and glass products (20)Cement, and concrete, gypsum, and

plaster products (21)Pottery and related products (23)Miscellaneous nonmetallic mineral and

stone products (24)Dairy products (47)Beverage industries (52)Yarn, thread and fabric mills (59)Miscellaneous textile mill products (60)Miscellaneous paper and pulp products

(67)Drugs, medicine and miscellaneous

chemicals and allied products (72)Air transportation (90)Services incidental to transportation

(92)Telephone (wire and radio) (94)Water supply and sanitary services (99)Federal public administration (158)

Structural clay products (22)Not specified metal industries (30)Watches, clocks, and miscellaneous

manufacturing industries (43)Grain mill products (49)Bakery products (50)Confectionery and related products

(51)Miscellaneous food preparations and

continued on next page

417

Fifth TenthFurniture and fixtures (18)Ship and boat buildings and repairing

(39)Watches, clocks, and misceUaneous

manufacturing industries (43)Grain-mill products (49)Confectionery and related products

(51)Beverage industries (52)

Page 65: Changes in the Industrial Distribution of Wages in the United ...Changes in the Industrial Distribution of Wages in the United States, i99—i99 HERMAN P. MILLER, BUREAU OF TI-IE CENSUS

TABLE B-6, continued

1939

Leather products, except footwear (77)Services incidental to transportation

(92)Dairy products stores and milk retailing

(114)General merchandise stores (115)Shoe stores (118)Furniture and housefurnishings stores

(119)Lumber and building material retailing

(126)Banking and credit agencies and security

and commodity brokers companies(134)

Real estate, including real estate insur-ance-law offices (136)

Laundering, cleaning and dyeing service(145)

Miscellaneous wood products (17)Railroads and miscellaneous transporta-

tion equipment (40)Miscellaneous food preparations and

kindred products and not specifiedfood industries (53)

Knitting mills (56)Apparel and accessories (62)Drugs, medicine, and miscellaneous

chemicals and allied products (72)Air transportation (90)Apparel and accessories stores, except

shoe stores (117)Retail florists (128)Jewelry stores (129)Miscellaneous retail stores (131)Insurance (135)Automobile repair services and garages

(140)Dressmaking and shoe repair shops and

miscellaneous personal services (146)Medical and other health services (152)

1949

kindred products and food industriesnot specified (53)

Paperboard containers and boxes (66)Footwear, except rubber (79)Not specified manufacturing industries

(81)Trucking service (86)Warehousing and storage (87)Wholesale trade (101)Dairy products stores and milk retail-

ing (114)Motor vehicles and accessories retailing

(121)Hardware and farm implement stores

(125)Liquor stores (127)

Nonmetallic mining and quarrying ex-cept fuel (10)

Furniture and fixtures (18)Tobacco manufacturers (54)Miscellaneous fabricated textile prod-

ucts (63)Leather products (77)Taxicab service (88)Water transportation (89)Telegraph (wire and radio) (95)Lumber and building material retailing

(126)Fuel and ice retailing (130)Banking and credit agencies and secur-

ity and commodity brokers com-panies (134)

Insurance (135)Accounting, auditing, bookkeeping and

miscellaneous business services (139)Automobile repair services and garages

(140)Miscellaneous repair services (141)

Seventh Tenth

Trucking service (86)Wholesale trade (101)Food stores, except dairy products

(113)Eating and drinking places (124)Welfare and religious services and non-

profit member organizations (154)

Miscellaneous wood products (17)Knitting mills (56)Apparel and accessories (62)General-merchandise stores (115)Apparel and accessories stores, except

shoe stores (117)Shoe stores (118)Furniture and house furnishings stores

(119)continued on next page

418

Sixth Tenth

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TABLE B-6, continued

1939 1949

Household appliance and radio stores•(120)

Jewelry stores (129)Miscellaneous retail stores (131)Real estate, including real estate-insur-

ance-law offices (136)Laundering, cleaning and dyeing serv-

ices (152)Medical and other health services (153)Educational services (153)

Eighth TenthNonmetallic mining and quarrying ex- Construction (11)

cept fuel (10) Dressmaking and shoe repair shops andTobacco manufactures (54) miscellaneous personal services (146)Miscellaneous fabricated textile prod-

ucts (63)Printing, publishing and allied indus-

tries (68)Warehousing and storage (87)Water transportation (89)Five and ten cent stores (116)Gasoline service stations (122)Fuel and ice retailing (130)Not specified retail trade (132)Accounting, auditing, bookkeeping and

miscellaneous business services (139)Miscellaneous repair services (141)Hotels and lodging places (144)Radio broadcasting and television

(148)Educational services (153)

Ninth Tenth

Agriculture (3) Canning and preserving fruits, vegeta-Logging (15) bles and sea food (48)Sawmills, planing mills and mill work Printing, publishing, and allied indus-

(16) tries (68)Legal, engineering and architectural Food stores, except dairy products

services and miscellaneous profes- (113)sional services (155) Gasoline service stations (122)

Eating and drinking places (124)Retail florists (128)Not specified retail trade (132)Advertising (138)Hotels and lodging places (144)Radio broadcasting and television (148)Legal, engineering and architectural

services and miscellaneous profes-sional services (155)

Highest Tenth

Forestry (4) Agriculture (3)Fisheries (5) Forestry (4)

continued on next page

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1939

TABLE B-6, concluded

1949

Construction (11)Canning and preserving fruits, vegeta-

bles and sea foods (48)Telegraph, wire and radio (95)Drug stores (123)Advertising (138)Private households (143)Theaters and motion pictures (149)Bowling alleys, billiard and pool parlors

and miscellaneous entertainment andrecreation services (150)

Federal public administration (158)

Fisheries (5)Logging (15)Sawmills, planing mills, and mill work

(16)Five and ten cent stores (116)Drug stores (123)

,Private households (143)Theaters and motion pictures (149)Bowling alleys, billiard and pooi par-

lors and miscellaneous entertainmentand recreation services (150)

Welfare and religious services and non-profit member organizations (154)

COMMENTPAUL R. KERSCHBAUM, BUREAU OF LABOR STATISTICS

Everyone who has examined earnings or wage statistics will readilyagree that income trends, both secular and during the forties, werein the direction of narrowed differentials of all kinds: occupational,interplant, interindustry, and interregional. The difficulty lies inthe development of an analysis of the myriad forces that accountfor it and in placing a value on each factor. An analysis based onaggregates of one sort or another will most likely neglect a varietyof forces—forces often contending for supremacy, often indeed inconflict. On the other hand, as data are broken down by occupa-tion, plant size, geographic location, composition of the work force,product classes, and a host of other relevant compartments, the ma-terial becomes increasingly meaningful, but unwieldly.

NARROWING OF INCOME DIFFERENTIALS

I agree with Herman Miller's contention that government action,principally in the form of National War Labor Board policies andprocedures, contributed to a narrowing of income differentials. Inthe forties, however, a combination of many factors was reinforc-ing the secular trend toward narrowed differentials. It was a periodof war-impelled demand for workers, some rise in prices, and ad-vances in both earnings and wage rates. Government action wasdeliberately designed to ease the burden on low-income recipients,partly because the impact of inflation falls most heavily on thisgroup. The action, however, was also designed as a general anti-inflationary measure.

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COMMENTA second factor was the continuing advance in the level of edu-

cation. In 1940 one out of seven in the working population hadcompleted high school; the proportion had increased to one in fiveby 1950. Extension of the schooling period resulted in a relativelysmaller supply of unskilled workers, and a larger supply of workersqualified for jobs requiring higher skills. The continued restrictionof immigration, which began in the twenties had the same result.

A third factor was the need because of the war effort to draw intothe industrial labor force many persons formerly in agriculture,women from their homes, and youths. Special inducements werenecessary to. redirect their efforts to totally different activities; oftenthey had to move from the country to the city.

A fourth factor was the increasing use of machinery, whichtended to expand the job content in relatively unskilled occupationsand to reduce the variety of skills required of operatives and crafts-men. In short, for the forties at least, government action and unionactivity reinforced the effects of strong social forces which by them-selves would have produced a narrowing of differentials.

I agree also with Miller's opinion that union activity contributedto the narrowing of wage differentials, but its impact is not similarto that of government action. National unions usually bargain witha single employer, or with local groups of employers, and collectivebargaining has been described as "decentralized in the sense thateach national union charts its own course. There is a certain amountof informal consultation, emulation, and rivalry among unions inthe same or neighboring industries. A pattern established by oneunion in a particular year may be virtually binding on anotherunion especially if the two are rivals for the same clientele. Apartfrom competitive emulation, however, there is no central coordina-tion of wage policy by the top federations." 1 Unions may affectworkers' attitudes, may have an impact on the hiring and promo-tion practices of an employer, and may affect the way in whichlabor is recruited. They may influence wages by controlling thenumber of workers admitted to particular industries, but neither theclosed shop nor union restriction on employment is very importantin the United States.

UNSETTLED PROBLEMS

I would like to comment on several other points concerningMiller's statistics. First, I have already mentioned the difficulty ofcomparing occupational differentials over a ten year span. The

Lloyd G. Reynolds and Cynthia H. Taft, The Evolution of Wage Structure,Yale University Press, 1956, p. 317.

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USES OF INCOME DATAchanging content of seemingly comparable jobs poses problems inanalyzing occupational differentials.

A second element, not treated by Miller, is the increase in thesize of money differentials during the forties. A Bureau of LaborStatistics study of the period from 1939 to 1948,2 showed generallygreater cents-per-hour increases in high-paid than in low-paid in-dustries. To take extreme examples: the 1939 average hourly earn-ings in the newspaper industry of about $1.00 (the highest among103 industries for which data were calculated) had risen by 1948to $1.89 (89 per cent); cotton manufactures, on the other hand,showed the greatest percentage increase, 182 between 1939 and1948. Nevertheless, the 1939 money differential in favor of thenewspaper industry of 62 cents in 1939 had increased to 80 centsby 1948.

A third point, on which there . are no authoritative figures, are"fringe benefits," which in recent years have been a major factor incollective bargaining. Their inclusion—wherever these are adoptedon a varying industrial basis—would alter the differentials observedby Miller, possibly disclosing differentials greater than those shownby census data. I am inclined to think that well organized workersin higher-paid industries have been more successful in establishingliberal benefit patterns than have workers in lower-paid industries.If this assumption is valid, inclusion of such figures would disclosegreater North-South differentials, since organization is more com-plete and effective and wage rates are higher in the North. I do notsuggest that such a widening of differentials will continue over longperiods throughout the country, though I think it likely that theNorth-South differentials will continue to persist.

Finally, the paper does not comment on the reduction in take-home-pay differentials caused by progressive income taxes.

An increase in differentials has been brought about recently in arelatively high proportion of the major collectively bargained wagesettlements. A report published by the Bureau of Labor Statisticsshows that about one-third of the major agreements in 1955 eithermaintained percentage differentials between skilled and unskilledworkers.by giving uniform percentage adjustments or widened themthrough extra increases for skilled workers (in addition to uniformcents-per-hour or percentage wage changes applicable to. all em-

'"Wage Trends, 1939—1949," Wage Movements, Bureau of Labor Statistics,Series 3, No. 3, 1950, Table 2.

'Average hourly earnings for work shirts and cotton seed oil in 1939 were lowerthan those for cotton manufactures. However, the relative increase, 1939—1948,was less in these industries than in other industries.

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COMMENTployees in the bargaining unit) . Because only larger settlementsare included in the data, the latter type of adjustment affects 40 percent or more of all workers involved in expanded rates. Since thereport concerns companies considered to be wage leaders, such asFord, General Motors, United States Steel, it is conceivable thatthe trend may spread.

A. H. LENEVEU, DOMINION BUREAU OF STATISTICS

The main findings of our attempt to measure the trend of industrialearnings in Canada on the basis of our 1941 and 1951 censusstatistics on wage-earners correspond closely with the results ob-tained by Herman P. Miller for the United States.

CANADIAN EARNINGS TREND

A marked rise in wage earnings of workers in Canada took placeover the decade 1941 to 1951. The following tabulation of thepercentage distribution of wage earners,' by amount of earnings andby sex, shows that about 56 per cent of all male wage earners inCanada earned over $2,000 during the census year ended June 1,1951, compared with just under 10 per cent in 1941. Amongfemale wage earners, 60 per cent earned over $1,000 in 1951compared with only a little over 11 per cent in 1941. Medianannual earnings more than doubled during this decade.

TOTAL MALE FEMALE

EARNINGS GROUP 1941 1951 a 1941 1951 a 1941 1951 a

(per cent)

Total 100.0 100.0 100.0 100.0 100.0 100.0Under $1,000 62.7 22.3 54.1 15.8 88.6 40.4$1,000— 1,999 30.4 32.9 37.0 28.2 10.7 45.9

2,000— 2,999 4.9 31.4 6.4 38.2 0.6 12.33,000— 3,999 1.2 .2 1.5 12.0 0.1 1.24,000 and over 0.8 4.3 1.0 5.7 b 0.2

'(dollars)

Median earnings 733 1,854 874 2,132 1,191

Figures may not add to totals because of rounding.a The 1951 figures are exclusive of Newfoundland.

Less than 0.05 per cent.Exact median earnings cannot be determined from data available; the average

for females in 1941 was $490.

'See "Labor-Management Contract Settlements," Monthly Labor Review, Bureauof Labor Statistics, May 1956, p. 527.

1 Cf. Miller's Table 1.

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USES OF INCOME DATA

CHANGE IN DIFFERENTIALS

The following tabulation of percentages of total earnings foreach fifth of all wage earners in Canada, ranked by amount ofearnings and by sex, 1941 and 1951, shows the same trend as thatexperienced in the United States over approximately the sameperiod.2

WAGE EARNERS 1941 1951

Both sexesLowest fifth 4.8 4.7Second fifth 8.2 12.6Middle fifth 15.0 18.8Fourth fifth 28.9 24.0Highest fifth 43.1 39.9

MalesLowest fifth 4.2 5.9Second fifth 9.9 13.8Middle fifth 17.4 19.0Fourth fifth 27.3 22.8Highest fifth 41.1 38.6

FemalesLowest fifth 8.3 4.1Second fifth 8.3 11.6Middle fifth 15.0 20.4Fourth fifth 25.7 26.5Highest fifth 42.8 37.4

The share of total earnings received by the highest fifth of thewage earners in Canada, ranked by amount of earnings, declinedbetween 1941 and 1951 from 43.1 per cent of the aggregate in1941 to 39.9 per cent in 1951. The lowest fifth of all wage earnersreceived about the same share in 1941 (4.8 per cent) and 1951(4.7 per cent). The middle fifth increased their share of total earn-ings from 15 per cent in 1941 to 18.8 per cent in 1951.

The spread between the median annual earnings of Canada'shigher and lower socio-economic occupation groups narrowed overthe decade 1941—1951. This is shown in the following table com-paring the percentage increases in the medians of annual andweekly earnings (per week employed) of males in various occupa-tion groups.

'Cf. Miller's Table 2. 'Cf. Miller's Table 11.

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COMMENTMEDIAN

PERCENTAGE MEDIAN EARNINGS PERCENTAGEMEDIAN INCREASE WEEKS PER WEEK INCREASE

EARNINGS 1941 to EMPLOYED EMPLOYED 1941 toOCCUPATIONAL GROUP 1941 1951 1951 1941 1951 1941 1951 1951

Laborers (nonprimary) $ 566 $1,552 174.2 39.58 50.04 $14.30 $31.02 116.9Semiskilled 933 2,132 128.5 50.40 50.94 18.51 41.85 126.1Skilledb 1,052 2,292 117.9 50.19 50.88 20.96 45.05 114.9Clerical, commercial

and financial 1,139 2,206 93.7 51.03 51.18 22.32 43.10 93.1Professional 1,553 2,944 92.0 51.23 51.25 30.31 57.44 89.5Managerial 2,082 3,603 73.1 51.38 51.41 40.52 70.08 73.0

This table accounts for about three-quarters of all male wage and salary earners in 1951.Includes 76 per cent of all male semiskilled workers in 1951.

b Includes 86 per cent of all male skilled workers in 1951.

Median annual earnings for all laborers (other than those em-ployed in primary industries) rose by 174.2 per cent over this ten-year period, while the corresponding percentage increases for othergroups were: semiskilled workers, 128.5; skilled, 117.9; clericaland commercial, 93.7; professional, 92.0; and managerial, 73.1per cent. The relatively greater difference that existed in 1941 be-tween the earnings of laborers and other occupation groups wasdue partly to the considerable amount of short-time experienced bylaborers in that year. These relationships expressed as ratios areshown as follows:

MEDIAN ANNUAL MEDIAN EARNINGS PER

RATIOS OF EARNINGS - WEEK EMPLOYED

MEDIAN EARNINGS o: 1941 1951 1941 1951

Managerial to laborers 3.7 2.3 2.8 2.3Professional to laborers 2.7 1.9 2.1 1.9Clerical, commercial and finan-

cial to laborers 2.0 1.4 1.6 1.4Skilled workers to laborers 1.9 1.5 1.5 1.5Semiskilled workers to laborers 1.6 1.4 1.3 1.3

The drift toward leveling of wage incomes in Canada during thewar and postwar period was attributed by the Department ofLabour to a general tendency "toward a reduction of both kinds ofwage differentials, that between skilled and unskilled labour, andthat between high-wage and low-wage industries."

REASONS FOR CHANGE

During the first two years they were in force, November 1941 toDecember 1943, the effect of wage controls was not so much tofreeze wage rates as to equalize them, by preventing wage increases

'"Effects of the War on Canada's Wage Structure,". Canadian Labour Market,Canadian Dept. of Labour, March 1948.

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USES OF INCOME DATAwhich would have resulted in increased wage differentials. Underthe NatiOnal War Labour Board the tendency of unions to demandacross-the-board increases for whole plants or whole industries,yielding higher percentage increases in the lower wage groups, wasencouraged by the inevitable centralization of collective, bargaining.Under the Wartime Wages Control Order of December 1943, whilewage increases were more strictly limited, the "gross inequality"clause facilitated increases for lower-paid workers more than forthe higher-paid. Thus, the narrowing of the difference in annualearnings between unskilled and other groups of workers over theperiod 1941 to 1951 is largely a reflection of the wartime trends inwage policy, on the part of governments as well as of labor unions.Over the longer period since the beginning of the century, the pro-portionate decrease' of skilled workers with the greater use of ma-chine processes in production has probably also tended to bringabout a larger measure of wage equalization.

In Canada, as in the United States, the rate of increase in an-nual earnings in the lowest-paid group of industries over the periodbetween 1941 and 1951 was greater than in the highest-paid group.The following table groups industries into deciles, according tomedian annual earnings of workers at the 1951 census, and shows

PERCENTAGE INCREASE INMEDIAN EARNINGS

INDUSTRIES BETWEEN 1941 AND 1951

RANKED BY Less 100.0 125.0 150.0MEDIAN EARNINGS than to to or

IN 1951 TOTAL 100.0 124.9 149.9 more

Total 153 a 48 42 33 29Lowest tenth 12 a 6 2 1 2Second tenth 14 6 3 4 1

Third tenth 20 3 7 5 5

Fourth tenth 13 3 4 4 2Fifth tenth 11 1 2 4 4Sixth tenth 27 6 6 6 9Seventh tenth 5 3 1 1 —

Eighth tenth 27 8 10 4 5Ninth tenth 11 5 3 3 —

Highest tenth 13 7 4 1 1

a There was one decrease of one percentage point occurring in the lowest tenth.

the number of industries by percentage increase in median earningsfor each decile over the period since the 1941 census.5

The figures above are summarized in the following table:

'Cf. Miller's Table 10.

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COMMENT

A. Based on Order of Earnings Size for All Workers in 1951

The results in Panel A, based on 1951 wages for all workers,show that among the forty-six industry classes composing the low-est three tenths, in terms of median earnings in 1951, some 17.4per cent showed an increase in earnings of over 150 per cent, whilefor the top three tenths only 11.8 per cent recorded an equal rateof increase. Similarly, 21.7 per cent of the former increased by 125to 150 per cent as compared with only 15.7 per cent of the lattergroup. As Panel B shows, the difference in rate of increase overthis decade in median annual earnings for males in the lowest three-tenths as compared with the highest three-tenths of the industryclasses was considerably more marked than for both sexes com-bined. Panel c of the table shows that, on the basis of the orderof earnings size in 1941, 30.4 per cent of the lowest three tenthsrecorded an increase of 150 per cent or more in earnings overthe decade; the highest three tenths were not represented in thisrate of increase category. The same proportion of the lowest rankshowed an increase in earnings of 125 to 150 per cent, whileonly 2.4 per cent of the highest paid group recorded this rate ofincrease. It will be seen that over the period the relative gains inearnings of the lowest three tenths compared with the highestthree tenths of the industries were greater when 1941 was the basisof arrangement of industries by earnings size than when 1951 wasthe basis.

United States census statistics on wage and salary income showthat, although the level of income in industry rose substantially dur-ing the period 1940 to 1950, there was little change in the relative

427

INDUSTRIES RANKED BYMEDIAN EARNINGS

IN 1951

INCREASE INCREASE

INCREASE 100.0% 125.0%LESS THAN TO TO

TOTAL 100% 124.9% 149.9%No. % No. % No. % No. %

TotalLowest three tenthsHighest three tenths

153 100.0 4846 100.0 1551 100.0 20.

B. Based on Order of Earnings153 100.0 4934 100.0 538 100.0 21

on Order of Earnings153 100.0 4823 100.0 5

TotalLowest three tenthsHighest three tenths

C. Based

TotalLowest three tenths

INCREASE150.0%

OR MORE

No.%

29 19.08 17.46 11.8

29 19.013 38.2

1 2.6

28 18.37 30.4

31.4 42 27.5 3332.6 12 26.1 1039.2 17 33.3 8

Size for Male Workers in32.0 42 27.5 3314.7 8 23.5 855.3 15 39.5 1

Size for All Workers in31.4 42 27.5 3421.7 4 17.4 7

Highest three tenths

21.621.715.7

1951

21.623.52.6

1941

22.230.4

41 100.0 30 73.2 10 24.4 1 2.4 — —

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USES OF INCOME DATAposition of individual industries when ranked on the basis of aver-age wage or salary income of workers. The similar experience ofCanada is summarized in the following table.° By use of censusstatistics on median annual earnings by workers in industry for1951 compared with 1941, industry classes were arranged accord-ing to earnings of workers rank in both years. It will be seen that25.5 per cent of the industry classes were in the same decile inboth years, and 45.1 per cent had changed position by only onedecile over this period.

Number Percentage

Total industries 153 100.0Same rank 39 25.5Changing rank by 1 decile 69 45.1Changing rank by:

more than 1 decile 45 29.42 deciles 23 15.03 deciles 18 11.84 deciles 2 1.3S deciles 1 0.76 deciles 1 0.7

A substantial proportion of the industries that declined threedeciles or more between 1941 and 1951 were industries, such astrade and finance, in which the percentage of females employedhad increased significantly over this decade.

As for earnings distributions by occupation, no detailed studyhas been made in Canada. Since the range of earnings shown formany occupational classes listed in census tables is affected by thedegree of homogeneity of the class, by difficulties in enumeratingcertain occupations, by editing and coding procedures, and so forth,careful consideration of the occupations selected for such a studywould be required even though in the 1951 census an effort wasmade to improve the quality of occupation reporting.

Finally, with regard to the relationship between occupation andannual earnings, the extent to which the occupation reported onthe census date was followed continuously during the precedingtwelve months varies from occupation to occupation. Hence theaccuracy of the data shown for any occupation class is affected bythe rate of movement into and out of that class The Bureau is pres-ently making a study of changes in jobs reported, month by month,by workers covered in the Sample Survey of the Labour Force.

'Cf. Miller's Tables B-4 and B-S.

428