Alaska is known for high wages, but the state's 2021 average hourly wage of $30.52 was less than 10% higher than the national average.
for the Alaska Department of Labor and Workforce Development. He says there are a few reasons why Alaska’s kept up a high hourly wage rate for so long.For a period of time, part of it was just to attract workers to this strange place that was in the old days, in the 50s and 60s and 70s, pretty remote and difficult to get to. One way you could lure workers here is by paying higher wages. So that was probably one of the reasons why more generous wages were being offered.
Some of it was the kind of jobs, too. Working for the federal government in the construction trades was usually a pretty good gig. Working in the fishing industry, the same thing. And of course then working in the oil industry, where premium wages were often paid was another reason. And more recently, in the last decade, we have very much underperformed the rest of the country. Not only did we have a period of time of four or five years of a recession, but during much of that period, the rest of the country’s economy was literally red hot. There was wage growth there. So we’re a very different economic place.
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