Metro Detroit sees slow entry-level wage growth
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Downtown Detroit. Photo: Roberto Machado Noa/LightRocket via Getty Images
While places like San Francisco and Seattle are known for high early-career salaries, it's worth paying attention to areas seeing rapid growth in entry-level wages, too.
Why it matters: Detroit and Michigan have set their sights on reversing sluggish population growth and drawing in more young professionals.
- Many young adults here say they'd rather head elsewhere.
Yes, but: Metro Detroit is on the low end when it comes to 2020-25 growth in average early-career salaries — about 3.9% annually, according to a recent Glassdoor report.
By the numbers: While Metro Detroit isn't in the bottom 10, it's not far from it, ranking a fraction of a percent above some of the slowest growth rates in Dayton, Des Moines and elsewhere.
- Cities with high annual growth rates include Provo, Utah (7%) and Boise, Idaho (5.5%).
How it works: That's based on more than five million salary datapoints from Glassdoor users "with 0-4 years of relevant experience in their current job from January 2020 through October 31, 2025," and among metro areas with at least 1,000 salary datapoints per year.
The big picture: "It's difficult to start your career during a soft labor market, but there is a silver lining: earnings growth is on the rise for workers with 0-4 years of experience, and 2026 will be the first year that these workers' purchasing power exceeds 2020 levels," per Glassdoor's report.
- "For early career workers considering where to pursue their next career step, these rising cities represent good opportunities to grow your earnings even though they may not offer the highest salaries."
Zoom in: Entry-level earnings growth also varies by education level.
- Over the last decade, entry-level wages among Michigan students grew 43% for certificate earners, 25% for bachelor's holders and just 1.5% for master's or higher, according to the Center for Educational Performance and Information.
- Still, higher postsecondary education levels correlate with higher overall pay.