According to job site Glassdoor, the annual median base pay in the United States grew 1.2 percent year over year in July 2017 to $51,120. The Glassdoor Local Pay Reports show pay growth slowed for the sixth consecutive month, down from the 1.5 percent revised pay growth recorded last month. Pay growth peaked in January 2017 at 3.1 percent.

The Glassdoor Local Pay Reports provide a unique monthly view into the country's wage picture with salary estimates for nearly 85 job titles and year-over-year pay growth trends in the United States. The reports include details on 10 major metros: Atlanta, Boston, Chicago, Houston, Los Angeles, New York City, Philadelphia, San Francisco, Seattle and Washington, D.C.¹

"While major economic indicators show that the labor market is healthy--unemployment is low at 4.4 percent, 222,000 new jobs were added last month, and there are 5.7 million jobs open in the U.S. today--the benefits of this strong economy are not being shared widely among workers. Pay growth has been slowing since January, despite a strong and growing economy. Partly this reflects the fact that economic gains are not being distributed evenly among workers. Glassdoor Local Pay Reports show weaker pay growth for many traditionally middle-class jobs, such as office managers, buyers, operations analysts, project managers, marketing managers, and sales managers," said Dr. Andrew Chamberlain, chief economist of Glassdoor.

Weaker Pay Growth for Traditional Middle-Class Jobs: Automation is a Factor
Some of the lowest rates of year-over-year pay growth in July include middle-class roles. Financial advisors (down -1.4 percent to $52,394) office managers (down -0.5 percent to $45,790) and buyers (down -0.5 percent to $57,299) all saw a decline in July. Project manager (up 0.2 percent to $72,762), marketing manager (up 0.3 percent to $67,485) and sales manager (up 0.6 percent to $61,949) wages experienced growth far below the national average (1.2 percent).

"Some of this weakness in pay growth can be attributed to automation, which is beginning to affect jobs that pay right around the median wage in the U.S., which are typical middle-class wages. For example, loan officers are not as in demand when consumers can apply for and complete a loan instantly online, and the office manager role changes when businesses utilize software and self-service kiosks for their employees and visitors," said Chamberlain.

Recruiters, Warehouse Jobs and Delivery Drivers See Above Average Pay Growth
Fueled in part by the growth and expansion of online retail giant Amazon, wages for these types of jobs continued to see above-average year-over-year gains in July. Warehouse associates (up 3.7 percent to $40,811), delivery drivers (up 4.3 percent to $38,680), and truck drivers (up 4.3 percent to $51,351) experienced pay growth far above the national average. In addition, strong hiring and new jobs coupled with low unemployment is resulting in more rapid pay growth for recruiters (up 6.5 percent to $51,050).

"Amazon has dominated the online retail market for non-perishable goods, and with the recent acquisition of Whole Foods, the back-end logistics for online sales to match the massive global demand for perishable goods will also grow. We expect to see wages rise for jobs, like delivery driver, that support the supply chain and keep consumer goods flowing," said Chamberlain.

Blue Collar Pay Growth Rising
Many traditional blue collar jobs are seeing pay gains, including construction laborer (up 3.7 percent to $39,945), barista (up 6.4 percent to $24,336) and restaurant cook (up 5.8 percent to $28,696). Increases in the minimum wage in several cities, and the impact of these raises on jobs that earn just above minimum wage, contributes to this increase.

For a list of jobs with the biggest pay declines, visit the Glassdoor Economic Research blog. 

Pay Growth in Houston Declines, While Boston Sees Largest Wage Growth Gain
In Houston, wage growth fell into negative territory this month, and in Los Angeles, Washington, D.C., and Atlanta, pay growth lagged far behind the U.S. average. Among the 10 metros tracked, wage growth was fastest in Boston (up 1.9 percent to $58,531), San Francisco (up 1.8 percent to $67,826), and Seattle (up 1.8 percent to $59,879).