Public vs private pay · Alabama

Public vs private sector pay in Alabama by occupation (2023)

Data snapshot 2023-12-31 · part of High Floor, Low Ceiling: How Public-Sector Wage Compression Erodes Public Service

In 2023, the median state and local government worker in Alabama earned $29.01 an hour against $25.79 in the private sector, a gap of +12%. At the 90th percentile the government wage was $56.28 against $59.10 privately (-5%). Both figures are real hourly wages from the same-state ACS sample, unadjusted for education and experience.

The gap is widest in Healthcare (+2%), Skilled trades (+7%), and Management (+8%), and government pay holds up best in Education (+43%) and Admin and clerical (+18%). That is the national pattern too: a high floor, a low ceiling.

Public vs private pay in Alabama by occupation, 2023

Public vs private median real hourly wage by state and domain. Private comparator is same-state PUMS (place-of-residence). * marks a small unweighted cell in at least one sector; treat those rows as rough. Source: acs_pums.
Occupation domainGovernment median $/hrPrivate median $/hrGap at medianGovernment 90th pctPrivate 90th pctGap at 90th
All occupations$29.01$25.79+12%$56.28$59.10-5%
Admin and clerical$24.18$20.42+18%$42.98$34.92+23%
Education$27.94$19.53+43%$44.36$37.28+19%
Engineering *$53.72$52.66+2%$78.95$84.01-6%
Finance *$37.08$37.37-1%$69.66$97.28-28%
Healthcare$32.79$32.23+2%$80.82$71.04+14%
Legal *$43.48$37.46+16%$87.39$119.95-27%
Management$37.94$35.10+8%$70.06$89.37-22%
Protective service *$28.29$18.11+56%$46.42$63.72-27%
Skilled trades$26.86$25.19+7%$52.14$46.12+13%
Software and IT *$39.22$47.66-18%$75.53$80.78-6%

How to read this

Raw medians compare different people: government employs more teachers, nurses, and degree-holders than the private sector does. The parent piece adjusts for education and experience nationally (federal pay 7% above comparable private workers, state pay 17% below, local pay 17% below) and shows the gap opening at the top of the ladder, where private pay in software, law, finance, and engineering has pulled away. This state table is the unadjusted view; the methodology appendix explains both.

Sources

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