Public vs private pay · Indiana

Public vs private sector pay in Indiana 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 Indiana earned $27.94 an hour against $27.70 in the private sector, a gap of +1%. At the 90th percentile the government wage was $50.50 against $60.17 privately (-16%). Both figures are real hourly wages from the same-state ACS sample, unadjusted for education and experience.

The gap is widest in Skilled trades (-16%), Healthcare (-15%), and Management (-7%), and government pay holds up best in Education (+12%) and Admin and clerical (0%). That is the national pattern too: a high floor, a low ceiling.

Public vs private pay in Indiana 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$27.94$27.70+1%$50.50$60.17-16%
Admin and clerical$22.82$22.920%$38.68$37.61+3%
Education$26.86$23.88+12%$42.67$40.29+6%
Engineering *$47.26$48.35-2%$68.34$76.31-10%
Finance *$29.97$37.23-20%$51.91$80.33-35%
Healthcare$32.23$37.96-15%$65.26$73.18-11%
Legal *$42.98$36.32+18%$82.87$186.51-56%
Management$35.82$38.68-7%$64.47$84.22-23%
Protective service *$29.86$18.80+59%$46.74$44.72+5%
Skilled trades$25.23$30.09-16%$39.55$49.58-20%
Software and IT *$34.59$42.98-20%$52.98$81.28-35%

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

Back to High Floor, Low Ceiling: How Public-Sector Wage Compression Erodes Public Service