Public vs private pay · Tennessee

Public vs private sector pay in Tennessee 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 Tennessee earned $27.94 an hour against $26.86 in the private sector, a gap of +4%. At the 90th percentile the government wage was $53.72 against $62.32 privately (-14%). Both figures are real hourly wages from the same-state ACS sample, unadjusted for education and experience.

The gap is widest in Healthcare (-14%), Management (-3%), and Skilled trades (+2%), and government pay holds up best in Admin and clerical (+13%) and Education (+8%). That is the national pattern too: a high floor, a low ceiling.

Public vs private pay in Tennessee 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$26.86+4%$53.72$62.32-14%
Admin and clerical$24.21$21.49+13%$42.98$37.48+15%
Education$26.86$24.90+8%$40.63$45.17-10%
Engineering *$53.68$47.28+14%$75.21$75.210%
Finance *$29.55$38.68-24%$69.70$83.45-16%
Healthcare$32.23$37.61-14%$64.47$80.56-20%
Legal *$46.43$45.13+3%$97.67$115.01-15%
Management$37.50$38.68-3%$72.53$89.54-19%
Protective service *$26.86$22.54+19%$48.18$44.38+9%
Skilled trades$26.24$25.79+2%$49.43$45.67+8%
Software and IT *$40.29$42.98-6%$65.33$80.59-19%

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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