Public vs private pay · Texas

Public vs private sector pay in Texas 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 Texas earned $28.50 an hour against $27.94 in the private sector, a gap of +2%. At the 90th percentile the government wage was $53.72 against $72.53 privately (-26%). Both figures are real hourly wages from the same-state ACS sample, unadjusted for education and experience.

The gap is widest in Software and IT (-30%), Engineering (-23%), and Finance (-19%), and government pay holds up best in Protective service (+71%) and Education (+16%). That is the national pattern too: a high floor, a low ceiling.

Public vs private pay in Texas 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$28.50$27.94+2%$53.72$72.53-26%
Admin and clerical$22.56$22.35+1%$39.22$42.98-9%
Education$27.94$24.18+16%$38.68$41.91-8%
Engineering$43.96$56.73-23%$70.93$107.45-34%
Finance$34.92$42.98-19%$57.21$91.33-37%
Healthcare$39.47$39.22+1%$98.60$77.72+27%
Legal$47.76$46.89+2%$89.29$185.00-52%
Management$38.25$44.59-14%$72.53$107.45-32%
Protective service$32.23$18.80+71%$56.28$46.48+21%
Skilled trades$24.87$24.18+3%$44.01$44.76-2%
Software and IT$37.61$53.72-30%$61.78$91.87-33%

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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