South Dakota’s average wage increased 5.5% in 2022, according to new data from the Labor Market Information Center.
South Dakotans are now making an average of $54,053 a year.
Nathan Sanderson is executive director of the South Dakota Retailers Association. He said this increase reflects the high inflation rate this year.
“Overall national inflation is of course going to drive wages up. And then also a relative shortage of workers is also going to drive up wages through competition. I mean that's capitalism at work," said Sanderson.
The Labor Market Information Center reported that a 2.9% increase in employment covered by reemployment assistance and an 8.5% increase in total wages and salaries contributed to the significant increase in average wage.
The industries with the largest wage increase were professional and business services, financial activities and federal government.
Average wage in South Dakota is expected to continue rising.