Foon Rhee: Most Californians’ paychecks are falling further behind

Are some jobs really that much more valuable to society than others?

Absolutely, says the free market. Some work requires advanced education and some skills are more in demand, so they should get rewarded with much higher wages. But one result of huge differences in our paychecks is growing income inequality.

The California Budget & Policy Center is the latest to sound the warning, with a study spotlighting that the economic recovery has not boosted wages for the vast majority. Last year, the median-wage worker made $19 an hour ($39,520 annually), 2 percent less than in 2011 and 6 percent less than 2006, adjusting for inflation.

Consequently, the gap with high-wage workers continues to widen. A worker at the 90th percentile made $50 an hour last year ($104,000 annually). And those in the top 1 percent make more in one week than what many middle-income Californians earn in a full year.

“Even at a time when workers are better trained, more educated and more productive than ever, California’s median wage continues to lose ground, and wage inequality continues to worsen,” the budget center says.

So I looked up the wages for different kinds of jobs in California. I had ballpark figures, but seeing the precise numbers – and how wide the gap really is – is eye-opening.

Doctors and lawyers, of course, make boatloads of money. Their median hourly wages are $90-plus and nearly $70, respectively. Computer geeks do well; software developers come in at $56 an hour and programmers at $42. Management and business types generally make between $30 and $50 per hour.

Toward the middle, auto mechanics and truck drivers earn a median wage of $20 an hour, and construction workers and customer service reps about $18. Janitors (about $12 an hour), retail salespeople ($11 and change) and food-service workers (just below $10) are at the bottom.

So-called “pink-collar” jobs, dominated by women, are also at the low end. That’s a big part of the gender pay gap – in California, women make 84 cents for every $1 a man makes for similar work.

In the special session, the state Assembly approved Senate Bill 358, what would be the strongest equal pay law in the nation. It’s on Gov. Jerry Brown’s desk.

But a key Assembly committee stalled a bill to raise the state minimum wage for all workers beyond the $10 an hour it’s already set to reach on Jan. 1. If it happens, it might require an initiative on the November ballot. Such a raise would go mostly to service-sector workers. Some of the lowest paid workers are those who help people at their most vulnerable (home health aides) and who care for children (day care workers).

What does that say about what we really value?

This story was originally published September 10, 2015 at 6:32 PM with the headline "Foon Rhee: Most Californians’ paychecks are falling further behind."