Economic Research & Analysis

June 2014 Economic Snapshot

Highlights

Private employment rose in New York City by 3,100 between March and April 2014.
The unemployment rate fell to 7.9 percent in April 2014 from 8.0 percent in March.
The Manhattan Class A office vacancy rate was 9.7 percent in May 2014, while the average asking rent was $71 PSF.
The Manhattan hotel occupancy rate in April 2014 was 92.0 percent, up from 89.8 percent in April 2013.
Passengers in NYC area airports totaled 9.6 million in March 2014, down 0.2 percent from March 2013.

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#50 Wages of Men and Women in New York City

This month’s Economic Snapshot looks at the wages of men and women in New York City and the United States.

Employment

  • Private sector jobs in New York City rose by 3,100 in April 2014 after a rise of 3,100 jobs in March 2014.
  • In the same period, government jobs in the City fell by 400, resulting in a net increase of 2,700 total private and public sector jobs in April.
  • Since April 2013, private sector employment has risen by 65,400 jobs or 1.9 percent.
  • New York City’s unemployment rate fell to 7.9% in April 2014 from 8.0% in March 2014.
  • Between March and April 2014, the number of employed City residents increased by 9,300, and the number of unemployed City residents fell by 4,200.

Note: data in the table reflects most up-to-date available values and may have been revised from the time of the Snapshot publication.

Wages of Men and Women in New York City 

  • 2014 marks 50 years since the Civil Rights Act was signed into law, preventing workplace discrimination on the basis of characteristics like race or sex. June is also the 51st anniversary of the Equal Pay Act. In this Snapshot, we use data from the U.S. Census Bureau’s American Community Survey to examine full-time, year-round median earnings of males and females in New York City and the United States.
  • In 2012, wages between genders were more equal in New York City than in the United States as a whole. NYC full-time, year-round female workers earned 92.0% of the median earnings of male workers, compared to 78.3% in the United States. NYC’s ratio is up from 89.8% in 2005 but down from pre-recession 2007 when median earnings nearly equalized (96.2%). Women also earn relatively more in New York City: women’s median earnings were 20.6% higher in NYC than in the United States, while men’s median earnings were 2.7% higher in NYC. While women earn less overall, women aged 22 to 30 now earn more in most U.S. cities than their male counterparts, helped by higher rates of college attendance.1

June Snapshot Chart 1

  • Differences in the mix of sectors and occupations by region influence male and female wages. Services-heavy NYC (59.1% of employment) had the second-smallest gender wage differential of the five largest U.S. cities. Los Angeles had the most equal earnings ratio (97.2%) and a similar share of employment in services (59.0%). In Houston, where there is relatively more employment in manufacturing, construction, and natural resources, the ratio of female-to-male full-time median earnings was 81.0%. 
  • Both for-profit and not-for-profit private companies have higher female-to-male earnings ratios than NYC overall. Women’s median earnings are 92.9% and 93.4% of men’s earnings, respectively, in these fields. Self-employed women’s median earnings were 81.6% of men’s earnings for incorporated businesses and 69.5% for non-incorporated businesses.

June Snapshot Chart 2

  • Females actually out-earn males in New York City in three occupations: Construction & Extraction, Health Technologists, and Installation, Maintenance, & Repair. Construction and Installation are heavily male-dominated occupations, but 65.2% of Health Technologists are female. Farming, Production, and Legal occupations have the greatest gap between female earnings relative to male earnings in New York City.
  • Women earn more than men, on average, in five NYC industries:  Construction, Real Estate, Wholesale Trade, Accommodation & Food Services, and Agriculture. By contrast, the United States has no industries in which women have higher median earnings than men. However, these five industries employ relatively few females overall—less than 10 percent of all female workers in NYC.

June Snapshot Chart 3

  • NYC women employed in the construction industry have median earnings that are 43.1% higher than male construction workers, but the sector employs 0.9% of all female workers and 8.3% of all male workers residing in NYC. As a result, rather than an outright earnings advantage, higher median earnings among females in construction may be more reflective of the occupational distribution by sex in the industry.

1 Wall Street Journal, “Young Women’s Pay Exceeds Male Peers’,” 1 September 2010.

Real Estate and Construction

Manhattan Office Market

  • In May 2014, the Manhattan Class A direct vacancy rate fell to 9.7 percent while the average rental rate rose to $71 PSF.
  • In the same month, the Downtown Class A direct vacancy rate fell to 11.7 percent and the rental rate remained at $55 PSF.
  • The Manhattan Class A sublease vacancy rate rose to 1.8 percent from 1.7 percent from April to May.

Source: Cushman and Wakefield

Construction

For the twelve months ending April 2014:

  • Building projects (including new, additions and alterations) that started construction in NYC rose by 13.2 percent, and infrastructure (non-building) project starts fell by 15.1 percent from the twelve months ending April 2013.
  • Planned space for building project starts rose by 17.1 percent from the same period in 2013.
  • 3,004 residential building project starts began construction, a 17.0 percent increase from the twelve months ending in April 2013. These starts contained 24,808 units, an increase of 28.1 percent from last year.

Source: McGraw Hill Construction

Tourism, Travel and Transit

Transit Ridership

  • Total ridership on MTA subways, trains and buses in April 2014 was 230.1 million, a decrease of 1.0 percent from April 2013.
  • Subway ridership in April 2014 was 147.9 million, which was a 0.7 percent increase from April 2013.

Source: Metropolitan Transportation Authority

Air Traffic

  • In March 2014, 9.6 million passengers flew into and out of the region's airports, a decrease of 0.2 percent from March 2013.
  • Domestic air carriers accounted for 6.4 million passengers, a 0.1 percent decrease from March 2013.
  • 3.2 million passengers traveled with international air carriers in March 2014, a 0.4 percent decrease from March 2013.

Source: Port Authority of New York and New Jersey

Broadway Ticket Sales

  • Total Broadway attendance was approximately 1.4 million during the five weeks ending June 1, 2014, up 21.3 percent from the same period last year.
  • Broadway revenue during this period was about $146.8 million, up 20.0 percent from last year. 

Note: Gross revenue and attendance figures include all shows playing on Broadway during the specified period.
Source: The Broadway League

Hotel Occupancy

  • In April 2014, the average daily hotel room rate was $295, a 2.6 percent increase from April 2013. 
  • Hotel occupancy was 92.0 percent in April 2014, up from 89.8 percent in April 2013. 
  • The average daily hotel room rate increased the most in hotels charging between $325 and $375 per night.

Source: PKF Consulting