NYC / Labor economics / Data project

Who's winning
the paycheck race?

Public-sector workers in New York City earn less per hour in wages than their private-sector counterparts. Add pensions, health insurance and paid leave, and the ranking inverts. The charts below cover twenty-five years.

01Total compensation — NYC, 2024

Take-home pay is one piece of what a worker earns. Once health insurance, pension contributions, paid leave and payroll taxes are added in, New York City's private-sector advantage in total compensation is much smaller than the wage gap suggests — and at many agencies, public-sector workers come out ahead.

NYC Local government · total comp
—
salary + healthcare + pension + other benefits · 2024
~486,000 workers (QCEW definition — includes DOE, MTA, H+H, CUNY, NYCHA, libraries, authorities; the city's mayoral-agency + uniformed + DOE headcount is closer to 300k). Benefits make up ~—% of compensation — pensions and employer-paid health insurance drive the rest.
NYC private sector · total comp
—
salary + healthcare + pension + other benefits · 2024
~4.06 million workers. Benefits are ~—% of compensation — smaller retirement, similar health costs, more bonus/supplemental pay.

What an average NYC worker earns — 2024

Estimated annual total compensation, decomposed by component. NYC wages are measured directly; benefits are projected from the national ECEC benefit-to-wage ratios (see methodology).
Salary Health insurance Retirement Paid leave Supp. pay / other Payroll taxes
Public salary
—
avg annual · NYC QCEW 2024
Private salary
—
avg annual · NYC QCEW 2024
Public pension + health
—
projected from ECEC ratios
Private pension + health
—
projected from ECEC ratios
—
the gap between NYC private and public total compensation in 2024 — compared to a — gap in salary alone. Pensions and health insurance close much of the distance.
How this is computed. NYC wage figures come directly from BLS QCEW (covered payroll records for all five boroughs). Benefit components are estimated by applying the 2025 national ECEC benefit-to-wage ratios (private vs state & local government) to those wages. This is a projection, not a direct NYC measurement — BLS does not publish NYC-specific benefit costs. See the methodology tab for details and limitations.
A caveat. There's no single "average" public or private worker. Aggregate comparisons blend Wall Street traders with retail clerks, NYPD captains with DOE paraprofessionals. Tab 08 ("Matched occupations") compares the same jobs in each sector.

02Wages over time — NYC, 2000–2024

Average annual wages by ownership, for workers whose jobs are located in the five boroughs. The Bureau of Labor Statistics' Quarterly Census of Employment and Wages (QCEW) is a near-universe of payroll records for covered jobs.

Private Local gov State gov Federal
NYCMean

NYC mean annual wage by sector

Nominal dollars. QCEW publishes means only (total covered wages ÷ annual average employment). Private-sector figures include bonuses and stock comp, which inflates the mean above typical take-home pay — especially in finance-heavy Manhattan.
Mean vs median. The mean adds every dollar and divides by headcount; a single $10M bonus pulls it up. The median is the middle worker — half earn more, half less, regardless of outliers. NYC's private-sector mean is inflated by finance: a handful of banking and tech earners lift the whole average. The Citywide Payroll dataset (tab 06) publishes medians directly for NYC public workers; QCEW does not. For a closer comparison, see tab 08 — matched occupations — which compares medians on both sides.
—
dollars earned in NYC's private sector for every dollar earned in local government in 2024 — down from $1.35 in 2000 (and from a peak of $1.50 around 2010). The gap widened through the 2000s, then narrowed sharply as public wages caught up.

03The growth race — indexed to 2000

This chart rebases each sector's wages to 100 in 2000 to compare the pace of change. New York City's private sector, propelled by finance and tech compensation, pulled ahead of local government in the mid-2000s and stayed ahead through 2017. Local-government wages have led since 2018, except in 2021.

NYC wage growth by sector, indexed to 2000 = 100

A value of 200 means wages have doubled since 2000 in nominal terms. Inflation has risen roughly 82% over the same period (CPI-U).

25-year nominal growth

Total wage growth, 2000 → 2024, by sector.

Annualized growth rate

CAGR over 24 years. Inflation (CPI-U) averaged 2.5% per year.
Hypothesis check. Over the full twenty-four years, NYC local-government wages grew slightly faster than private (+110% vs +100%), and state government grew much faster. All three public sectors beat inflation (+82%). Private-sector wage gains were front-loaded in the 2000s — driven by the finance boom — and have underperformed public wage gains since roughly 2010. Benefits (next panel) widen the public-sector advantage further.

04The benefits gap

Wages are only part of compensation. The BLS Employer Costs for Employee Compensation survey measures, per hour, what employers spend on paid leave, insurance, retirement and legally-required benefits (Social Security, Medicare, unemployment insurance). Public-sector benefits have been richer throughout, and the gap has widened over twenty years, from 1.62 times private in 2006 to 1.82 times.

NationalMean $/hr

Total benefits spending per hour worked — national

Employer cost of benefits for private industry vs. state & local government, 2006–2025. Dollars per hour worked.

Benefits composition — Private industry, 2025

Where the $13.49/hour in benefits goes.

Benefits composition — State & local gov, 2025

Where the $24.58/hour in benefits goes.
1.82×
the per-hour benefit cost for state & local workers relative to private — up from 1.62× in 2006
Pensions as pay. If you adjust total compensation for the full benefits package, a "lower-paid" public-sector job can deliver equal or greater lifetime value than a higher-wage private one. Pensions are deferred compensation — dollars the worker doesn't see now but will collect later. The next tab isolates that single line item.

05Pensions

Retirement is the benefit where the two sectors diverged most. In 2006, employers spent about $0.91 per hour funding private-sector retirement (mostly 401(k) matches). State and local government employers spent $2.54 — already nearly 3× more. By 2025, private retirement spending had risen to $1.53. Public retirement spending had risen to $8.54 per hour, much of it to cover unfunded pension obligations.

NationalMean $/hr

Employer retirement spending per hour worked — national

Defined-benefit pensions plus defined-contribution plans (e.g. 401(k), 457(b)).

Health insurance spending per hour

Employer cost of health coverage — distinct from worker premium contributions.

Paid-leave spending per hour

Vacation, holiday, sick and personal leave paid by employers.

06Inside the NYC payroll

The city publishes every employee's pay: base salary, overtime, other pay, fiscal year and agency. That gives a fuller picture than QCEW, with means, medians and the whole shape of the distribution.

NYC publicMeanMedian

NYC employee pay — mean vs median regular gross

Median is resistant to outliers; mean rises when more workers earn high pay.

Active employees on payroll

Headcount of workers with positive regular gross pay, by fiscal year.

Salary distribution — annual-basis city workers, FY

How many city employees earn what. Counting only salaried (pay_basis = "per Annum") workers. Bands of $10,000.
Why payroll mean is lower than QCEW. The Citywide Payroll dataset includes everyone who received any payment in a fiscal year — including part-time, per-session, and youth-program workers. QCEW, by contrast, measures employment more like a job count. Annual-basis filtering (above) brings the comparison closer.

07Agency by agency

No single number represents "the NYC public sector." A DOE paraprofessional earning $40k and an NYPD captain earning $200k are both city workers. Here are the largest agencies by headcount, ranked by median regular gross pay.

NYC publicMedian ◆Mean bars

Top 20 NYC agencies by median regular pay — FY

Showing agencies with at least 500 annual-basis employees. Diamond ◆ marks median; bar shows mean including overtime and "other pay."
NYC publicIndividual records

Highest-paid employee in each agency — FY2025

The highest total-compensation earner at each large agency. Total = regular gross + overtime + other pay. Names are public record via NYC Open Data.
NYC publicCitywide top 15

The 15 highest-paid city employees — FY2025

Every field here is a public record, published to the NYC Open Data portal. Titles like "Chief Marine Engineer" reflect Staten Island Ferry licensed officers; high totals reflect large overtime accumulations on top of base salary.

Workforce composition — top 20 agencies

Total city employees (any pay basis) per agency. The Department of Education alone employs more New Yorkers than the entire federal presence in the city.

08Matched occupations — apples to apples

Aggregate means mix very different jobs. A fairer comparison holds the occupation constant: a New York City government nurse versus a nurse at a private hospital; a city accountant versus a private-sector accountant. Each occupation gets three medians: New York City government workers, New York City-resident private-sector workers and the broader metro area.

NYC publicNYC privateNY-NJ-PA MSAMedian

Median annual base pay by occupation — three views

Teal: NYC government median regular gross pay, FY2025 annual-basis workers whose title matches the keyword (Citywide Payroll). Coral: NYC-resident private-sector median annual wages, full-time full-year workers, ACS 2019–2023 5-year PUMS (class-of-worker = private for-profit or non-profit; NYC PUMAs only). Light coral: BLS OEWS May 2024 median for the NY-NJ-PA metropolitan area, all employers. Delta compares NYC public to NYC private (PUMS) where the sample permits, otherwise to the MSA.
How to read this. The NYC private (PUMS) bar is the cleanest private comparator — it's actual NYC-resident private-sector workers, filtered to full-time full-year. The MSA bar includes all employers across the metro (NY + northern NJ + parts of PA); for nurses, accountants, lawyers, engineers, office staff it's a solid private-leaning benchmark, but for teachers, police, firefighters and social workers it's dominated by public employment. When MSA and NYC-private diverge sharply (e.g. teachers: MSA $93k vs NYC private $65k), the MSA figure is reflecting public-school teachers region-wide while the PUMS figure captures private-school teachers in NYC.
Caveats. PUMS sample sizes shown as "n=" are unweighted microdata records; smaller n (under ~30) means the median is noisy. Some occupations (electricians n=17, plumbers n=11, civil engineers n=54) have thin samples even in the 5-year file. Title matching on the NYC public side is keyword-based, not SOC-coded — a title containing "NURSE" could include administrators. Hours worked differ by occupation (NYC teachers work a school-year calendar; private nurses often work 12-hour shifts). Neither source captures bonuses on the public side or benefits on either side. This is a base-salary snapshot, not total compensation.

09Methodology, data & caveats

Every number in this project comes from a named, public data source. One set of figures is projected: the snapshot tab estimates New York City benefits by applying national ECEC benefit-to-wage ratios to New York City wages. Nothing else is modeled, imputed or projected. Below is where each figure comes from and what it does not say.

Data sources

BLS QCEW
Quarterly Census of Employment and Wages, annual by-area ZIP files, 2000–2024. Aggregated across the five New York City counties (FIPS 36005, 36047, 36061, 36081, 36085). NAICS industry code 10 (total, all industries). Ownership codes: 1=Federal, 2=State, 3=Local, 5=Private. Employment-weighted means. "Local government" is broader than most people think: in QCEW it includes every local-government-owned employer with jobs in NYC — the NYC Department of Education, NYC Health + Hospitals (public benefit corp), the MTA (classified as local-gov ownership), CUNY community colleges, NYCHA, the public library systems and smaller authorities. The 2024 QCEW local-gov headcount of ~486k is therefore much larger than the "mayoral-agency + DOE + uniformed" figure (~300k) commonly cited in city budget documents. Source: data.bls.gov/cew/data/files.
BLS ECEC
Employer Costs for Employee Compensation, quarterly time series via the BLS Public Data API. Series family CMU[ownership][item]000000000D. Private industry (ownership 2) and state & local government (ownership 3), 2006–2025. National coverage — not NYC-specific. For each calendar year we use Q1 data where available, else the earliest published quarter.
ACS PUMS
American Community Survey 2019–2023 5-year Public Use Microdata Sample, New York State person records. Filtered to NYC PUMAs (Bronx 3701–3710, Manhattan 3801–3810, Staten Island 3901–3903, Brooklyn 4001–4018, Queens 4101–4114). Additional filters: class of worker = private for-profit (COW=1) or private non-profit (COW=2); employed at work or with job (ESR=1,2,4,5); usual hours ≥35/week (WKHP); weeks worked ≥50 (WKWN); positive wages (WAGP). Occupation match uses 4-character SOC prefix on the SOCP field. Medians are person-weight-weighted (PWGTP). Source: www2.census.gov/programs-surveys/acs.
BLS OEWS
Occupational Employment & Wage Statistics, May 2024, New York-Newark-Jersey City NY-NJ-PA metropolitan statistical area (area 3562200). Published medians are across all employers (public + private). Used on the Matched occupations tab as the metro benchmark, with the caveat that public employment dominates in teacher/police/firefighter/social-worker occupations. Source: bls.gov/oes.
NYC Citywide Payroll
NYC Open Data dataset k397-673e, FY2014–FY2025. Fields used: fiscal_year, agency_name, regular_gross_paid, total_ot_paid, total_other_pay, pay_basis. Aggregates computed via Socrata SoQL directly on the server. Median is a Socrata median() function result. Source: data.cityofnewyork.us.

Definitions

Average annual wage (QCEW)
Total covered wages / annual average employment. Includes bonuses, tips and stock-based compensation reported as wages. This is why NYC's private-sector mean looks high — finance bonuses flow through.
Regular gross paid (NYC)
Base pay actually disbursed in a fiscal year, before overtime and "other pay." Closer to take-home base salary than QCEW's total wages.
Total compensation (ECEC)
Wages + all employer-paid benefits per hour worked. Does NOT include employee-paid premiums, employee 401(k) contributions or employer costs that aren't employment-based.
Benefits (ECEC)
Employer cost of paid leave + supplemental pay + insurance (life, health, disability) + retirement + legally required (Social Security, Medicare, unemployment, workers comp).

Limitations & what this tool does not claim

Headline takeaways

  1. Nominal New York City private-sector wages grew faster than local-government wages through the 2000s, but over 2000–2024 local-government wages grew slightly more (+110% vs. +100%), and state and federal wages grew more still.
  2. Public-sector benefits, especially retirement, have grown much faster than private, mostly driven by pension funding requirements.
  3. At the total-compensation level, state & local government workers nationally out-earn private workers ($65.68/hr vs $46.15/hr as of Dec 2025).
  4. Inside the NYC government, mean and median pay vary widely by agency, which headline averages hide.