DOR projects employment in Wisconsin will see “small declines” of 0.4 percent in 2023 and 0.7 percent in 2024.
“Two sectors are expected to post significant growth in 2023, namely, Leisure and Hospitality and Health and Education,” report authors wrote. “However, both sectors will still show employment levels below their 2019 levels.”
Meanwhile, personal income is expected to rise 2 percent this year while wages and salaries increase by 7.8 percent. Looking ahead, the agency expects “nominal personal income growth” of 4 percent in 2023 and 3.7 percent in 2024. But with high inflation levels factored in, DOR says real personal income is projected to decline 3.9 percent this year.
The report notes wages and salaries grew 7.2 percent in 2021 in Wisconsin, compared to 8.8 percent nationwide. DOR says it “expects another year of strong wage growth in Wisconsin” at 7.8 percent for 2022, versus the national rate of 8.8 percent. This trend is driven by inflation and the tight labor market, according to the agency.