By now regular readers of this column know that Hoosier workers make lower wages and salaries than similarly placed ws.
But how much lower are Hoosier wages compared with workers around the nation? The answer varies by industry. There is one industry which has fairly low interstate competition: State and local government jobs.
The average monthly wage of the 17.5 million state or local government employees in the United States was $6,568 in 2025. For similarly employed Hoosiers, the figure was $5,383, or $1,185 (18%) less than the national number. Our public employees rank 38th in the nation in their level of wages.
Some of this differential is the result of differences among the states in the functions performed by their state and local governments. For example, only 12 states have government liquor stores, but solid waste management is present in every state and the District of Columbia.
Indiana has no government liquor stores, but it has a multitude of government solid waste agencies with an average monthly wage of $4,452 ($1,182 or 21% below the national amount). But even this figure needs clarification. We don’t have data on the wages of those employed by private contractors.
Among the many government functions covered by the Census Bureau are those we normally think of as Utilities (water, sewerage, gas, electricity). Again the same questions are present. Nationally, electric power jobs in state and local governments are the best paid ($10,742 per month). Indiana government jobs dealing with electric power paid $7,059 ($3,683 or 35% below the nation). Is this because of wild fires, tornados and other calamities? Are such wages the result of inappropriate routine installation and maintenance?
Indiana is not thought of as a state with a maritime industry, but we do have three ports that keep busy and generate the highest wages for the jobs we are discussing. Our inland ports on the Ohio River and Lake Michigan employ the full-time equivalent of only 46 workers earning $8,212 per month. That is still 6% ($519) below the national average of monthly wages in those jobs.
Elementary and secondary school teachers are frequently cited as low paid government workers. It’s true, if we go by these data. Nationally and in Indiana they make wages that are 5.5% less than the average worker. But Hoosier teachers make 18% less than the average teacher nationally.
But there is no indication that these data are adjusted for the different seasonal patterns across the nation and across industries. Likewise, are we talking about all elementary and secondary teachers, yet not counting those in charter schools?
Normally, I look to government agencies for the best available data. But times have changed and we need to understand how our data might lack the accuracy we need.