City of Methuen Master Plan

Methuen Master Plan 2007
Methuen’s business establishment base paid over $448 million in wages in 2004. The average weekly
wage ($650) paid by Methuen firms was 25% lower than the average wage of the surrounding Region
($864) but reflected a 5% gain from 2001. Selected industries including construction, information and
arts, entertainment and recreation experienced a decline in wages during this period, but gains were
evident in the other sectors such as administrative and waste services, agriculture, and health care and
social services. A detailed distribution of Methuen’s employment and wage base is provided in Table 23.
Table 23: Weekly Wage Trends by Industry: 2001-2004
Methuen
$
2001 2004
Change
%
Change
Lawrence MSA
$
2001 2004
Change
%
Change
Agriculture, Forestry, Fishing & Hunting $383 $445 $62 16.2% $330 $388 $58 17.6%
Construction $934 $924 -$10 -1.1% $948 $945 -$3 -0.3%
Manufacturing $885 $949 $64 7.2% $1,045 $1,152 $107 10.2%
Wholesale Trade $904 $916 $12 1.3% $1,258 $1,248 -$10 -0.8%
Retail Trade $414 $442 $28 6.8% $480 $481 $1 0.2%
Transportation and Warehousing $662 $643 -$19 -2.9% $668 $663 -$5 -0.7%
Information $1,044 $841 -$203 -19.4% $1,227 $1,182 -$45 -3.7%
Finance and Insurance $913 $912 -$1 -0.1% $945 $1,091 $146 15.4%
Real Estate and Rental and Leasing $527 $565 $38 7.2% $664 $793 $129 19.4%
Professional and Technical Services $803 $848 $45 5.6% $1,312 $1,325 $13 1.0%
Administrative and Waste Services $523 $622 $99 18.9% $526 $641 $115 21.9%
Educational Services $232 $285 $53 22.8% $684 $721 $37 5.4%
Health Care and Social Assistance $643 $732 $89 13.8% $614 $703 $89 14.5%
Arts, Entertainment, and Recreation $463 $392 -$71 -15.3% $346 $357 $11 3.2%
Accommodation and Food Services $245 $263 $18 7.3% $283 $301 $18 6.4%
Other Services, Ex. Public Admin $429 $443 $14 3.3% $425 $433 $8 1.9%
Total $619 $650 $31 5.0% $832 $864 $32 3.8%
Source: Massachusetts Department of Workforce Development
In 2004, the average weekly wage in the manufacturing sector ($949) was the highest followed by that in
construction ($924). The average weekly wage in accommodation and food Services ($263) and
education services ($285) were among the lowest, most likely reflecting the relative number of part time
jobs in these sectors.
The average weekly wage of $650 in Methuen equates to annual earnings of nearly $34,000. This
income would support a monthly rent of $845 in order to be “affordable”, assuming 30% of income for
housing costs. However, more than 47% of the private sector employment base in Methuen earn
average weekly wages below this benchmark.
EMPLOYMENT FORECASTS
Methodologies for estimating long-range demand for future commercial, industrial or office space in a
community or region generally rely on the use of employment projections. For the purposes of this
analysis, employment projections to 2030, prepared by the Metropolitan Area Planning Council (MAPC)
in January 2006, for the City of Methuen were utilized.
The MAPC projects that the number of jobs in Methuen could increase by approximately 2,161 from
13,663 in 2000 to 15,824 in 2030 – representing an increase of about 16%. Methuen should experience
job increases in all sectors with the exception of the manufacturing sector (318 jobs or 15%). The
education and health service sector is projected to increase by over 899 jobs representing about 42% of
the total jobs added to the community’s employment base. However, employment projections such as
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