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Employee Pay in the North East

Average gross weekly wages for full-time and part-time employees by residence and workplace

Pay
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Gross weekly pay in the North East LEP area

A survey of employers in April 2023 showed that for full-time employees working in the North East LEP area, average (median) gross weekly pay in 2023 was £600 and for part-time employees it was £239.

The North East full-time median was only 88% of the England equivalent (£646), in contrast the part-time median pay was very similar (England £241). The North East full-time figure was the second lowest amongst the eight-core city LEP areas, and just above that of the Tees Valley.

Among full-time employees in the North East, median pay increased by 25% between 2014 and 2023, a smaller increase than across England (30%). The percentage change for part-time employees was higher, with a North East increase of 48% was close to the England increase of 50%. These are nominal estimates that do not take account of inflation.

At the local authority level full-time workplace pay was highest in Newcastle and lowest in Gateshead. Differences at the parliamentary constituency level were larger, with Hexham having a resident full-time gross weekly pay of £711 compared to £574 in Houghton and Sunderland South.


Pay by sector and occupation

Those working as managers, directors and senior officials on average earn more than those working in other occupations both in the North East and in the UK. However, the pay gap between the North East and the rest of the UK is also the greatest within managers, directors and senior officials. The North East has lower median gross weekly pay compared to the UK for every occupation group. The lowest average paid occupation in the North East is caring, leisure and other service occupations. 

Professional, scientific and technical is the sector with the highest median pay in the North East (there is no data for mining & quarrying). Information and communication, manufacturing, and public administration are the next three best renumerated sectors. The most significant gap at the sectoral level with the UK is in the finance and insurance sector, which is the highest paid sector in the UK but below average in the North East.


Difference between resident and workplace gross weekly pay in theNorth East region constituencies (£s - 2022) 

Median resident pay is larger than the workplace equivalent in areas where many high earning residents work elsewhere. In places with large in-commutes of high earners the workplace median is higher. Differences are more noticeable at a constituency level.

Hexham and Newcastle upon Tyne North see the most significant increases in their resident income compared to their workplace income, highlighting many commuters reside in these areas

In the LA7 Newcastle upon Tyne central, Washington and Sunderland west and Wansbeck see the largest decrease in residential income compared to workplace income, suggesting that these are areas with large inflows of commuters