As wages in California continue to rise, employers are cutting work hours to manage increasing labor costs, leading to the shortest average workweek in 14 years.

A review of state data shows that the typical private-sector worker in California was paid for 33.8 hours per week over the past year—a 2% decline from pre-pandemic levels in 2019.

While the reduction may seem small, it was widespread, affecting nine major industries. This shift comes after a turbulent five years that included a global pandemic, record inflation, and economic uncertainty.

At the same time, wages have climbed significantly. The average hourly wage in California reached $39—a 22% increase since 2019—bringing the average weekly paycheck to $1,327, a 19% jump.

Rising Pay, Shrinking Hours in Antelope Valley

In Antelope Valley, a region known for its diverse workforce and reliance on industries such as aerospace, logistics, and healthcare, wage growth has mirrored state trends.

According to local labor data, the average hourly wage in Antelope Valley has increased by approximately 20% over the past five years, but many businesses have responded by reducing hours to control costs.

• Retail and service jobs in areas like Lancaster and Palmdale have seen workweeks shrink by up to 3%, reflecting similar trends in the rest of the state.

• Healthcare jobs, a major employer in the region, have seen wages rise while workweeks remain steady at around 32–34 hours per week.

• The logistics sector, heavily tied to warehouse and distribution jobs, has seen weekly hours drop by nearly 2%, as companies adjust to economic shifts post-pandemic.

A Nationwide Trend, Not Just a California Issue

California is not alone in this shift. Across the U.S., the average workweek dropped to 34.3 hours, also marking a 14-year low.

However, wages nationwide have climbed 25% over five years, with the average weekly paycheck reaching $1,196—up 24% from 2019.

Which Industries Are Cutting Hours?

The fastest decline in work hours was seen in leisure and hospitality, which includes fast food and tourism. Workers in this sector averaged just 25.4 hours per week—the shortest on record—down 3% from 2019.

Other industries that saw similar reductions in weekly hours include:

• Trade, transport, and utilities: 33.7 hours (-3%)

• Personal services: 30.7 hours (-3%)

• Financial sector: 36.5 hours (-3%)

• Education and health: 33.2 hours (-2%)

• Construction: 36.5 hours (-1%)

• Business services: 36.3 hours (-1%)

• Information sector: 36.7 hours (-1%)

• Manufacturing: 39.5 hours (-0.1%)

Wage Growth: Who Benefited the Most?

Despite shorter workweeks, wages have surged, especially in lower-paying jobs. The leisure and hospitality sector saw the biggest wage increase, with workers now earning an average of $26 per hour, a 35% jump since 2019.

Other significant wage increases:

• Trade, transport, and utilities: $32 per hour (+29%)

• Manufacturing: $41 per hour (+25%)

• Construction: $46 per hour (+23%)

• Personal services: $34 per hour (+23%)

• Education and health: $38 per hour (+21%)

• Information sector: $60 per hour (+20%)

• Financial sector: $46 per hour (+19%)

• Business services: $47 per hour (+14%)

Impact of Inflation on Paychecks

Even with rising wages, the purchasing power of these larger paychecks has been diminished by inflation.

• California’s cost of living rose 21% over five years, according to the State Department of Finance.

• Nationwide inflation hit 23%, as reported by the Consumer Price Index (CPI).

This means that while workers are earning more, their real income (adjusted for inflation) has not increased significantly.

The Bigger Picture

• Employers are cutting hours to offset higher wages.

• Workers are earning more, but inflation is eroding gains.

• Industries reliant on hourly workers, like fast food, logistics, and healthcare, are most affected.

As California navigates a shifting labor market, workers and businesses must adapt to the new reality of higher pay—but fewer hours on the clock.