Report warns Trump administration policies are undercutting economy and Wisconsin workers

The report found the median wage for Wisconsin workers — $25.01 per hour — reached a record high for the second year in a row, though the report says this doesn’t represent the full story when it comes to workers’ wages. (Justin Sullivan | Getty Images)
The Trump administration’s policies are defining the current economic moment Wisconsin workers are facing — undercutting economic growth and undermining workers, according to the 2025 State of Working Wisconsin report.
Every year since 1996, the High Road Strategy Center, a University of Wisconsin-Madison nonprofit think tank, produces the report to present information on the state of work and jobs, including who is “winning” and “being left out” of the economy, though future reports may be in trouble.
Laura Dresser, a co-author of the report and High Road Strategy Center associate director, said in a statement that the 2025 data shows “some real strengths for working Wisconsin owing to the strong recovery from pandemic shutdowns.”
“Long-standing inequalities are still with us, and federal policy puts substantial clouds on the horizon,” Dresser said. “I’m especially concerned about the administration’s attacks on the integrity of federal economic data.”

Joel Rogers, director of the center and a UW-Madison professor, and Leslie Vasquez, outreach specialist and communications director, are also authors of the report that was released the Friday before Labor Day.
Dresser’s concern about federal jobs data stems from President Donald Trump’s decision last month to remove Erika McEntarfer, the director of the Bureau of Labor Statistics, from her position after a dismal jobs report that showed hiring slowed in July and was weaker in May and June than previously reported. He falsely claimed the reports were rigged as his justification.
The report warns that the approach being taken by Trump is a “disaster for economic decision making and for public trust.”
“Good economic decisions require reliable data,” the authors stated in the report. “Without reliable independent data, we cannot understand the economy nor, more narrowly, can the High Road Strategy Center continue confidently producing reports that draw on it. With hopes for continued national commitment to reliable data, and fears about the quality of what politically motivated ‘revisions’ will do, we will anxiously monitor changes in leadership and data at the BLS.”
Wage median reaches high, gaps ongoing
The report found the median wage for Wisconsin workers — $25.01 per hour — reached a record high for the second year in a row, though the report says this doesn’t represent the full story when it comes to workers’ wages.
While Wisconsin’s median wage reached a new high, a difference in wages exists among workers based on gender, race and ethnicity. Men’s median wage — $27.05 — in 2024 was more than $4 per hour higher than women’s median of $22.97, a 15% difference.
When race is considered, the differences become more stark. White men have the highest wages at a median of $28.54 per hour. The median for white women was about 17% less at $23.66 per hour.
The median wages for workers of color fell considerably below that of white men and women. Black men and women had about the same hourly median wage at $19.93 and $20.29 — 29% less than white men. Hispanic men had a median wage of $18.56 and Hispanic women a median of $17.57.
The report also found that over 800,000 workers — nearly a third of Wisconsin’s workforce — make less than $20 per hour.
The report says raising the minimum wage would be one way to help close these gaps. Wisconsin’s minimum wage is currently $7.25, a number in line with the federal minimum wage and that has been unchanged since 2009.
“Raising the minimum wage to $15 per hour would not only be politically popular but would directly or indirectly raise the wages of 231,800 (or 18%) of women workers, 36,200 (or 25.6%) Black workers, and 50,200 (or 26.6%) Hispanic workers in the state,” the report states.
In response to the report, Peter Rickman, president and business manager of the Milwaukee Area Service & Hospitality Workers (MASH) Union, also urged Wisconsin lawmakers to make increasing the state’s wages a priority this fall.
“The service and hospitality working class needs comprehensive living wage legislation with a $20 per hour floor, yearly adjustment for inflation, reduction of the tip penalty, and restoration of local control,” Rickman said. “Democrats and Republicans alike tell us that they want to represent the working class. Now is their time to show us by introducing and passing comprehensive living wage legislation.”
Meanwhile, Wisconsin reached a record of 3,058,500 jobs in July, but the state’s overall jobs growth has been weak.
Wisconsin has added about 1,400 jobs per month in 2025 — growing about half as fast as the national rate. According to the report, the state has 2% more jobs than before the pandemic, while the U.S. overall has seen 5% more jobs.
Unemployment remains low in Wisconsin with a 3.1% rate in July 2025. Wisconsin also has a 66.4% labor force participation rate, higher than the national average of 62.6%.
“The jobs and unemployment data are strong, but the economy is cooling off after the rapid recovery from pandemic shutdowns,” the report states.
It also finds the economic softening mirrors the national environment where analysts have warned of a slow down or even a recession.
Federal policies undermine growth
Federal policy changes under the Trump administration are contributing to these outlooks, according to the report.
“For workers, the warning signs and the brewing economic storm of tariffs, immigration crackdowns and federal disinvestment are especially concerning,” the report states. “While the current labor market is solid, these substantial disruptions may not only slow our overall economic growth, but also reduce the power of working people, as opportunities become more scarce.”
The report predicts that tariffs, which are taxes on imports to the U.S., will raise the price of goods for American consumers, the Trump administration’s deportation agenda will undermine the country’s economic strength by hobbling jobs growth and federal cuts to social safety nets will hit the state’s low-wage workers hardest.
“Economists and investors have observed that immigration changes may constrain economic growth even more than the high cost of tariffs. Employers are already complaining about the impact of the raids on their workforce and customers,” the report states.
According to the report, 320,000 immigrants reside in Wisconsin and generate $23 billion in economic output annually. In 2023, federal data found that immigrants constituted 7% of Wisconsin’s workforce.
Immigration and Customs Enforcement (ICE) arrests in Wisconsin have doubled under the Trump administration, and of late, the administration, which promised to focus on “criminals,” has been shifting towards deporting people with no criminal convictions and no pending criminal charges.
“Despite considerable economic and cultural contributions, immigrants face persistent barriers to fully participating in the workforce and community life,” the report states. “The current administration’s anti-immigrant policies have increased fear and dampened new immigration, constricting the Wisconsin economy where labor markets are already tight.”
The Trump administration has also approved cuts to federal Medicaid and food assistance programs, which Gov. Tony Evers’ administration estimates could cost Wisconsin over $284 million and puts thousands at risk of losing support.
“The federal budget, enacted this summer, contains hundreds of provisions with disturbing implications for working people. It holds enormous tax breaks for the rich,” the report states, noting that an analysis by the Institute Taxation and Economic Policy Wisconsin found the “annual tax break to Wisconsin’s richest 1% will be $67,000. And the tax break for the bottom fifth of households in the state? Just $70.”
“All of this, and more, is coming and will hit lower wage working families across the state especially hard,” the report states.
The upheaval in federal policies also comes as participation in unions in Wisconsin, which the report says helps with improving conditions for workers, are down as a result of state policies.
From 2011 to 2024, unionization in Wisconsin fell from 14% to 7%. Over the same time period, union coverage nationally only fell two percentage points from 13% to 11%.
That drop in Wisconsin, the report notes, comes after over a decade of public sector unions being disempowered in Wisconsin by Act 10, the state law signed by former Gov. Scott Walker in 2011 that significantly reduced collective bargaining powers of public sector employees.
In addition, the Trump administration has targeted unions, ending collective bargaining for a million federal employees — four out of five federal workers represented by unions at over a dozen federal agencies. He has also fired members of the National Labor Relations Board (NLRB), the agency tasked with protecting labor rights, for “unduly disfavoring the interests of employers.”
“Despite federal and state policies that have impeded unionization over the last half century,” the report states, “unions continue to provide workers with the means to improve wages and working conditions in their jobs.”
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