Rio Grande Valley still has Texas’ lowest wages despite billions in new investment, state report shows

Despite billions of dollars in announced industrial investment and thousands of promised jobs, workers in the Rio Grande Valley continue to earn the lowest wages in Texas, according to newly released state workforce data.

The Texas Workforce Commission’s latest Texas Labor Market Review shows the Lower Rio Grande Valley Workforce Development Area — which includes Hidalgo and Starr counties — had the state’s lowest median annual wage in 2025 at $35,971. The neighboring Cameron County Workforce Development Area ranked second lowest at $36,942. Both trailed the statewide median annual wage of $48,621.  

The findings come as the Valley experiences one of its busiest periods for economic development in recent memory, with projects ranging from Saronic Technologies’ planned autonomous shipyard at the Port of Brownsville to Rio Grande LNG, new manufacturing facilities, logistics investments and continued growth in health care and aerospace.

By comparison, the Capital Area Workforce Development Area, which includes Austin, posted the state’s highest median annual wage at $59,784, nearly $24,000 higher than the Lower Rio Grande Valley.  

The report notes that the state’s highest wages are concentrated around Texas’ largest metropolitan areas, while the lowest wages are found along the Rio Grande. It also points to the Permian Basin as an example of how high-paying industries such as oil and gas extraction can lift regional earnings above the state average.  

The wage data is based on the Texas Occupational Employment and Wage Statistics program, which compiles annual employment and wage information from employers across the state through the U.S. Bureau of Labor Statistics’ Occupational Employment and Wage Statistics survey. The figures reflect 2025 wages and are separate from the monthly employment estimates released by the agency.

The wage figures provide additional context to the Rio Grande Valley’s labor market, where employment has continued to grow but at a slower pace than the rest of Texas.

The new wage data suggests that while employment opportunities continue to grow, the region still faces a longstanding challenge of raising incomes.

The Valley has seen a steady stream of economic development announcements over the past year, including advanced manufacturing, energy, logistics and defense projects that local officials say will create higher-paying careers and diversify the regional economy. Several of those projects are expected to come online over the next several years.

Whether those investments translate into significantly higher regional wages remains to be seen.

The report also found that Dallas County recorded the highest median annual wage among Texas counties with more than 1 million jobs at $54,982, while Harris County followed at $50,320. Loving County, with fewer than 1,000 jobs, posted the state’s highest county median wage at $65,551.