Janitorial Wages in South Dakota (2026)

South Dakota's CPI-indexed $11.85/hr minimum wage (Jan 2026) is $4.47/hr below the $16.32/hr janitorial median, reflecting a market that has grown well ahead of the statutory floor — and Sioux Falls leads the state at a building/grounds mean of $17.38/hr.

CurrentStatute: BLS OEWS May 2024 (SOC 37-2011) + S.D. Codified Laws §60-11-3 (state minimum wage, CPI-indexed annually)Effective: $11.85/hr effective January 1, 2026 (CPI-indexed; $11.50/hr was the 2025 rate)Last reviewed: Q2 2026

South Dakota's janitorial workforce earns a statewide mean and median hourly wage of $16.32 (BLS OEWS May 2024, SOC 37-2011), a figure that comfortably exceeds the state's CPI-indexed minimum wage of $11.85/hr (effective January 1, 2026) by $4.47/hr. The state's wage index for this occupation reflects a healthy commercial market driven by Sioux Falls' growing financial services and healthcare sectors and a tight Plains labor market.

What employers should plan for

Floor: $11.85/hr effective January 1, 2026 (S.D. Codified Laws §60-11-3; CPI-indexed annually). This rate increased from $11.50/hr in 2025. The statutory floor is not binding for most commercial cleaners — the market median at $16.32/hr is the operative planning rate.
Local floors: No South Dakota city or county has enacted a local minimum wage ordinance above the state rate. Sioux Falls and Rapid City do not have separate municipal minimum wage requirements for private employers.
Loaded labor rate: Commercial cleaning bids in South Dakota run approximately $24–$30/hr total loaded cost (base wage + ~8% payroll taxes + workers' comp ~$2.00–$2.40/$100 + benefits + overhead). South Dakota's overall cost structure is moderate, with no union premium obligations.
Workers' comp class 9014 — South Dakota NCCI jurisdiction; estimated base rate approximately $2.00–$2.40/$100 payroll for commercial janitorial contractors (South Dakota WC rates are moderate for this class).

High-wage metros vs. low-wage metros

Sioux Falls SD-MN MSA is the clear wage leader, with the building and grounds cleaning group averaging $17.38/hr in May 2024 per BLS data — translating to an estimated $16.80–$17.20/hr for SOC 37-2011 specifically. Sioux Falls' economy — anchored by Sanford Health, Avera Health, Wells Fargo, and Citibank — creates strong institutional demand for cleaning services. Rapid City MSA (western SD; tourism, Black Hills, Ellsworth Air Force Base) runs lower with a building and grounds group mean of $16.03/hr, suggesting janitor wages in the $15.50–$16.00/hr range. Rural western and northern South Dakota markets lag further behind, with estimated wages in the $14.50–$15.50/hr range for the sparse commercial cleaning market in those areas.

Wage percentile distribution (BLS OEWS 2024)

10th percentile: $13.47/hr
25th percentile: $14.64/hr
Median (50th): $16.32/hr
75th percentile: $18.08/hr
90th percentile: $20.03/hr

South Dakota's distribution is notably compressed — a $6.56/hr spread from 10th to 90th, one of the tighter ranges in the Midwest. The 10th percentile at $13.47/hr is comfortably above the 2026 minimum wage of $11.85, confirming market rates rather than the statutory floor drive compensation. The tight distribution reflects the absence of union-premium contracts in the upper tail and a relatively homogeneous commercial cleaning market.

Union presence

South Dakota has no right-to-work statute but has maintained low union density (~5–6% private sector) throughout its history. SEIU 32BJ has no commercial cleaning operations in South Dakota. UFCW and Teamsters have limited presence in food processing and trucking sectors. State government facility workers at state universities and agencies have some AFSCME representation, but private commercial cleaning is entirely non-union. Pattern bargaining has no influence on South Dakota commercial cleaning wages.

What this means for bid math

South Dakota's $16.32/hr median provides a solid Midwest wage base for pricing commercial cleaning contracts. Total loaded labor runs approximately $25–$28/hr (1.55–1.75× base) — meaningfully lower than neighboring Minnesota ($18+/hr median) and competitive with Iowa and Nebraska. Sioux Falls contracts should budget $17.00–$17.50/hr as the competitive base rate; Rapid City bids can use $15.50–$16.00/hr. Annual CPI-indexed increases to the state minimum (typically $0.25–$0.40/hr/year) set a predictable floor trajectory but are not operationally binding given market rates. The $11.85/hr floor primarily matters for part-time or entry-level positions in smaller secondary cities.

Primary sources

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