YELLOWKNIFE - Yellowknife is second to only Alberta's oil sands juggernaut Fort McMurray when it comes to wages for regional communities in Canada.

Chuck Butterfield, left, and Terry Greene assemble meat kebobs behind the Northern Fancy Meats counter. Greene is the owner and manager of the butcher shop. He said that it can be a problem keeping employees like Butterfield, when high-paying jobs with the government and the mines are available. - Erika Sherk/NNSL photo

According to Statistics Canada, the median income for Yellowknife in 2005 was $48,000.

The median is the point where one half of incomes are higher and the other half are lower

McMurray's median income was $48,900.

The territories as a whole, however, have the highest income compared to other provinces and territories - $37,500, which is $11,200 higher than the national average.

This is also up 3.7 per cent from the NWT's 2004 median income.

"Compared to what my friends make down South, it is definitely more here," said Yellowknifer Tim Sorge, assistant manager of the Bumper to Bumper auto parts shop.

Competing with the mines, oil and gas exploration, and other such high-paying occupations can be a burden on smaller companies.

However, Yellowknife business owner Pat Sorge, said that people are used to it.

"It affects everyone, but there's not much we can do about it," said Sorge.

He said loyal employees make a difference.

"I've been pretty lucky," said Sorge. "I've had some guys around for a few years. So far so good."

It's a family business, he said. His son is his assistant manager, which leads to a whole new level of employee loyalty - the blood-is-thicker-than-water kind.

At the business next door, Northern Fancy Meats, owner and manager Terry Greene said that his winning formula to keep employees around is healthy wages and a good working environment.

"I've trained a lot of kids," he said, "but a lot of them are gone after high school, to the mines and the government jobs.

"I pay my butchers a little more than the rest of Canada, that's for sure."

One long-time employee, Chuck Butterfield, has been working at the butcher shop since he was about 13.

Now 21, he said he said he has no immediate plans to leave.

"I enjoy it," he said. The mines hold no real temptation for him, he said, because he prefers to stay in Yellowknife.

In his field, he said, incomes are definitely higher in the North.

"Meat cutters in (Yellowknife) make a lot more than down South," he said.

If incomes are higher in the city, where are people spending it?

"Look around, all kinds of fancy boats, big houses... everybody's working," said Greene.

Tim Sorge agreed that the money can be seen out on the streets and waterways of Yellowknife.

"Everyone seems to have nice cars, skidoos, boats ... there are toys everywhere," he laughed.

Only people with an income from a job were included in the Stats Can survey.