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Economic News Release
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Business Employment Dynamics Summary

For release 10:00 a.m. (ET), Wednesday, April 27, 2022                                   	USDL-22-0710

Technical Information:	(202) 691-6553  *  BDMInfo@bls.gov  *  www.bls.gov/bdm
Media Contact:	        (202) 691-5902  *  PressOffice@bls.gov

BUSINESS EMPLOYMENT DYNAMICS  THIRD QUARTER 2021

From June 2021 to September 2021, gross job gains from opening and expanding private-sector
establishments were 8.8 million, an increase of 654,000 jobs from the previous quarter, the U.S.
Bureau of Labor Statistics reported today. Over this period, gross job losses from closing and contracting
private-sector establishments were 7.5 million, an increase of 234,000 jobs from the previous quarter.
The difference between the number of gross job gains and the number of gross job losses yielded a net
employment gain of 1.3 million jobs in the private sector during the third quarter of 2021. (See tables A
and 1.)

The change in the number of jobs over time is the net result of increases and decreases in employment
that occur at all private businesses in the economy. Business Employment Dynamics (BED) statistics track
these changes in employment at private-sector establishments from the third month of one quarter to the
third month of the next. The difference between the number of gross job gains and the number of gross
job losses is the net change in employment. (See Technical Note.) The BED data series include gross job
gains and gross job losses by industry subsector, for the 50 states, the District of Columbia, Puerto Rico,
and the Virgin Islands, as well as gross job gains and gross job losses at the firm level by employer size
class.

Gross Job Gains

In the third quarter of 2021, gross job gains represented 7.2 percent of private-sector employment. Gross
job gains are the sum of increases in employment due to expansions at existing establishments and the
addition of new jobs at opening establishments. Gross job gains at expanding establishments totaled 7.1
million in the third quarter of 2021, an increase of 542,000 jobs compared to the previous quarter.
Opening establishments accounted for 1.7 million of the jobs gained in the third quarter of 2021, an
increase of 112,000 jobs from the previous quarter. (See tables A, 1, 2, and 3.)

Gross Job Losses

In the third quarter of 2021, gross job losses represented 6.2 percent of private-sector employment.
Gross job losses are the result of contractions in employment at existing establishments and the loss of
jobs at closing establishments. Contracting establishments lost 5.9 million jobs in the third quarter of
2021, a decrease of 45,000 jobs from the prior quarter. In the third quarter of 2021, closing
establishments lost 1.5 million jobs, an increase of 279,000 jobs from the previous quarter. (See
tables A, 1, 2, and 3.)

Establishment Births and Deaths

In the third quarter of 2021, the number of establishment births (a subset of the openings data)
increased by 5,000 to a total of 356,000 establishments. These new establishments accounted for
1.0 million jobs, an increase of 32,000 jobs from the previous quarter. Data for establishment deaths (a
subset of the closings data) are available through the fourth quarter of 2020, when 694,000 jobs were
lost at 218,000 establishments, a decrease of 3,000 jobs from the third quarter of 2020. (See
Technical Note and table 8.)


 Table A. Three-month private-sector gross job gains and losses, seasonally adjusted

---------------------------------------------------------------------------------------------
                                          |                  3 months ended                 
                 Category                 |    Sept.|    Dec. |    Mar. |    June |    Sept.
                                          |    2020 |    2020 |    2021 |    2021 |    2021
---------------------------------------------------------------------------------------------
                                          |              Levels (in thousands)              
                                          |--------------------------------------------------
 Gross job gains......................... |  10,868 |   8,821 |   8,154 |   8,141 |   8,795
        At expanding establishments...... |   8,817 |   7,124 |   6,644 |   6,597 |   7,139
        At opening establishments........ |   2,051 |   1,697 |   1,510 |   1,544 |   1,656
                                          |         |         |         |         |        
 Gross job losses........................ |   6,858 |   6,757 |   6,469 |   7,248 |   7,482
        At contracting establishments.... |   5,483 |   5,403 |   5,340 |   5,982 |   5,937
        At closing establishments........ |   1,375 |   1,354 |   1,129 |   1,266 |   1,545
                                          |         |         |         |         |        
 Net employment change (1)............... |   4,010 |   2,064 |   1,685 |     893 |   1,313
                                          |         |         |         |         |        
                                          |--------------------------------------------------
                                          |                 Rates (percent)                 
                                          |--------------------------------------------------
 Gross job gains......................... |     9.5 |     7.4 |     6.8 |     6.7 |     7.2
        At expanding establishments...... |     7.7 |     6.0 |     5.5 |     5.4 |     5.8
        At opening establishments........ |     1.8 |     1.4 |     1.3 |     1.3 |     1.4
                                          |         |         |         |         |        
 Gross job losses........................ |     6.0 |     5.7 |     5.4 |     5.9 |     6.2
        At contracting establishments.... |     4.8 |     4.6 |     4.5 |     4.9 |     4.9
        At closing establishments........ |     1.2 |     1.1 |     0.9 |     1.0 |     1.3
                                          |         |         |         |         |        
 Net employment change (1)............... |     3.5 |     1.7 |     1.4 |     0.8 |     1.0
---------------------------------------------------------------------------------------------
(1) The net employment change is the difference between total gross job gains and total gross 
    job losses. See the Technical Note for further information.


Industries

Gross job gains exceeded gross job losses in 10 of 13 industries in the third quarter of 2021. The service-
providing industries experienced a net job increase of 1.2 million in the third quarter of 2021. Within
the service-providing industries, the leisure and hospitality sector had the largest over-the-quarter net
employment gain, adding 612,000 jobs. This was the result of 1.8 million gross job gains and 1.2 million
gross job losses. The professional and business services sector showed a net job gain of 252,000 in the
third quarter of 2021. The goods-producing industries had a net job gain of 69,000 in the third quarter
of 2021. Of the goods-producing industries, the construction sector had a small net loss of 4,000 jobs. 
However, the manufacturing sector posted a net job gain of 56,000, and the natural resources and mining
sector added 17,000 jobs. (See table 3.)

Firm Size

In the third quarter of 2021, firms with 1-49 employees had a net employment increase of 298,000. Firms with
50-249 employees had a net employment gain of 229,000. Firms with 250 or more employees had a net employment
increase of 753,000. (See tables 4 and 5.)

States

Gross job gains exceeded gross job losses in 44 states, the District of Columbia, and Puerto Rico in the
third quarter of 2021. (See tables 6 and 7.)

For More Information

Additional information on gross job gains and gross job losses is available online at www.bls.gov/bdm. 
This information includes data for the levels and rates of gross job gains and gross job losses by firm 
size, not seasonally adjusted data and seasonally adjusted time series not presented in this release, 
charts of gross job gains and gross job losses by industry and firm size, and answers to frequently asked  
questions. Additional information about the Business Employment Dynamics data can be found 
in the Technical Note of this release or can be obtained by emailing BDMinfo@bls.gov.


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|                                                                                                         |
|          Coronavirus (COVID-19) Effect on Third Quarter 2021 Business Employment Dynamics               |
|                                                                                                         |
|   Data collection and processing methods have been impacted because of the COVID-19 pandemic. More      |
|   detail can be found at www.bls.gov/covid19/effects-of-covid-19-pandemic-on-business-employment        |
|   -dynamics.htm                                                                                         |
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_____________
The Business Employment Dynamics for Fourth Quarter 2021 are scheduled to be released on 
Wednesday, July 27, 2022 at 10:00 a.m. (ET).
Last Modified Date: April 27, 2022