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A look at a long-term trend for the Bureau's Birthday
June 27, 2024
Fourteen decades ago, the history of the U.S. Bureau of Labor Statistics officially began on June 27, 1884, when the Bureau was established within the Department of the Interior. Since its founding, BLS has documented many changes in the economic lives of individuals, families, establishments, industries, and the nation as a whole.
One long-term trend clearly seen in BLS data of the past several decades is the shift in employment from goods-producing industries (mining, construction, and manufacturing) to service-providing industries (trade, transportation, and utilities, information, financial activities, professional and business services, private education and health services, leisure and hospitality, other services, and government).
Percent distribution of total nonfarm employment in good-producing and service-providing industries, annual averages, 1939–2023, not seasonally adjusted
Year
Goods-producing industries
Service-providing industries
Total nonfarm employment
Percent of total nonfarm
Employment
Percent of total nonfarm
Employment
1939
37.6
11,511,000
62.4
19,134,000
30,645,000
1940
38.2
12,378,000
61.8
20,029,000
32,407,000
1941
40.8
14,940,000
59.2
21,660,000
36,600,000
1942
43.0
17,275,000
57.0
22,938,000
40,213,000
1943
44.0
18,738,000
56.0
23,837,000
42,574,000
1944
42.8
17,981,000
57.2
24,026,000
42,006,000
1945
40.3
16,308,000
59.7
24,203,000
40,510,000
1946
38.6
16,122,000
61.4
25,637,000
41,759,000
1947
39.4
17,314,000
60.6
26,631,000
43,945,000
1948
39.1
17,579,000
60.9
27,376,000
44,954,000
1949
37.6
16,464,000
62.4
27,379,000
43,843,000
1950
38.3
17,343,000
61.7
27,945,000
45,287,000
1951
39.0
18,703,000
61.0
29,227,000
47,930,000
1952
38.7
18,928,000
61.3
29,981,000
48,909,000
1953
39.2
19,733,000
60.8
30,577,000
50,310,000
1954
37.7
18,515,000
62.3
30,578,000
49,093,000
1955
37.9
19,234,000
62.1
31,510,000
50,744,000
1956
37.7
19,799,000
62.3
32,674,000
52,473,000
1957
37.1
19,669,000
62.9
33,290,000
52,959,000
1958
35.6
18,319,000
64.4
33,107,000
51,426,000
1959
35.9
19,163,000
64.1
34,211,000
53,374,000
1960
35.3
19,182,000
64.7
35,114,000
54,296,000
1961
34.5
18,647,000
65.5
35,458,000
54,105,000
1962
34.5
19,203,000
65.5
36,455,000
55,659,000
1963
34.2
19,385,000
65.8
37,379,000
56,764,000
1964
33.8
19,733,000
66.2
38,658,000
58,391,000
1965
33.8
20,595,000
66.2
40,279,000
60,874,000
1966
34.0
21,740,000
66.0
42,280,000
64,020,000
1967
33.2
21,882,000
66.8
44,049,000
65,931,000
1968
32.8
22,292,000
67.2
45,731,000
68,023,000
1969
32.5
22,893,000
67.5
47,619,000
70,512,000
1970
31.2
22,179,000
68.8
48,827,000
71,006,000
1971
30.3
21,602,000
69.7
49,734,000
71,335,000
1972
30.2
22,299,000
69.8
51,499,000
73,798,000
1973
30.5
23,450,000
69.5
53,462,000
76,912,000
1974
29.8
23,364,000
70.2
55,025,000
78,389,000
1975
27.7
21,318,000
72.3
55,751,000
77,069,000
1976
27.7
22,025,000
72.3
57,477,000
79,502,000
1977
27.8
22,972,000
72.2
59,620,000
82,593,000
1978
27.8
24,156,000
72.2
62,670,000
86,826,000
1979
27.8
24,997,000
72.2
64,936,000
89,933,000
1980
26.8
24,263,000
73.2
66,270,000
90,533,000
1981
26.4
24,118,000
73.6
67,179,000
91,297,000
1982
25.1
22,550,000
74.9
67,138,000
89,689,000
1983
24.5
22,110,000
75.5
68,186,000
90,295,000
1984
24.8
23,435,000
75.2
71,113,000
94,548,000
1985
24.2
23,585,000
75.8
73,947,000
97,532,000
1986
23.4
23,318,000
76.6
76,182,000
99,500,000
1987
23.0
23,470,000
77.0
78,647,000
102,116,000
1988
22.7
23,909,000
77.3
81,469,000
105,378,000
1989
22.3
24,045,000
77.7
84,006,000
108,051,000
1990
21.7
23,723,000
78.3
85,804,000
109,527,000
1991
20.8
22,588,000
79.2
85,837,000
108,425,000
1992
20.3
22,095,000
79.7
86,704,000
108,799,000
1993
20.0
22,219,000
80.0
88,712,000
110,931,000
1994
19.9
22,774,000
80.1
91,619,000
114,393,000
1995
19.7
23,156,000
80.3
94,245,000
117,401,000
1996
19.5
23,409,000
80.5
96,419,000
119,828,000
1997
19.4
23,886,000
80.6
99,055,000
122,941,000
1998
19.3
24,354,000
80.7
101,792,000
126,146,000
1999
18.9
24,465,000
81.1
104,763,000
129,228,000
2000
18.7
24,649,000
81.3
107,362,000
132,011,000
2001
18.1
23,873,000
81.9
108,200,000
132,073,000
2002
17.3
22,557,000
82.7
108,077,000
130,634,000
2003
16.7
21,816,000
83.3
108,514,000
130,330,000
2004
16.6
21,882,000
83.4
109,887,000
131,769,000
2005
16.6
22,190,000
83.4
111,843,000
134,033,000
2006
16.5
22,530,000
83.5
113,905,000
136,435,000
2007
16.1
22,233,000
83.9
115,748,000
137,981,000
2008
15.5
21,334,000
84.5
115,889,000
137,224,000
2009
14.1
18,557,000
85.9
112,738,000
131,296,000
2010
13.6
17,751,000
86.4
112,594,000
130,345,000
2011
13.7
18,048,000
86.3
113,867,000
131,914,000
2012
13.7
18,420,000
86.3
115,737,000
134,157,000
2013
13.7
18,738,000
86.3
117,625,000
136,363,000
2014
13.8
19,226,000
86.2
119,713,000
138,939,000
2015
13.8
19,610,000
86.2
122,214,000
141,824,000
2016
13.7
19,749,000
86.3
124,586,000
144,335,000
2017
13.7
20,084,000
86.3
126,523,000
146,607,000
2018
13.9
20,704,000
86.1
128,205,000
148,908,000
2019
13.9
21,037,000
86.1
129,867,000
150,904,000
2020
14.1
20,023,000
85.9
122,163,000
142,186,000
2021
13.9
20,350,000
86.1
125,935,000
146,285,000
2022
13.9
21,179,000
86.1
131,341,000
152,520,000
2023
13.8
21,598,000
86.2
134,453,000
156,051,000
In 1939 (the earliest year for which comparable data are readily available), goods-producing industries employed approximately 38 percent of workers on nonfarm payrolls, while service-providing industries employed the remaining 62 percent.
During WWII, goods-producing employment increased, peaking at 44 percent in 1943, while service-providing employment declined to 56 percent. After the war's end, in 1946, the goods-producing and service-providing percentages were 39 percent and 61 percent, respectively. By 1949 the distribution of employment had returned to exactly what it had been in 1939.
Starting in the 1950s, the share of workers in goods-producing industries trended downward, while the share in service-providing industries had a corresponding upward trend. By 2000, approximately 19 percent of total nonfarm employment was in goods-producing industries, with the remaining 81 percent in service-providing industries.
By 2009, the percentages were 14 percent and 86 percent, respectively. The shares of employment in goods-producing and service-providing industries have been roughly that in each of the past 15 years.
BLS has been in the business of producing gold-standard data on employment and more for 140 years. The first BLS Commissioner, Carroll Wright, described the Bureau’s mandate as “the fearless publication of the facts” and through adherence to rigorous standards and guidelines we will continue to do just that. Take the BLS ERAs Tour to read more highlights from the past 140 years.
United States Department of Labor
