Total nonfarm employment in the Detroit-Warren-Dearborn Metropolitan Statistical Area stood at 1,974,700 in June 2015, up 49,400 or 2.6 percent over the year, the U.S. Bureau of Labor Statistics reported today. During the same period, the national job count increased 2.1 percent. Regional Commissioner Charlene Peiffer noted that the Detroit metropolitan area has had over-the-year employment increases each month since June 2010. (See chart 1 and table 1; the Technical Note at the end of this release contains metropolitan area definitions. All data in this release are not seasonally adjusted; accordingly, over-the-year analysis is used throughout.)

The Detroit metropolitan area is made up of two metropolitan divisions—separately identifiable employment centers within the larger metropolitan area. The Warren-Troy-Farmington Hills division, which accounted for 62.1 percent of the metropolitan area's employment, added 35,200 jobs from June a year ago, a gain of 3.0 percent. The Detroit-Dearborn-Livonia Metropolitan Division, the area’s other employment center, added 14,200 jobs over the 12-month period, a 1.9-percent rise.

Industry employment

The largest over-the-year employment increase in the Detroit metropolitan area in June 2015 was in professional and business services, the area’s largest supersector, up 11,900 or 3.2 percent. The bulk of this gain occurred in the Warren division which added 10,400 jobs over the year. Nationwide, employment in professional and business services rose 3.5 percent from the previous June. (See chart 2.)

Education and health services experienced the second largest increase in the Detroit area, adding 10,100 jobs, a 3.4-percent gain from June a year ago. Both of Detroit’s metropolitan divisions posted employment gains in this supersector, with the Detroit division adding 6,500 jobs (5.1 percent) and the Warren division adding 3,600 jobs (2.1 percent) over the year. Nationally, employment in the education and health services supersector increased 2.7 percent from June 2014.

Mining, logging, and construction experienced the third largest employment gain in the Detroit area, up 10,000 from June 2014 to June 2015. The 15.3-percent rate of job growth was the highest among the local area supersectors that posted annual employment gains from June a year ago. While both divisions added jobs, the rate of job growth in Warren (18.0 percent) was faster-paced than that of Detroit (9.5 percent).   

Two other supersectors gained more than 7,500 jobs over the year in the local area. Manufacturing added 8,500 jobs, up 3.5 percent from the previous June. Nationwide, manufacturing employment grew by 1.3 percent. Trade, transportation, and utilities, Detroit’s second largest supersector, gained 7,700 jobs, a 2.2-percent increase. Nationally, the rate of job growth for this supersector was 2.0 percent.

Locally, financial activities added 3,200 jobs for a gain of 3.0 percent while leisure and hospitality employment rose by 2,400 or 1.2 percent. Nationwide, employment in financial activities increased 2.0 percent and leisure and hospitality employment rose 2.9 percent from June 2014.

Government lost 3,400 jobs in the local area from June 2014 to June 2015. The Warren division lost 1,800 jobs (-1.8 percent) and the Detroit division lost 1,600 jobs (-1.9 percent). The local area’s rate of job decline in this supersector, at 1.8 percent, compared to a 0.2-percent rate of job growth nationwide.

Metropolitan area employment data for July 2015 are scheduled to be released on Tuesday, September 1, 2015.

Technical Note

This release presents nonfarm payroll employment estimates from the Current Employment Statistics (CES) program. The CES survey is a Federal-State cooperative endeavor between State employment security agencies and the Bureau of Labor Statistics.

Definitions. Employment data refer to persons on establishment payrolls who receive pay for any part of the pay period which includes the 12th of the month. Persons are counted at their place of work rather than at their place of residence; those appearing on more than one payroll are counted on each payroll. Industries are classified on the basis of their principal activity in accordance with the 2012 version of the North American Industry Classification System.

Method of estimation. The employment data are estimated using a "link relative" technique in which a ratio (link relative) of current-month employment to that of the previous month is computed from a sample of establishments reporting for both months. The estimates of employment for the current month are obtained by multiplying the estimates for the previous month by these ratios. Small-domain models are used as the official estimators for approximately 39 percent of CES published series which have insufficient sample for direct sample-based estimates.

Annual revisions. Employment estimates are adjusted annually to a complete count of jobs, called benchmarks, derived principally from tax reports which are submitted by employers who are covered under state unemployment insurance (UI) laws. The benchmark information is used to adjust the monthly estimates between the new benchmark and the preceding one and also to establish the level of employment for the new benchmark month. Thus, the benchmarking process establishes the level of employment, and the sample is used to measure the month-to-month changes in the level for the subsequent months.

Reliability of the estimates. The estimates presented in this release are based on sample survey and administrative data and thus are subject to sampling and other types of errors. Sampling error is a measure of sampling variability—that is, variation that occurs by chance because a sample rather than the entire population is surveyed. Survey data are also subject to nonsampling errors, such as those which can be introduced into the data collection and processing operations. Estimates not directly derived from sample surveys are subject to additional errors resulting from the special estimation processes used. The sums of individual items may not always equal the totals shown in the same tables because of rounding.

Employment estimates. Measures of sampling error for state CES data at the supersector level are available on the BLS Web site at www.bls.gov/sae/additional-resources/reliability-of-state-and-area-estimates.htm. Information on recent benchmark revisions for states is available at www.bls.gov/sae/.

Area definitions. The substate area data published in this release reflect the delineations issued by the U.S. Office of Management and Budget on February 28, 2013. A detailed list of the geographic definitions is available at www.bls.gov/lau/lausmsa.htm.

The Detroit-Warren-Dearborn, Mich. Metropolitan Statistical Area (MSA) includes Lapeer, Livingston, Macomb, Oakland, St. Clair, and Wayne Counties in Michigan.

• The Detroit-Dearborn-Livonia, Mich. Metropolitan Division (MD) includes Wayne County in Michigan.
• The Warren-Troy-Farmington Hills, Mich. Metropolitan Division (MD) includes Lapeer, Livingston, Macomb, Oakland, and St. Clair Counties in Michigan.

Additional information

More complete information on the technical procedures used to develop these estimates and additional data appear in Employment and Earnings, which is available online at www.bls.gov/opub/ee/home.htm. Industry employment data for states and metropolitan areas from the Current Employment Statistics program are also available in the above mentioned news releases and from the Internet at www.bls.gov/sae/.

Information in this release will be made available to sensory impaired individuals upon request. Voice phone: (202) 691-5200; Federal Relay Service: (800) 877-8339.