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News Release Information

15-665-CHI
Wednesday, April 22, 2015

Contacts

Technical information:
Media contact:
  • (312) 353-1138

Business Employment Dynamics in Michigan – Second Quarter 2014

From March 2014 to June 2014 gross job gains in private sector establishments in Michigan totaled 226,224, while gross job losses numbered 192,512, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Charlene Peiffer noted that gross job gains exceeded gross job losses by 33,712. During the previous quarter, gross job gains exceeded gross job losses by 13,909.

The change in the number of jobs over time is the net result of increases and decreases in employment that occur at all businesses in the economy. Business Employment Dynamics (BED) statistics track these changes in employment at private business establishments from the third month of one quarter to the third month of the next. Gross job gains are the sum of increases in employment from expansions at existing establishments and the addition of new jobs at opening establishments. Gross job losses are the result of contractions in employment at existing establishments and the loss of jobs at closing establishments. The difference between the number of gross job gains and the number of gross job losses is the net change in employment. (See the Technical Note for more information.)

Michigan’s 226,224 gross job gains in June 2014 were at their highest level since September 2011 when they reached 228,944. During the period June 2009 to June 2014, quarterly gross job gains in the state exceeded 200,000 in all but two quarters. (See chart 1.) Michigan’s gross job losses of 192,512 in June was an increase of more than 13,000 from the 179,299 jobs lost in March 2014. March’s job loss level was Michigan’s third lowest since the series’ inception in September 1992.

Gross job gains represented 6.4 percent of private sector employment in Michigan in the quarter ended June, 2014, while nationally gross job gains accounted for 6.5 percent of private employment. (See chart 2.) The rate of gross job gains in Michigan has been at or below the U.S. rate in each quarter since December 2011. The Michigan rate of gross job loss as a percent of private sector employment, at 5.4 percent, was lower than the national rate of 5.6 percent in June 2014. The rate of gross job loss in Michigan has been at or below the U.S. rate in each quarter since September 2011.

During the second quarter 2014, Michigan gross job gains exceeded job losses in eight industry sectors. For example, more than 22,800 jobs were created by opening and expanding establishments in the manufacturing industry during the period, though over 13,100 jobs were lost at closing and contracting establishments. The resulting net gain of 9,728 jobs was the largest of any sector in the second quarter 2014. Other industries showing large net job gains included the leisure and hospitality industry and retail trade. Within leisure and hospitality, more than 38,800 jobs were created at opening and expanding establishments, while almost 32,000 jobs were lost at closing and contracting establishments, resulting in a net gain of 6,896. The retail trade industry recorded a net employment gain of 5,805, with over 30,300 gross job gains in opening and expanding establishments and over 24,500 job losses in closing and contracting establishments. (See table 1.)

In contrast, three industry sectors reported net employment losses. The education and health services industry reported a net loss of 1,179 jobs. While more than 23,600 jobs were added in expanding and opening establishments, those gains were more than offset by a loss of more than 24,800 jobs at closing and contracting establishments.   The transportation and warehousing industry also saw job losses greater than job gains, with a net loss of almost 800 jobs; other services experienced a net loss of 249 jobs.

In June 2014, gross job gains were larger than losses in all twelve of the North Central States. (See table A.) The rate of gross job gains was lower than the national rate of 6.5 percent in 10 of the 12 states. Two states, North Dakota and Minnesota, were higher or the same as the nation. For gross job losses, the rate was lower than the national rate of 5.6 percent for 7 of the 12 North Central States. Among the five states with a higher than average rate of gross job losses, North Dakota was the highest at 7.0 percent. Minnesota had the largest rate of net change in employment, up 1.4 percent.

Table A. Private sector gross job gains and losses for the United States and North Central States, 3 months ended June 2014, seasonally adjusted
AreaGross Job gainsGross Job lossesNet ChangeNet change
as a percent
of total
employment
TotalAs a
percent
of total
employment
TotalAs a
percent
of total
employment

United States (1)

7,4386.56,5225.69160.9

Illinois

301,6546.1271,3245.530,3300.6

Indiana

146,3725.9125,0255.021,3470.9

Iowa

78,6956.272,0905.76,6050.5

Kansas

67,5946.162,6285.74,9660.4

Michigan

226,2246.4192,5125.433,7121.0

Minnesota

152,8576.5118,5605.134,2971.4

Missouri

134,1126.0117,9425.316,1700.7

Nebraska

47,0676.046,5946.04730.0

North Dakota

28,2407.626,1177.02,1230.6

Ohio

270,1136.1234,6185.335,4950.8

South Dakota

21,5836.420,2386.01,3450.4

Wisconsin

139,6655.9119,5885.020,0770.9

Footnotes:
(1) Numbers in thousands.
 

Additional statistics and other information

BED data for the states have been included in table 2 of this release. For more information on the Business Employment Dynamics data, visit the BED web site at www.bls.gov/bdm/.

Information in this release will be made available to sensory impaired individuals upon request: voice phone: 202-691-5200; Federal Relay Service: 1-800-877-8339.

The Business Employment Dynamics for Third Quarter 2014 are scheduled to be released on Wednesday, April 29, 2015 at 9:00 a.m. (CDT).


Technical Note

The Business Employment Dynamics (BED) data are a product of a federal-state cooperative program known as Quarterly Census of Employment and Wages (QCEW), or the ES-202 program. The BED data are compiled from existing QCEW records. The QCEW reports are sent by the State Employment Security Agencies (SESAs) to BLS and form the basis of the Bureau’s QCEW program and establishment universe sampling frame. These reports are also used to produce the QCEW data on total employment and wages. Other important Bureau uses of the QCEW reports are in the Current Employment Statistics (CES) program. The CES program produces monthly estimates of employment, net changes, and earnings by detailed industry.

In the BED program, the QCEW records are linked across quarters to provide a longitudinal history for each establishment. The linkage process allows the tracking of net employment changes at the establishment level, which in turn allows the estimation of jobs gained at opening and expanding establishments and jobs lost at closing and contracting establishments.

The change in the number of jobs over time is the net result of increases and decreases in employment that occur at all businesses in the economy. BED statistics track these changes in employment at private business establishments from the third month of one quarter to the third month of the next. Gross job gains are the sum of increases in employment from expansions at existing establishments and the addition of new jobs at opening establishments. Gross job losses are the result of contractions in employment at existing establishments and the loss of jobs at closing establishments. The difference between the number of gross jobs gained and the number of gross jobs lost is the net change in employment.

Gross job gains and gross job losses are expressed as rates by dividing their levels by the average of employment in the current and previous quarters. The rates are calculated for the components of gross job gains and gross job losses and then summed to form their respective totals. These rates can be added and subtracted just as their levels can. For instance, the difference between the gross job gains rate and the gross job losses rate is the net growth rate.

The formal definitions of employment changes are as follows:

Openings.  These are either establishments with positive third month employment for the first time in the current quarter, with no links to the prior quarter, or with positive third month employment in the current quarter following zero employment in the previous quarter.

Expansions.  These are establishments with positive employment in the third month in both the previous and current quarters, with a net increase in employment over this period.

Closings.  These are either establishments with positive third month employment in the previous quarter, with no employment or zero employment reported in the current quarter.

Contractions.  These are establishments with positive employment in the third month in both the previous and current quarters, with a net decrease in employment over this period.

Table 1. Private sector gross job gains and losses by industry, Michigan, 2nd quarter 2014, seasonally adjusted
CategoryGross job gains and job losses
(3 months ended)
Gross job gains and job losses
as a percent of employment
(3 months ended)
June
2013
Sept.
2013
Dec.
2013
Mar.
2014
June
2014
June
2013
Sept.
2013
Dec.
2013
Mar.
2014
June
2014

Total private (1)

 

Gross job gains

216,782206,945210,828193,208226,2246.35.96.05.56.4

At expanding establishments

186,285171,250175,593155,898193,1215.44.95.04.45.5

At opening establishments

30,49735,69535,23537,31033,1030.91.01.01.10.9

Gross job losses

195,673200,593193,392179,299192,5125.75.85.65.15.4

At contracting establishments

155,353162,778159,844154,512160,2534.54.74.64.44.5

At closing establishments

40,32037,81533,54824,78732,2591.21.11.00.70.9

Net employment change (2)

21,1096,35217,43613,90933,7120.60.10.40.41.0

Construction

 

Gross job gains

16,48518,01116,47316,88718,40812.413.612.312.313.1

At expanding establishments

14,51514,87813,55013,04516,11910.911.210.19.511.5

At opening establishments

1,9703,1332,9233,8422,2891.52.42.22.81.6

Gross job losses

15,90514,27016,90814,95013,66812.010.812.510.99.7

At contracting establishments

12,38310,86813,52213,26611,3699.38.210.09.78.1

At closing establishments

3,5223,4023,3861,6842,2992.72.62.51.21.6

Net employment change (2)

5803,741-4351,9374,7400.42.8-0.21.43.4

Manufacturing

 

Gross job gains

22,76423,16320,24323,51622,8874.14.23.64.14.0

At expanding establishments

20,68621,16318,56222,13521,3213.73.83.33.93.7

At opening establishments

2,0782,0001,6811,3811,5660.40.40.30.20.3

Gross job losses

16,34119,05720,66613,70613,1593.03.43.62.42.3

At contracting establishments

13,80915,00918,72512,50011,4102.52.73.32.22.0

At closing establishments

2,5324,0481,9411,2061,7490.50.70.30.20.3

Net employment change (2)

6,4234,106-4239,8109,7281.10.80.01.71.7

Wholesale trade

 

Gross job gains

7,7297,1407,6816,8748,0344.74.44.64.24.8

At expanding establishments

6,7446,1726,7955,7927,1574.13.84.13.54.3

At opening establishments

9859688861,0828770.60.60.50.70.5

Gross job losses

6,6336,8676,6736,1815,3924.14.14.03.73.2

At contracting establishments

5,0705,1515,2865,1654,5203.13.13.23.12.7

At closing establishments

1,5631,7161,3871,0168721.01.00.80.60.5

Net employment change (2)

1,0962731,0086932,6420.60.30.60.51.6

Retail trade

 

Gross job gains

29,25524,53026,55323,49230,3136.45.35.85.16.6

At expanding establishments

26,16121,65023,03120,07526,1095.74.75.04.45.7

At opening establishments

3,0942,8803,5223,4174,2040.70.60.80.70.9

Gross job losses

23,27925,99925,70324,43424,5085.15.75.65.35.3

At contracting establishments

19,45323,14222,13322,08621,0074.35.14.84.84.5

At closing establishments

3,8262,8573,5702,3483,5010.80.60.80.50.8

Net employment change (2)

5,976-1,469850-9425,8051.3-0.40.2-0.21.3

Transportation and warehousing

 

Gross job gains

5,2975,0106,7405,5856,0065.24.96.55.35.7

At expanding establishments

4,4243,9756,2434,4355,0984.33.96.04.24.8

At opening establishments

8731,0354971,1509080.91.00.51.10.9

Gross job losses

4,7864,7384,2155,6236,7874.74.64.15.36.3

At contracting establishments

3,7883,8033,4084,8105,4673.73.73.34.55.1

At closing establishments

9989358078131,3201.00.90.80.81.2

Net employment change (2)

5112722,525-38-7810.50.32.40.0-0.6

Information

 

Gross job gains

3,1442,8032,8052,5432,7185.75.15.14.54.8

At expanding establishments

2,3761,9231,8871,7421,9404.33.53.43.13.4

At opening establishments

7688809188017781.41.61.71.41.4

Gross job losses

2,4582,6772,4922,1722,3074.44.84.63.84.0

At contracting establishments

1,6162,2332,0731,8081,5482.94.03.83.22.7

At closing establishments

8424444193647591.50.80.80.61.3

Net employment change (2)

6861263133714111.30.30.50.70.8

Financial activities

 

Gross job gains

9,2387,4688,1087,3229,2724.84.04.33.94.9

At expanding establishments

7,8276,0026,4085,8677,7094.13.23.43.14.1

At opening establishments

1,4111,4661,7001,4551,5630.70.80.90.80.8

Gross job losses

7,1618,5518,6998,2307,9213.84.54.64.44.1

At contracting establishments

5,4436,7157,0407,0006,3092.93.53.73.73.3

At closing establishments

1,7181,8361,6591,2301,6120.91.00.90.70.8

Net employment change (2)

2,077-1,083-591-9081,3511.0-0.5-0.3-0.50.8

Professional and business services

 

Gross job gains

42,46444,48945,80735,88745,4717.07.47.65.87.3

At expanding establishments

36,82036,55638,09528,47138,5296.16.16.34.66.2

At opening establishments

5,6447,9337,7127,4166,9420.91.31.31.21.1

Gross job losses

45,35143,32637,42631,87442,5077.47.26.15.26.8

At contracting establishments

37,19635,10930,09626,31036,1626.15.84.94.35.8

At closing establishments

8,1558,2177,3305,5646,3451.31.41.20.91.0

Net employment change (2)

-2,8871,1638,3814,0132,964-0.40.21.50.60.5

Education and health services

 

Gross job gains

23,44623,08922,44020,51923,6393.83.83.63.33.8

At expanding establishments

19,68120,29619,65117,16019,6633.23.33.22.83.2

At opening establishments

3,7652,7932,7893,3593,9760.60.50.40.50.6

Gross job losses

22,64420,98920,58024,52824,8183.63.33.33.94.0

At contracting establishments

18,78917,67316,98321,30621,1303.02.82.73.43.4

At closing establishments

3,8553,3163,5973,2223,6880.60.50.60.50.6

Net employment change (2)

8022,1001,860-4,009-1,1790.20.50.3-0.6-0.2

Leisure and hospitality

 

Gross job gains

37,83331,15135,50132,74238,8829.47.88.98.29.6

At expanding establishments

32,10923,27627,28123,63332,9538.05.86.85.98.1

At opening establishments

5,7247,8758,2209,1095,9291.42.02.12.31.5

Gross job losses

32,50337,08933,30230,24631,9868.19.38.37.57.9

At contracting establishments

24,93330,29327,35325,61925,1056.27.66.86.46.2

At closing establishments

7,5706,7965,9494,6276,8811.91.71.51.11.7

Net employment change (2)

5,330-5,9382,1992,4966,8961.3-1.50.60.71.7

Other services (3)

 

Gross job gains

9,5999,1168,2338,51910,1018.17.66.87.08.3

At expanding establishments

7,3406,8346,6166,4367,8106.25.75.55.36.4

At opening establishments

2,2592,2821,6172,0832,2911.91.91.31.71.9

Gross job losses

9,1128,0617,8367,78110,3507.76.76.56.48.5

At contracting establishments

6,7336,1266,0596,2759,0015.75.15.05.27.4

At closing establishments

2,3791,9351,7771,5061,3492.01.61.51.21.1

Net employment change (2)

4871,055397738-2490.40.90.30.6-0.2

Footnotes:
(1) Includes unclassified sector not shown separately.
(2) The net employment change is the difference between total gross job gains and total gross job losses. See the Technical Note for further information.
(3) Except public administration.
 

Table 2. Private sector gross job gains and losses as a percent of total employment by state, 2nd quarter 2014, seasonally adjusted
StateGross job gains as a percent of employment
(3 months ended)
Gross job losses as a percent of employment
(3 months ended)
Jun.
2013
Sep.
2013
Dec.
2013
Mar.
2014
Jun.
2014
Jun.
2013
Sep.
2013
Dec.
2013
Mar.
2014
Jun.
2014

United States (1)

6.46.36.46.06.55.85.85.85.75.6

Alabama

6.05.56.05.65.95.65.75.35.75.5

Alaska

10.79.810.110.810.99.910.110.49.610.9

Arizona

6.26.46.75.76.05.95.55.46.06.0

Arkansas

5.35.86.05.85.66.05.75.55.04.9

California

7.06.97.36.87.06.56.26.36.16.4

Colorado

7.07.06.96.77.36.16.36.15.96.1

Connecticut

5.65.35.35.15.64.85.45.45.04.8

Delaware

6.56.66.66.36.55.86.05.85.95.2

District of Columbia

6.26.05.85.96.45.75.15.45.55.7

Florida

7.17.07.06.57.26.46.26.05.86.2

Georgia

6.66.66.86.56.86.16.05.85.65.9

Hawaii

5.25.65.44.84.95.14.74.55.15.1

Idaho

8.07.78.38.47.77.47.27.37.28.0

Illinois

5.85.75.85.86.15.35.75.35.55.5

Indiana

5.75.66.15.35.95.35.45.15.55.0

Iowa

6.05.96.05.86.25.45.55.55.55.7

Kansas

6.26.16.25.76.15.65.75.35.55.7

Kentucky

5.96.06.56.16.25.75.55.45.95.5

Louisiana

6.36.96.76.76.66.66.06.15.86.4

Maine

8.17.47.06.77.86.47.37.57.06.5

Maryland

6.26.16.45.96.66.16.16.35.85.8

Massachusetts

6.15.55.45.36.35.05.55.35.05.3

Michigan

6.35.96.05.56.45.75.85.65.15.4

Minnesota

6.15.65.65.36.55.25.55.65.75.1

Mississippi

5.96.26.65.76.16.15.85.65.96.7

Missouri

5.95.86.05.66.05.35.75.55.55.3

Montana

8.07.78.27.28.27.97.67.57.97.7

Nebraska

6.06.36.35.96.05.45.75.75.66.0

Nevada

6.76.06.36.66.75.65.85.35.25.6

New Hampshire

6.86.06.85.76.75.96.55.85.96.1

New Jersey

6.56.26.45.96.95.76.26.46.25.8

New Mexico

6.96.76.96.36.66.76.76.46.46.1

New York

6.56.46.66.26.65.86.16.06.05.7

North Carolina

6.36.36.45.96.45.85.85.75.65.5

North Dakota

7.38.38.28.67.67.66.96.96.87.0

Ohio

6.25.66.05.66.15.35.65.35.65.3

Oklahoma

6.46.46.26.16.25.95.76.26.06.1

Oregon

7.27.16.97.06.96.36.36.66.16.4

Pennsylvania

5.35.25.45.25.65.25.25.24.94.8

Rhode Island

6.56.26.25.76.55.76.15.75.75.5

South Carolina

6.36.26.76.26.55.45.65.55.85.7

South Dakota

6.56.26.96.36.45.76.36.06.16.0

Tennessee

5.65.56.35.45.65.35.34.75.35.0

Texas

5.86.06.15.96.05.15.25.35.14.9

Utah

7.06.97.46.57.06.56.46.16.06.6

Vermont

7.47.17.66.77.47.77.46.66.86.9

Virginia

5.65.95.75.36.25.65.95.65.55.5

Washington

7.37.06.96.67.36.16.66.35.95.5

West Virginia

6.26.06.56.36.66.66.46.46.76.4

Wisconsin

5.85.55.75.35.95.35.45.25.15.0

Wyoming

8.68.49.48.48.79.18.28.18.08.2

Puerto Rico

6.06.16.65.15.66.06.65.26.46.3

Virgin Islands

4.95.75.54.96.16.86.56.06.16.4

Footnotes:
(1) Totals for the United States do not include data for Puerto Rico or the Virgin Islands.
 

 

Last Modified Date: Wednesday, April 22, 2015