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News Release Information

16-88-CHI
Thursday, January 21, 2016

Contacts

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

Business Employment Dynamics in Minnesota — First Quarter 2015

From December 2014 to March 2015 gross job gains in Minnesota totaled 132,507, while gross job losses numbered 124,085, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Charlene Peiffer noted that gross job gains exceeded gross job losses by 8,422. During the previous quarter, gross job gains exceeded gross job losses by 7,988.

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.)

The 132,507 gross job gains in March 2015 was below the 136,923 gross job gains in the three-month period ended December 2014. During the past 5 years, gross job gains in Minnesota peaked at 152,221 in June 2014 and reached a low of 122,490 in March 2014. (See chart 1.) Minnesota’s 124,085 gross job losses in March 2015 was less than the 128,935 gross job losses recorded in December 2014. Over the past 5 years, gross job losses reached a high of 134,267 in September 2014 and a low of 112,245 in June 2010. (See chart 1.) The gross job losses in June 2010 were a series low for the state. (See chart 1.)

Gross job gains represented 5.6 percent of private sector employment in Minnesota in the quarter ended March 2015, while nationally gross job gains accounted for 5.9 percent of private sector employment. (See chart 2.) Since December 2007, the rate of gross job gains in Minnesota has been equal to or below the U.S. rate. Minnesota’s rate of gross job losses represented 5.2 percent of private sector employment in March 2015, compared to the U.S. rate of 5.7 percent. Since March 2012, Minnesota’s rate of gross job losses has been below the national rate.

During the first quarter of 2015, gross job gains exceeded gross job losses in seven industry sectors in Minnesota. For example, within leisure and hospitality, gross job gains exceeded gross jobs losses by 4,541. While more than 20,000 jobs were lost in closing and contracting establishments in the industry, more than 25,000 jobs were created by opening and expanding establishments in the 3 months ended in March 2015. In the construction industry, more than 15,000 jobs were created in opening and expanding establishments and more than 12,000 jobs were lost in closing and contracting establishments. This resulted in a net employment gain of 3,128 jobs in the construction industry. (See table 1.)

In contrast, gross job losses exceeded gross job gains in four industry sectors. Within professional and business services, gross job losses exceeded gross job gains by 2,367. In the three other sectors— transportation and warehousing, information services, and wholesale trade—gross job losses exceeded gross job gains by less than 1,000 jobs in each, respectively.

Minnesota was among the seven states in the West North Central Census division. Five states in the division (Iowa, Minnesota, Missouri, Nebraska, and South Dakota) had gross job gains that exceeded gross job losses. (See table A.) Three states (Kansas, Minnesota, and Missouri) had rates of gross job gains that were lower than the 5.9-percent national rate. Three states (North Dakota, South Dakota, and Nebraska) had a rate of gross job gains that was higher than the national rate and one state (Iowa) had a rate of gross job gains that was equal to the national rate. Four states (Iowa, Minnesota, Missouri and Nebraska) had rates of gross job losses that were below the 5.7-percent national rate. Two states (Kansas and North Dakota) had rates of gross job losses that were higher than the national rate and one state (South Dakota) had a rate of gross job losses that was equal to the national rate.

Table A. Private sector gross job gains and losses for the United States, West North Central Division, and West North Central states, March 2015, 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

6,947,0005.96,721,0005.7226,0000.2

West North Central (1)

496,970478,99817,972

Iowa

75,9905.968,7875.47,2030.5

Kansas

63,1095.765,2175.8-2,108-0.1

Minnesota

132,5075.6124,0855.28,4220.4

Missouri

127,6425.6122,9525.44,6900.2

Nebraska

48,5846.145,2295.63,3550.5

North Dakota

27,4007.133,2538.7-5,853-1.6

South Dakota

21,7386.319,4755.72,2630.6

Footnotes:
(1) Data were calculated for this release using published gross job gains and gross job losses for states located in the West North Central Census Division.
 

Note: Dash indicates data not available.
 

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/.

The Business Employment Dynamics release for second quarter 2015 is scheduled to be released on Wednesday, January 27, 2016.

Revisions to Business Employment Dynamics (BED) Data

Data in this release incorporate annual revisions to the BED series.  Annual revisions are published each year with the release of first quarter data. These revisions cover the last four quarters of not seasonally adjusted data and five years of seasonally adjusted data.

Additionally, all historical BED series back to third quarter 1992 have been revised for both seasonally adjusted and not seasonally adjusted series, to incorporate an administrative scope change. These revisions are primarily due to the reclassification of a number of establishments from private households (NAICS 814110) to services for the elderly and persons with disabilities (NAICS 624120). Private households are not within the scope of BED and, as a result, those establishments impacted by this industry reclassification are now within scope.


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.

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.

Table 1. Private sector gross job gains and losses by industry, Minnesota, 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)
Mar.
2014
June
2014
Sept.
2014
Dec.
2014
Mar.
2015
Mar.
2014
June
2014
Sept.
2014
Dec.
2014
Mar.
2015

Total private (1)

 

Gross job gains

122,490152,221131,482136,923132,5075.26.55.65.85.6

At expanding establishments

105,867119,036108,740115,568112,1304.55.14.64.94.7

At opening establishments

16,62333,18522,74221,35520,3770.71.41.00.90.9

Gross job losses

129,346118,383134,267128,935124,0855.65.15.75.45.2

At contracting establishments

106,35297,940112,855105,239102,9924.64.24.84.44.3

At closing establishments

22,99420,44321,41223,69621,0931.00.90.91.00.9

Net employment change (2)

-6,85633,838-2,7857,9888,422-0.41.4-0.10.40.4

Construction

 

Gross job gains

14,20316,04913,46814,74915,59513.614.912.413.513.8

At expanding establishments

12,33412,16411,10311,91412,65811.811.310.210.911.2

At opening establishments

1,8693,8852,3652,8352,9371.83.62.22.62.6

Gross job losses

12,56512,42513,78714,39212,46712.011.612.713.111.1

At contracting establishments

10,15310,25611,44910,97810,0459.79.610.510.08.9

At closing establishments

2,4122,1692,3383,4142,4222.32.02.23.12.2

Net employment change (2)

1,6383,624-3193573,1281.63.3-0.30.42.7

Manufacturing

 

Gross job gains

8,81612,01310,33011,2799,2142.93.83.33.62.9

At expanding establishments

8,32010,9809,72710,3748,7162.73.53.13.32.7

At opening establishments

4961,0336039054980.20.30.20.30.2

Gross job losses

9,1888,6829,5248,7598,7233.02.83.12.82.7

At contracting establishments

8,3337,9728,7418,1467,6612.72.62.82.62.4

At closing establishments

8557107836131,0620.30.20.30.20.3

Net employment change (2)

-3723,3318062,520491-0.11.00.20.80.2

Wholesale trade

 

Gross job gains

5,3186,3215,2875,6874,8484.14.84.04.23.6

At expanding establishments

4,6885,2194,4484,8274,2943.64.03.43.63.2

At opening establishments

6301,1028398605540.50.80.60.60.4

Gross job losses

5,0894,6645,7474,7254,9083.93.54.33.63.7

At contracting establishments

4,0233,8694,6473,9903,9743.12.93.53.03.0

At closing establishments

1,0667951,1007359340.80.60.80.60.7

Net employment change (2)

2291,657-460962-600.21.3-0.30.6-0.1

Retail trade

 

Gross job gains

15,97920,29317,68717,31216,9565.57.06.16.05.9

At expanding establishments

13,25017,18914,72415,15414,9684.65.95.15.35.2

At opening establishments

2,7293,1042,9632,1581,9880.91.11.00.70.7

Gross job losses

17,41815,95820,03917,33016,0166.05.56.96.05.5

At contracting establishments

15,64113,60218,17914,76114,2075.44.76.35.14.9

At closing establishments

1,7772,3561,8602,5691,8090.60.80.60.90.6

Net employment change (2)

-1,4394,335-2,352-18940-0.51.5-0.80.00.4

Transportation and warehousing

 

Gross job gains

3,6905,0074,3275,7924,1644.86.45.57.35.2

At expanding establishments

3,3924,1403,7275,2123,6204.45.34.76.64.5

At opening establishments

2988676005805440.41.10.80.70.7

Gross job losses

4,7763,8614,1853,7535,1526.14.95.34.76.5

At contracting establishments

3,9913,2953,5353,2394,4635.14.24.54.15.6

At closing establishments

7855666505146891.00.70.80.60.9

Net employment change (2)

-1,0861,1461422,039-988-1.31.50.22.6-1.3

Information

 

Gross job gains

1,4792,2931,9112,1801,8512.94.43.64.23.6

At expanding establishments

1,2921,7711,5371,8381,4792.53.42.93.52.9

At opening establishments

1875223743423720.41.00.70.70.7

Gross job losses

1,9451,9002,1102,0582,6973.73.64.03.95.2

At contracting establishments

1,6521,5581,6251,7452,0513.13.03.13.34.0

At closing establishments

2933424853136460.60.60.90.61.2

Net employment change (2)

-466393-199122-846-0.80.8-0.40.3-1.6

Financial activities

 

Gross job gains

5,4927,1236,2816,9727,3273.14.13.53.94.2

At expanding establishments

4,5765,5215,1445,3326,1752.63.22.93.03.5

At opening establishments

9161,6021,1371,6401,1520.50.90.60.90.7

Gross job losses

6,6835,4736,6167,1287,1113.83.23.84.04.1

At contracting establishments

5,1444,3165,4005,4895,1992.92.53.13.13.0

At closing establishments

1,5391,1571,2161,6391,9120.90.70.70.91.1

Net employment change (2)

-1,1911,650-335-156216-0.70.9-0.3-0.10.1

Professional and business services

 

Gross job gains

19,51624,56321,14822,94119,8015.57.06.06.45.4

At expanding establishments

16,96118,91018,09118,93216,7914.85.45.15.34.6

At opening establishments

2,5555,6533,0574,0093,0100.71.60.91.10.8

Gross job losses

22,70219,91220,40421,23322,1686.55.65.86.06.0

At contracting establishments

19,10116,28716,69116,41718,1185.54.64.74.64.9

At closing establishments

3,6013,6253,7134,8164,0501.01.01.11.41.1

Net employment change (2)

-3,1864,6517441,708-2,367-1.01.40.20.4-0.6

Education and health services

 

Gross job gains

16,29118,29917,94517,66817,1193.53.93.83.73.6

At expanding establishments

14,95415,09015,10215,64115,5983.23.23.23.33.3

At opening establishments

1,3373,2092,8432,0271,5210.30.70.60.40.3

Gross job losses

14,96515,15415,76514,92114,4093.23.23.33.13.1

At contracting establishments

12,25512,24413,97013,20812,6462.62.62.92.72.7

At closing establishments

2,7102,9101,7951,7131,7630.60.60.40.40.4

Net employment change (2)

1,3263,1452,1802,7472,7100.30.70.50.60.5

Leisure and hospitality

 

Gross job gains

23,24129,11623,21022,45525,2259.211.49.18.89.8

At expanding establishments

18,85119,59216,85718,03519,5957.57.76.67.17.6

At opening establishments

4,3909,5246,3534,4205,6301.73.72.51.72.2

Gross job losses

24,27222,32126,80424,62920,6849.78.710.49.68.0

At contracting establishments

18,04917,89321,11118,91216,5387.27.08.27.46.4

At closing establishments

6,2234,4285,6935,7174,1462.51.72.22.21.6

Net employment change (2)

-1,0316,795-3,594-2,1744,541-0.52.7-1.3-0.81.8

Other services (3)

 

Gross job gains

5,7037,5836,1625,7466,3366.99.17.36.87.6

At expanding establishments

4,9355,5525,0514,7494,9996.06.76.05.66.0

At opening establishments

7682,0311,1119971,3370.92.41.31.21.6

Gross job losses

5,5815,0326,3986,4735,5386.86.07.67.76.7

At contracting establishments

4,4124,0735,2355,2604,4055.44.96.26.35.3

At closing establishments

1,1699591,1631,2131,1331.41.11.41.41.4

Net employment change (2)

1222,551-236-7277980.13.1-0.3-0.90.9

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, seasonally adjusted
CategoryGross job gains as a percent of employment
(3 months ended)
Gross job losses as a percent of employment
(3 months ended)
Mar.
2014
June
2014
Sept.
2014
Dec.
2014
Mar.
2015
Mar.
2014
June
2014
Sept.
2014
Dec.
2014
Mar.
2015

United States (1)

6.16.56.36.65.95.75.85.85.75.7

Alabama

5.75.95.96.05.65.65.55.55.25.4

Alaska

10.810.89.510.610.49.711.010.410.49.2

Arizona

5.96.06.47.06.05.96.05.55.35.7

Arkansas

5.95.66.06.65.45.15.45.55.15.7

California

6.97.07.17.46.86.26.56.26.46.2

Colorado

6.87.27.37.06.95.96.16.16.16.1

Connecticut

5.15.75.25.44.85.04.95.35.25.1

Delaware

6.36.66.37.05.75.95.26.25.47.3

District of Columbia

5.96.35.75.55.55.35.65.45.35.4

Florida

6.57.27.37.16.35.86.26.16.05.6

Georgia

6.66.96.86.96.25.66.05.95.55.6

Hawaii

4.95.05.35.24.95.15.04.54.44.8

Idaho

8.47.77.58.09.17.27.97.37.07.0

Illinois

5.86.25.76.25.85.45.55.85.55.7

Indiana

5.35.95.46.35.35.65.05.35.05.3

Iowa

5.86.15.86.15.95.55.75.85.65.4

Kansas

5.76.15.76.25.75.65.65.85.45.8

Kentucky

6.26.26.26.65.56.05.65.55.36.0

Louisiana

6.86.66.86.86.15.96.55.95.86.7

Maine

6.87.86.77.26.57.16.57.07.27.0

Maryland

6.06.66.56.75.95.85.86.36.26.2

Massachusetts

5.56.35.76.05.15.25.35.55.25.4

Michigan

5.46.45.46.25.25.15.45.75.25.1

Minnesota

5.26.55.65.85.65.65.15.75.45.2

Mississippi

5.86.26.26.95.56.06.66.05.46.4

Missouri

5.66.05.76.35.65.65.35.75.15.4

Montana

7.38.28.18.59.18.07.78.18.07.2

Nebraska

5.86.16.06.26.15.65.95.75.65.6

Nevada

6.66.76.66.66.35.45.75.75.35.3

New Hampshire

5.96.95.96.95.75.96.16.36.05.7

New Jersey

6.07.06.36.95.86.35.96.46.26.0

New Mexico

6.56.86.67.26.46.56.26.16.16.5

New York

6.26.76.46.65.96.05.86.05.85.9

North Carolina

6.06.46.26.55.95.75.65.75.45.7

North Dakota

8.77.68.28.77.16.77.06.96.78.7

Ohio

5.66.15.56.15.45.55.25.55.15.6

Oklahoma

6.26.36.26.75.75.76.05.65.56.1

Oregon

7.06.97.07.16.96.26.46.26.35.7

Pennsylvania

5.25.65.25.64.94.94.85.14.95.2

Rhode Island

5.76.55.96.45.35.75.55.85.65.8

South Carolina

6.26.46.06.85.75.85.85.85.05.5

South Dakota

6.56.46.26.36.36.16.05.95.85.7

Tennessee

5.55.75.76.25.25.35.15.04.85.2

Texas

5.96.06.16.45.85.14.95.15.05.7

Utah

6.57.17.17.27.36.06.76.05.85.9

Vermont

6.97.36.97.56.86.86.97.36.76.8

Virginia

5.46.25.65.86.05.55.75.85.55.6

Washington

6.97.47.16.96.76.06.46.26.15.6

West Virginia

6.56.66.26.66.06.76.46.56.06.7

Wisconsin

5.35.85.55.85.45.15.05.65.25.1

Wyoming

8.68.78.39.38.98.18.38.58.08.9

Puerto Rico

5.35.55.66.45.36.56.36.04.96.4

Virgin Islands

5.06.26.66.25.56.06.35.65.65.9

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

 

Last Modified Date: Thursday, January 21, 2016