From December 2015 to March 2016 gross job gains in Minnesota totaled 131,059, while gross job losses numbered 126,838, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Charlene Peiffer noted that gross job gains exceeded gross job losses by 4,221. During the previous quarter, gross job gains exceeded gross job losses by 7,807.

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 131,059 gross job gains in March 2016 were below the 145,443 gross job gains in the three-month period ended December 2015. During the past 5 years, gross job gains in Minnesota peaked at 151,773 in June 2014 and reached a low of 122,896 in March 2014. (See chart 1.) Minnesota’s 126,838 gross job losses in March 2016 were less than the 137,636 gross job losses recorded in December 2015. Over the past 5 years, gross job losses reached a high of 137,770 in September 2015 and a low of 116,059 in March 2011. (See chart 1.)

Gross job gains represented 5.4 percent of private sector employment in Minnesota in the quarter ended March 2016, while nationally gross job gains accounted for 5.8 percent of private sector employment. (See chart 2.) Minnesota’s rate of gross job losses represented 5.2 percent of private sector employment in March 2016, compared to the U.S. rate of 5.7 percent. With few exceptions, the rate of gross job losses in Minnesota has been low the national rate since March 2011.  

During the first quarter of 2016, gross job gains exceeded gross job losses in six industry sectors in Minnesota. For example, within leisure and hospitality, gross job gains exceeded gross jobs losses by 4,124. While more than 22,000 jobs were lost in closing and contracting establishments in the industry, nearly 27,000 jobs were created by opening and expanding establishments in the three-months ended in March 2016. In the education and health services industry, nearly 18,000 jobs were created in opening and expanding establishments and more than 14,000 jobs were lost in closing and contracting establishments. This resulted in a net employment gain of 3,529 jobs in the education and health services industry. (See table 1.)

In contrast, gross job losses exceeded gross job gains in five industry sectors. Within professional and business services, gross job losses exceeded gross job gains by 4,330. In each of the four other sectors— transportation and warehousing, manufacturing, construction, and wholesale trade—gross job losses exceeded gross job gains by less than 1,000.

Minnesota was among the seven states in the West North Central Census division. Five states in the division, including Minnesota, had gross job gains that exceeded gross job losses. (See table A.) Three states (North Dakota, South Dakota, and Iowa) had rates of gross job gains that were higher than the national rate. Missouri and Minnesota had rates of gross job gains that were lower than the 5.8-percent national rate. Four states, including Minnesota, had rates of gross job losses that were below the 5.7-percent national rate. Three states (North Dakota, South Dakota, and Kansas) had rates of gross job losses that were higher than 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 2016, seasonally adjusted

Area	Gross job gains		Gross job losses		Net change	Net change as a percent of total employment
	Total	As a percent of total employment	Total	As a percent of total employment
United States	6,977,000	5.8	6,783,000	5.7	194,000	0.1
West North Central (1)	497,061	—	483,942	—	13,119	—
Iowa	77,795	6.0	69,140	5.3	8,655	0.7
Kansas	64,980	5.8	66,896	5.9	-1,916	-0.1
Minnesota	131,059	5.4	126,838	5.2	4,221	0.2
Missouri	131,177	5.7	124,222	5.3	6,955	0.4
Nebraska	47,050	5.8	44,379	5.5	2,671	0.3
North Dakota	23,501	6.6	31,279	8.9	-7,778	-2.3
South Dakota	21,499	6.2	21,188	6.1	311	0.1
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 2016 is scheduled to be released on Wednesday, January 25, 2017.

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

Category	Gross job gains and job losses (3 months ended)					Gross job gains and job losses as a percent of employment (3 months ended)
	Mar. 2015	June 2015	Sept. 2015	Dec. 2015	Mar. 2016	Mar. 2015	June 2015	Sept. 2015	Dec. 2015	Mar. 2016
Total private (1)
Gross job gains	132,740	147,841	130,507	145,443	131,059	5.6	6.1	5.4	6.1	5.4
At expanding establishments	111,612	120,557	107,766	119,587	111,345	4.7	5.0	4.5	5.0	4.6
At opening establishments	21,128	27,284	22,741	25,856	19,714	0.9	1.1	0.9	1.1	0.8
Gross job losses	122,682	122,188	137,770	137,636	126,838	5.1	5.1	5.8	5.7	5.2
At contracting establishments	103,535	102,256	116,835	110,754	104,204	4.3	4.3	4.9	4.6	4.3
At closing establishments	19,147	19,932	20,935	26,882	22,634	0.8	0.8	0.9	1.1	0.9
Net employment change (2)	10,058	25,653	-7,263	7,807	4,221	0.5	1.0	-0.4	0.4	0.2
Construction
Gross job gains	15,621	15,884	12,431	13,790	14,228	13.9	13.8	10.8	12.0	12.2
At expanding establishments	12,456	12,508	10,387	11,240	11,672	11.1	10.9	9.0	9.8	10.0
At opening establishments	3,165	3,376	2,044	2,550	2,556	2.8	2.9	1.8	2.2	2.2
Gross job losses	12,513	11,445	14,433	14,336	14,569	11.1	10.0	12.6	12.4	12.5
At contracting establishments	10,141	9,297	11,912	11,314	12,115	9.0	8.1	10.4	9.8	10.4
At closing establishments	2,372	2,148	2,521	3,022	2,454	2.1	1.9	2.2	2.6	2.1
Net employment change (2)	3,108	4,439	-2,002	-546	-341	2.8	3.8	-1.8	-0.4	-0.3
Manufacturing
Gross job gains	9,274	10,732	9,763	10,710	8,582	3.0	3.4	3.1	3.4	2.7
At expanding establishments	8,769	9,553	8,930	9,907	7,807	2.8	3.0	2.8	3.1	2.5
At opening establishments	505	1,179	833	803	775	0.2	0.4	0.3	0.3	0.2
Gross job losses	8,828	9,956	10,335	10,500	9,033	2.7	3.2	3.3	3.3	2.9
At contracting establishments	7,736	9,082	9,476	8,855	8,184	2.4	2.9	3.0	2.8	2.6
At closing establishments	1,092	874	859	1,645	849	0.3	0.3	0.3	0.5	0.3
Net employment change (2)	446	776	-572	210	-451	0.3	0.2	-0.2	0.1	-0.2
Wholesale trade
Gross job gains	5,071	5,808	4,977	6,070	5,407	3.8	4.3	3.8	4.5	4.0
At expanding establishments	4,392	4,816	4,233	5,080	4,831	3.3	3.6	3.2	3.8	3.6
At opening establishments	679	992	744	990	576	0.5	0.7	0.6	0.7	0.4
Gross job losses	5,087	4,994	5,910	5,723	5,413	3.9	3.8	4.4	4.3	4.1
At contracting establishments	4,194	4,080	4,912	4,265	4,236	3.2	3.1	3.7	3.2	3.2
At closing establishments	893	914	998	1,458	1,177	0.7	0.7	0.7	1.1	0.9
Net employment change (2)	-16	814	-933	347	-6	-0.1	0.5	-0.6	0.2	-0.1
Retail trade
Gross job gains	17,108	21,040	18,261	16,526	16,980	5.9	7.1	6.2	5.6	5.7
At expanding establishments	15,069	18,117	15,350	14,473	15,135	5.2	6.1	5.2	4.9	5.1
At opening establishments	2,039	2,923	2,911	2,053	1,845	0.7	1.0	1.0	0.7	0.6
Gross job losses	16,185	14,988	20,264	17,886	14,900	5.5	5.1	6.8	6.0	5.0
At contracting establishments	14,324	12,668	18,721	15,404	12,781	4.9	4.3	6.3	5.2	4.3
At closing establishments	1,861	2,320	1,543	2,482	2,119	0.6	0.8	0.5	0.8	0.7
Net employment change (2)	923	6,052	-2,003	-1,360	2,080	0.4	2.0	-0.6	-0.4	0.7
Transportation and warehousing
Gross job gains	4,149	5,036	5,133	6,260	3,981	5.2	6.3	6.3	7.6	4.8
At expanding establishments	3,568	4,178	4,462	5,510	3,510	4.5	5.2	5.5	6.7	4.2
At opening establishments	581	858	671	750	471	0.7	1.1	0.8	0.9	0.6
Gross job losses	5,058	4,090	4,428	4,605	4,885	6.3	5.2	5.5	5.6	5.9
At contracting establishments	4,412	3,647	3,925	3,874	4,220	5.5	4.6	4.9	4.7	5.1
At closing establishments	646	443	503	731	665	0.8	0.6	0.6	0.9	0.8
Net employment change (2)	-909	946	705	1,655	-904	-1.1	1.1	0.8	2.0	-1.1
Information
Gross job gains	1,937	2,242	2,580	2,155	1,981	3.7	4.3	4.9	4.2	3.9
At expanding establishments	1,549	1,720	2,296	1,687	1,616	3.0	3.3	4.4	3.3	3.2
At opening establishments	388	522	284	468	365	0.7	1.0	0.5	0.9	0.7
Gross job losses	2,570	1,964	2,034	3,041	1,858	4.9	3.8	3.9	5.8	3.7
At contracting establishments	2,096	1,572	1,526	2,552	1,402	4.0	3.0	2.9	4.9	2.8
At closing establishments	474	392	508	489	456	0.9	0.8	1.0	0.9	0.9
Net employment change (2)	-633	278	546	-886	123	-1.2	0.5	1.0	-1.6	0.2
Financial activities
Gross job gains	6,858	8,016	6,572	6,998	6,236	3.9	4.5	3.6	3.9	3.5
At expanding establishments	5,723	6,454	5,609	5,670	5,327	3.3	3.6	3.1	3.2	3.0
At opening establishments	1,135	1,562	963	1,328	909	0.6	0.9	0.5	0.7	0.5
Gross job losses	6,046	5,751	6,416	6,344	5,410	3.5	3.2	3.6	3.6	3.0
At contracting establishments	4,683	4,337	5,326	4,624	4,276	2.7	2.4	3.0	2.6	2.4
At closing establishments	1,363	1,414	1,090	1,720	1,134	0.8	0.8	0.6	1.0	0.6
Net employment change (2)	812	2,265	156	654	826	0.4	1.3	0.0	0.3	0.5
Professional and business services
Gross job gains	20,080	24,719	19,308	24,660	18,923	5.4	6.7	5.4	6.9	5.3
At expanding establishments	16,762	19,411	15,376	20,213	15,600	4.5	5.3	4.3	5.7	4.4
At opening establishments	3,318	5,308	3,932	4,447	3,323	0.9	1.4	1.1	1.2	0.9
Gross job losses	21,750	21,917	23,102	22,143	23,253	5.9	6.0	6.4	6.2	6.5
At contracting establishments	18,010	18,726	18,688	17,122	18,891	4.9	5.1	5.2	4.8	5.3
At closing establishments	3,740	3,191	4,414	5,021	4,362	1.0	0.9	1.2	1.4	1.2
Net employment change (2)	-1,670	2,802	-3,794	2,517	-4,330	-0.5	0.7	-1.0	0.7	-1.2
Education and health services
Gross job gains	17,004	17,435	19,381	20,381	17,854	3.7	3.7	4.0	4.1	3.6
At expanding establishments	15,336	15,636	17,152	16,941	16,513	3.3	3.3	3.5	3.4	3.3
At opening establishments	1,668	1,799	2,229	3,440	1,341	0.4	0.4	0.5	0.7	0.3
Gross job losses	14,540	14,827	14,764	17,890	14,325	3.1	3.1	3.1	3.7	2.9
At contracting establishments	13,154	12,498	12,967	15,053	11,830	2.8	2.6	2.7	3.1	2.4
At closing establishments	1,386	2,329	1,797	2,837	2,495	0.3	0.5	0.4	0.6	0.5
Net employment change (2)	2,464	2,608	4,617	2,491	3,529	0.6	0.6	0.9	0.4	0.7
Leisure and hospitality
Gross job gains	25,112	26,782	22,933	27,073	26,923	9.8	10.2	8.8	10.3	10.2
At expanding establishments	19,550	20,158	16,628	19,909	21,025	7.6	7.7	6.4	7.6	8.0
At opening establishments	5,562	6,624	6,305	7,164	5,898	2.2	2.5	2.4	2.7	2.2
Gross job losses	20,424	21,990	25,799	25,417	22,799	8.0	8.5	9.9	9.7	8.7
At contracting establishments	16,691	17,878	20,940	19,892	17,880	6.5	6.9	8.0	7.6	6.8
At closing establishments	3,733	4,112	4,859	5,525	4,919	1.5	1.6	1.9	2.1	1.9
Net employment change (2)	4,688	4,792	-2,866	1,656	4,124	1.8	1.7	-1.1	0.6	1.5
Other services (3)
Gross job gains	6,331	6,927	5,566	7,076	6,250	7.6	8.2	6.5	8.3	7.3
At expanding establishments	4,988	5,471	4,517	5,718	5,133	6.0	6.5	5.3	6.7	6.0
At opening establishments	1,343	1,456	1,049	1,358	1,117	1.6	1.7	1.2	1.6	1.3
Gross job losses	5,541	5,889	6,491	6,166	6,043	6.6	6.9	7.6	7.2	7.1
At contracting establishments	4,468	4,508	5,346	4,778	4,597	5.3	5.3	6.3	5.6	5.4
At closing establishments	1,073	1,381	1,145	1,388	1,446	1.3	1.6	1.3	1.6	1.7
Net employment change (2)	790	1,038	-925	910	207	1.0	1.3	-1.1	1.1	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.