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News Release Information

17-120-CHI
Thursday, March 02, 2017

Contacts

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

Business Employment Dynamics in Michigan — Second Quarter 2016

From March 2016 to June 2016 gross job gains in Michigan totaled 218,793, while gross job losses numbered 194,637, 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 24,156. During the previous quarter, gross job gains exceeded gross job losses by 17,011.

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 218,793 gross job gains in June 2016 were above the 196,117 gross job gains in the previous three-month period ended March 2016. Michigan’s 194,637 gross job losses in June 2016 were more than the 179,106 gross job losses recorded in March 2016. (See chart 1.)

Gross job gains represented 5.9 percent of private sector employment in Michigan in the quarter ended June 2016, while nationally gross job gains accounted for 6.2 percent of private sector employment. (See chart 2.) Since December 2011, the rate of gross job gains in Michigan has been below the U.S. rate each quarter. Michigan’s rate of gross job losses as a percent of private sector employment was 5.3 percent in June 2016, below the national rate of 6.0 percent. Michigan’s rate of gross job losses has been equal to or below the national rate each quarter since September 2011.

During the second quarter of 2016, gross job gains exceeded gross job losses in 10 industry sectors in Michigan. For example, within manufacturing, gross job gains exceeded gross jobs losses by 6,355. While almost 16,000 jobs were lost in closing and contracting establishments in the industry, more than 22,000 jobs were created by opening and expanding establishments in the 3-months ended in June 2016. In retail trade, more than 28,000 jobs were created in opening and expanding establishments and more than 24,000 jobs were lost in closing and contracting establishments. Two other sectors had net employment gains of more than 3,000 during the second quarter of 2016—leisure and hospitality and education and health services. (See table 1.) In the remaining industry sectors, gross job gains exceeded gross job losses by approximately 2,000 or less.

In contrast, gross job losses exceeded gross job gains in one industry sector. Within transportation and warehousing, gross job losses exceeded gross job gains by less than 1,000.

Michigan was one of the two states in the East North Central Census division that had gross job gains that exceeded gross job losses in the quarter ended June 2016. (See table A.) All five states in the division had rates of gross job gains that were lower than the 6.2-percent national rate and rates of gross job losses that were lower than the 6.0-percent national rate.

Table A. Private sector gross job gains and losses for the United States, East North Central Division, and East North Central states, June 2016, 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

7,463,0006.27,156,0006.0307,0000.2

East North Central (1)

1,051,0691,030,35120,718

Illinois

299,6995.9301,5595.9-1,8600.0

Indiana

137,0245.2134,8135.22,2110.0

Michigan

218,7935.9194,6375.324,1560.6

Ohio

257,8095.6260,0945.6-2,2850.0

Wisconsin

137,7445.7139,2485.7-1,5040.0

Footnotes:
(1) Data were calculated for this release using published gross job gains and gross job losses for states located in the East 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 for third quarter 2016 are scheduled to be released on Wednesday, April 26, 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 second 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, Michigan, 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
2015
Sept
2015
Dec.
2015
Mar.
2016
June
2016
June
2015
Sept
2015
Dec.
2015
Mar.
2016
June
2016

Total private (1)

 

Gross job gains

219,500194,705218,432196,117218,7936.15.46.15.45.9

At expanding establishments

193,272163,702182,977163,984192,6005.44.55.14.55.2

At opening establishments

26,22831,00335,45532,13326,1930.70.91.00.90.7

Gross job losses

188,160203,207192,084179,106194,6375.25.65.34.95.3

At contracting establishments

159,006169,042158,778158,343162,4184.44.74.44.34.4

At closing establishments

29,15434,16533,30620,76332,2190.80.90.90.60.9

Net employment change (2)

31,340-8,50226,34817,01124,1560.9-0.20.80.50.6

Construction

 

Gross job gains

17,54914,58616,00718,13117,10011.89.910.811.811.0

At expanding establishments

15,48312,40512,92014,34715,31610.48.48.79.39.9

At opening establishments

2,0662,1813,0873,7841,7841.41.52.12.51.1

Gross job losses

13,60515,70216,23814,20316,2369.110.611.09.210.5

At contracting establishments

11,06812,26813,30912,76113,4607.48.39.08.38.7

At closing establishments

2,5373,4342,9291,4422,7761.72.32.00.91.8

Net employment change (2)

3,944-1,116-2313,9288642.7-0.7-0.22.60.5

Manufacturing

 

Gross job gains

22,89918,27919,15317,31622,3023.93.13.22.93.7

At expanding establishments

21,67216,99217,38616,03821,0793.72.92.92.73.5

At opening establishments

1,2271,2871,7671,2781,2230.20.20.30.20.2

Gross job losses

13,87816,68116,96616,35915,9472.32.82.82.72.7

At contracting establishments

12,41915,00715,59915,15914,3772.12.52.62.52.4

At closing establishments

1,4591,6741,3671,2001,5700.20.30.20.20.3

Net employment change (2)

9,0211,5982,1879576,3551.60.30.40.21.0

Wholesale trade

 

Gross job gains

7,7696,6917,7227,1318,1214.63.94.64.24.7

At expanding establishments

7,0776,0306,9376,3277,4154.23.54.13.74.3

At opening establishments

6926617858047060.40.40.50.50.4

Gross job losses

6,2716,8136,6006,5766,2043.74.03.93.83.6

At contracting establishments

5,0715,4425,2595,6785,1383.03.23.13.33.0

At closing establishments

1,2001,3711,3418981,0660.70.80.80.50.6

Net employment change (2)

1,498-1221,1225551,9170.9-0.10.70.41.1

Retail trade

 

Gross job gains

29,11324,39526,36626,04828,0496.25.25.65.55.9

At expanding establishments

25,91920,57522,50922,68325,1335.54.44.84.85.3

At opening establishments

3,1943,8203,8573,3652,9160.70.80.80.70.6

Gross job losses

25,14228,51526,35823,66624,0475.46.15.75.05.1

At contracting establishments

21,47224,90922,77021,19920,8504.65.34.94.54.4

At closing establishments

3,6703,6063,5882,4673,1970.80.80.80.50.7

Net employment change (2)

3,971-4,12082,3824,0020.8-0.9-0.10.50.8

Transportation and warehousing

 

Gross job gains

6,0975,7738,5804,8675,6815.55.17.54.35.0

At expanding establishments

5,3024,9406,6374,2355,1634.84.45.83.74.5

At opening establishments

7958331,9436325180.70.71.70.60.5

Gross job losses

4,9955,3264,7476,2276,5114.54.84.15.45.7

At contracting establishments

4,2424,5624,0195,7815,7833.84.13.55.05.1

At closing establishments

7537647284467280.70.70.60.40.6

Net employment change (2)

1,1024473,833-1,360-8301.00.33.4-1.1-0.7

Information

 

Gross job gains

2,9082,7172,6392,7233,4285.14.84.74.86.0

At expanding establishments

2,2351,9251,9761,8222,7473.93.43.53.24.8

At opening establishments

6737926639016811.21.41.21.61.2

Gross job losses

2,8532,7233,3682,1862,5545.04.86.03.94.5

At contracting establishments

2,0311,9822,6751,7541,8293.63.54.83.13.2

At closing establishments

8227416934327251.41.31.20.81.3

Net employment change (2)

55-6-7295378740.10.0-1.30.91.5

Financial activities

 

Gross job gains

9,7318,5618,8108,3749,3935.14.44.54.34.7

At expanding establishments

8,5927,1577,0226,8667,9304.53.73.63.54.0

At opening establishments

1,1391,4041,7881,5081,4630.60.70.90.80.7

Gross job losses

7,3938,0497,6217,0617,9153.84.23.93.64.0

At contracting establishments

5,3966,3195,8195,8596,1342.83.33.03.03.1

At closing establishments

1,9971,7301,8021,2021,7811.00.90.90.60.9

Net employment change (2)

2,3385121,1891,3131,4781.30.20.60.70.7

Professional and business services

 

Gross job gains

42,25639,29548,25535,85943,7436.66.27.55.66.7

At expanding establishments

36,58731,96441,65630,83038,2375.75.06.54.85.9

At opening establishments

5,6697,3316,5995,0295,5060.91.21.00.80.8

Gross job losses

41,99144,04838,80331,87442,8746.66.96.14.96.6

At contracting establishments

36,71336,32731,69128,35734,5875.85.75.04.45.3

At closing establishments

5,2787,7217,1123,5178,2870.81.21.10.51.3

Net employment change (2)

265-4,7539,4523,9858690.0-0.71.40.70.1

Education and health services

 

Gross job gains

23,43924,69127,46820,56423,5943.73.94.33.23.6

At expanding establishments

20,94521,92024,22317,65920,8713.33.53.82.73.2

At opening establishments

2,4942,7713,2452,9052,7230.40.40.50.50.4

Gross job losses

20,81221,86119,10523,87520,5643.23.42.93.73.2

At contracting establishments

17,97818,61615,64021,36217,3032.82.92.43.32.7

At closing establishments

2,8343,2453,4652,5133,2610.40.50.50.40.5

Net employment change (2)

2,6272,8308,363-3,3113,0300.50.51.4-0.50.4

Leisure and hospitality

 

Gross job gains

38,59632,60434,05037,86838,6469.37.98.29.09.1

At expanding establishments

33,28025,62926,01429,99132,7788.06.26.37.17.7

At opening establishments

5,3166,9758,0367,8775,8681.31.71.91.91.4

Gross job losses

34,27635,76635,82528,11434,9898.38.68.76.78.2

At contracting establishments

28,63729,88228,90523,65629,1076.97.27.05.66.8

At closing establishments

5,6395,8846,9204,4585,8821.41.41.71.11.4

Net employment change (2)

4,320-3,162-1,7759,7543,6571.0-0.7-0.52.30.9

Other services (3)

 

Gross job gains

9,5949,0689,5508,2189,9367.87.47.86.78.0

At expanding establishments

7,8467,7117,3646,1348,0526.46.36.05.06.5

At opening establishments

1,7481,3572,1862,0841,8841.41.11.81.71.5

Gross job losses

8,5478,3308,8539,6647,9317.06.87.27.86.4

At contracting establishments

6,8646,3956,7888,3356,3505.65.25.56.75.1

At closing establishments

1,6831,9352,0651,3291,5811.41.61.71.11.3

Net employment change (2)

1,047738697-1,4462,0050.80.60.6-1.11.6

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)
June
2015
Sept.
2015
Dec.
2015
Mar.
2016
June
2016
June
2015
Sept.
2015
Dec.
2015
Mar.
2016
June
2016

United States(1)

6.46.36.65.86.25.75.85.85.76.0

Alabama

5.95.86.25.85.85.35.55.35.45.8

Alaska

10.69.19.69.410.310.910.310.59.711.9

Arizona

6.06.86.96.06.15.75.45.45.76.1

Arkansas

6.06.16.35.45.45.35.35.35.35.8

California

6.96.97.66.56.86.55.96.76.36.7

Colorado

7.07.07.06.66.96.46.46.46.16.5

Connecticut

5.75.15.55.25.45.05.94.95.05.3

Delaware

7.76.17.36.56.75.86.16.26.46.6

District of Columbia

6.16.16.25.25.85.85.44.65.66.1

Florida

7.06.97.26.16.45.95.85.85.85.9

Georgia

6.76.56.96.17.05.85.95.75.66.6

Hawaii

4.95.15.84.95.44.84.64.44.96.0

Idaho

7.67.87.98.27.17.27.06.96.37.1

Illinois

6.15.46.45.35.95.25.85.65.45.9

Indiana

5.75.56.25.55.25.25.34.95.35.2

Iowa

6.05.76.06.05.66.06.05.75.36.1

Kansas

6.05.76.25.85.65.95.85.65.96.3

Kentucky

6.46.16.75.76.25.55.75.45.85.8

Louisiana

6.46.26.56.05.96.86.26.46.66.9

Maine

8.36.68.68.07.76.57.17.16.96.7

Maryland

7.16.56.86.26.35.96.25.96.06.3

Massachusetts

6.45.45.95.26.05.15.65.25.05.2

Michigan

6.15.46.15.45.95.25.65.34.95.3

Minnesota

6.15.46.15.45.95.15.85.75.25.6

Mississippi

6.56.27.15.75.75.95.95.46.16.5

Missouri

6.05.76.35.75.75.25.55.35.35.4

Montana

8.07.68.57.87.98.47.77.37.28.6

Nebraska

5.96.06.15.85.75.65.65.55.56.0

Nevada

6.26.26.86.36.55.85.65.35.75.6

New Hampshire

6.86.16.76.06.56.06.45.65.85.9

New Jersey

7.16.36.75.96.56.06.25.95.95.8

New Mexico

6.86.57.06.26.56.96.66.96.36.7

New York

6.76.36.46.16.25.86.05.75.75.8

North Carolina

6.46.36.76.06.35.55.75.55.65.8

North Dakota

6.77.16.76.66.811.28.58.18.99.0

Ohio

6.05.56.05.45.65.25.65.15.15.6

Oklahoma

6.06.16.35.75.86.66.16.56.46.8

Oregon

6.97.07.07.06.76.16.46.25.86.5

Pennsylvania

5.65.35.75.45.34.95.35.15.25.4

Rhode Island

6.75.86.65.86.25.95.85.75.96.2

South Carolina

6.56.17.16.16.35.55.85.35.85.8

South Dakota

6.35.96.76.26.45.96.15.96.16.2

Tennessee

6.05.86.35.25.74.85.14.85.15.3

Texas

6.05.96.14.76.35.65.55.55.55.4

Utah

6.97.07.27.36.76.26.06.05.96.4

Vermont

7.36.97.26.67.46.97.76.56.97.2

Virginia

6.57.16.45.96.45.45.85.65.96.0

Washington

7.36.76.87.17.26.16.86.25.65.8

West Virginia

6.45.86.65.95.86.76.76.36.96.9

Wisconsin

5.75.66.05.65.75.25.65.25.25.7

Wyoming

7.98.59.07.97.711.09.29.39.410.4

Puerto Rico

5.75.96.35.75.66.26.35.76.05.6

Virgin Islands

6.56.07.35.76.36.87.35.35.45.8

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

 

Last Modified Date: Thursday, March 02, 2017