Total nonfarm employment for the Chicago-Naperville-Elgin, Ill.-Ind.-Wis. Metropolitan Statistical Area stood at 4,762,300 in August 2018, up 36,300, or 0.8 percent, over the year, the U.S. Bureau of Labor Statistics reported today. During the same period, the national job count increased by 1.7 percent. Assistant Commissioner for Regional Operations Charlene Peiffer noted that the Chicago metropolitan area has had over-the-year employment increases each month since October 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 Chicago metropolitan area is made up of four metropolitan divisions—separately identifiable employment centers within the larger metropolitan area. The Chicago-Naperville-Arlington Heights Metropolitan Division, which accounted for 80 percent of the area’s workforce, added 28,400 jobs from August a year ago. In the Lake County-Kenosha County, Ill.-Wis. Metropolitan Division, employment was little changed over the year. Employment in the Elgin, Ill. Metropolitan Division increased by 2,600 from August a year ago, while employment in the Gary, Ind. Metropolitan Division increased by 4,500 over the year.

Industry employment

In the greater Chicago metropolitan area, construction had the largest employment gain from August 2017 to August 2018, adding 9,100 jobs. The Chicago area’s 5.0-percent rate of job growth in construction was higher than the nationwide advance of 4.0 percent. (See chart 2.)

Locally, the government supersector added 8,000 jobs. The Chicago area’s 1.5-percent rate of job growth was higher than the 0.2-percent national gain. Local employment growth in the government supersector was concentrated in the Chicago division which added 7,100 jobs.

Two other local supersectors each gained at least 6,000 jobs: education and health services (+6,800) and manufacturing (+6,000). The Chicago area’s education and health services industry job growth rate of 1.0 percent was lower than the 2.1-percent national increase. Education and health services employment growth was focused in the Chicago division (+7,300). Employment in Chicago’s manufacturing industry grew by 1.4 percent; nationally, employment in this industry grew by 2.0 percent over the year. Manufacturing employment growth was concentrated in the Chicago division (+3,600) and the Lake division (+2,600).

Two Chicago area supersectors lost more than 1,000 jobs since last August: information (-4,800, down 6.0 percent) and other services (-2,800, down 1.4 percent). Nationally, employment in the information sector decreased by 0.8 percent, while other services employment rose by 1.6 percent from the previous August.

Employment in the 12 largest metropolitan areas

Chicago was 1 of the nation’s 12 largest metropolitan statistical areas in August 2018. All 12 areas had over-the-year job growth during the period, with the rates of job growth in 8 areas matching or exceeding the national increase of 1.7 percent. Houston-The Woodlands-Sugar Land had the fastest rate of job growth, up 3.7 percent, followed by Phoenix-Mesa-Scottsdale at 3.6 percent. Chicago had the slowest rate of job growth, up 0.8 percent, followed by Los Angeles-Long Beach-Anaheim (1.2 percent). (See chart 3 and table 2.)

New York-Newark-Jersey City added the largest number of jobs over the year, 136,100. Dallas-Fort Worth-Arlington (+114,900) and Houston (+110,200) also had increases over 100,000 jobs. Chicago had the smallest employment gain over the year, adding 36,300 jobs. Annual gains in the remaining eight metropolitan areas ranged from 73,500 in Phoenix-Mesa-Scottsdale to 38,800 in Miami-Fort Lauderdale-West Palm Beach.

Over the year, profession and business services added the most jobs in five areas: Boston-Cambridge-Nashua, Dallas, Houston, San Francisco-Oakland-Hayward, and Washington-Arlington-Alexandria.

Information lost the most jobs in seven areas: Atlanta-Sandy Springs-Roswell, Chicago, Houston, Miami, New York, Philadelphia-Camden-Wilmington, and Washington. Dallas was the only metropolitan area to have no annual job losses in any supersector from August a year ago.

Metropolitan area employment data for September 2018 are scheduled to be released on Friday, October 19, 2018.

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 that 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 2017 version of the North American Industry Classification System.

Method of estimation. CES State and Area employment data are produced using several estimation procedures. Where possible these data are produced using a "weighted link relative" estimation technique in which a ratio of current-month weighted employment to that of the previous-month weighted employment is computed from a sample of establishments reporting for both months. The estimates of employment for the current month are then obtained by multiplying these ratios by the previous month's employment estimates. The weighted link relative technique is utilized for data series where the sample size meets certain statistical criteria.

Annual revisions. Employment estimates are adjusted annually to a complete count of jobs, called benchmarks, derived principally from tax reports that 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 surveys, administrative data, and modeling 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 also are 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 specific 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 the total nonfarm employment series are available for metropolitan areas and metropolitan divisions at www.bls.gov/web/laus/790stderr.htm. Measures of sampling error for more detailed series at the area and division level are available upon request. Measures of sampling error for states down to the supersector level are available on the BLS website at www.bls.gov/web/laus/790stderr.htm. Measures of nonsampling error are not available for the areas contained in this news release. Information on recent benchmark revisions is available online at www.bls.gov/web/laus/benchmark.pdf.

Area definitions. The substate area data published in this release reflect the delineations issued by the U.S. Office of Management and Budget on July 15, 2015. A detailed list of the geographic definitions is available at www.bls.gov/lau/lausmsa.htm.

The Chicago-Naperville-Elgin, Ill.-Ind.-Wis. Metropolitan Statistical Area includes Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry, and Will Counties in Illinois; Jasper, Lake, Newton, and Porter Counties in Indiana; and Kenosha County in Wisconsin.

• The Chicago-Naperville-Arlington Heights, Ill. Metropolitan Division includes Cook, DuPage, Grundy, Kendall, McHenry, and Will Counties in Illinois.
• The Elgin, Ill. Metropolitan Division includes DeKalb and Kane Counties.
• The Lake County-Kenosha County, Ill.-Wis. Metropolitan Division includes Lake County in Illinois and Kenosha County in Wisconsin.
• The Gary, Ind. Metropolitan Division includes Jasper, Lake, Newton, and Porter Counties in Indiana.

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.