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19-1360-CHI
Tuesday, September 10, 2019

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Technical information:
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Business Employment Dynamics in Iowa — Fourth Quarter 2018

From September 2018 to December 2018, gross job gains from opening and expanding private-sector establishments in Iowa totaled 75,387, while gross job losses from closing and contracting private-sector establishments numbered 68,764, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Charlene Peiffer noted that the difference between the number of gross job gains and the number of gross job losses yielded a net employment gain of 6,623. During the previous quarter, gross job losses exceeded gross job gains by 4,924.

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. 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 75,387 gross job gains in the fourth quarter of 2018 were more than the 69,092 gross job gains in the previous quarter. Over the past five years, gross jobs gains reached a high of 79,197 in the third quarter of 2016 and a low of 69,092 in the third quarter of 2018. (See chart 1.) Gross job losses in the fourth quarter of 2018 totaled 68,764 in the state, a decrease from 74,016 in the previous quarter. Over the past five years, gross jobs losses reached a high of 80,950 in the second quarter of 2016 and a low of 68,476 in the first quarter of 2018.

Gross job gains accounted for 5.8 percent of private sector employment in Iowa in the fourth quarter of 2018, compared to the national gross job gains rate of 6.1 percent. Since the series began in 1992, Iowa’s rate of gross job gains has generally been below the national rate. Gross job losses represented 5.3 percent of private sector employment in Iowa in the fourth quarter of 2018, while nationally gross job losses accounted for 5.6 percent of private sector employment. (See chart 2.) Since the series inception, the rate of gross job losses in Iowa has generally been below the U.S. rate.

During the fourth quarter of 2018, gross job gains exceeded gross job losses in 7 of the 10 industry sectors in Iowa. For example, within manufacturing, gross job gains exceeded gross jobs losses by 2,366. While more than 4,800 jobs were lost by closing and contracting establishments in the industry, more than 7,200 jobs were created in opening and expanding establishments in the fourth quarter of 2018. Three other industry sectors—education and health services, leisure and hospitality, and transportation and warehousing—had net employment gains of more than 1,900 jobs. (See table 1.)

Gross job losses exceeded gross job gains in three industry sectors. Within professional and business services, gross job losses exceeded gross job gains by 1,894. Construction and retail trade had net employment losses of less than 900 jobs from the previous year.

Iowa was among the seven states in the West North Central Division. All seven states in the division had gross job gains that exceeded gross job losses. (See table A.) Iowa was among the four states in the division that had rates of gross job gains below the 6.1-percent national rate. Kansas had a rate of gross job gains that was equal to the national rate, while North Dakota and South Dakota had rates of gross job gains that were higher than the national rate. Four states, including Iowa, had rates of gross job losses that were lower than the 5.6-percent national rate. Three states had rates of gross job losses that were greater 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, December 2018, 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

7,729,000 6.1 6,915,000 5.6 814,000 0.5

West North Central (1)

519,469 482,163 37,306

Iowa

75,387 5.8 68,764 5.3 6,623 0.5

Kansas

69,167 6.1 61,579 5.4 7,588 0.7

Minnesota

143,079 5.7 135,193 5.4 7,886 0.3

Missouri

138,175 5.8 127,453 5.4 10,722 0.4

Nebraska

47,904 5.9 46,929 5.8 975 0.1

North Dakota

23,527 6.8 21,749 6.2 1,778 0.6

South Dakota

22,230 6.3 20,496 5.8 1,734 0.5

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 first quarter 2019 is scheduled to be released on Wednesday, October 30, 2019.


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). The BED data are compiled by the U.S. Bureau of Labor Statistics (BLS) from existing QCEW records. Most employers in the U.S. are required to file quarterly reports on the employment and wages of workers covered by unemployment insurance (UI) laws, and to pay quarterly UI taxes. The QCEW is based largely on quarterly UI reports which are sent by businesses to the State Workforce Agencies (SWAs). These UI reports are supplemented by two additional BLS data collections to render administrative data into economic statistics. Together these data comprise the QCEW and form the basis of the Bureau’s establishment universe sampling frame.

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, Iowa, 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)
Dec.
2017
Mar.
2018
June
2018
Sept
2018
Dec.
2018
Dec.
2017
Mar.
2018
June
2018
Sept
2018
Dec.
2018

Total private (1)

Gross job gains

77,044 72,763 74,977 69,092 75,387 5.9 5.5 5.7 5.3 5.8

At expanding establishments

65,108 61,928 63,945 58,224 63,597 5.0 4.7 4.9 4.5 4.9

At opening establishments

11,936 10,835 11,032 10,868 11,790 0.9 0.8 0.8 0.8 0.9

Gross job losses

69,393 68,476 70,344 74,016 68,764 5.3 5.3 5.4 5.7 5.3

At contracting establishments

58,926 58,673 60,980 62,603 58,269 4.5 4.5 4.7 4.8 4.5

At closing establishments

10,467 9,803 9,364 11,413 10,495 0.8 0.8 0.7 0.9 0.8

Net employment change (2)

7,651 4,287 4,633 -4,924 6,623 0.6 0.2 0.3 -0.4 0.5

Construction

Gross job gains

8,667 9,676 8,631 7,678 7,714 11.5 12.5 11.0 10.0 9.9

At expanding establishments

6,928 8,224 7,033 6,280 6,147 9.2 10.6 9.0 8.2 7.9

At opening establishments

1,739 1,452 1,598 1,398 1,567 2.3 1.9 2.0 1.8 2.0

Gross job losses

8,073 7,682 7,610 7,548 8,608 10.7 9.8 9.8 9.8 11.1

At contracting establishments

6,613 6,169 6,234 6,387 6,822 8.8 7.9 8.0 8.3 8.8

At closing establishments

1,460 1,513 1,376 1,161 1,786 1.9 1.9 1.8 1.5 2.3

Net employment change (2)

594 1,994 1,021 130 -894 0.8 2.7 1.2 0.2 -1.2

Manufacturing

Gross job gains

7,928 5,992 6,834 6,503 7,244 3.6 2.7 3.0 2.9 3.3

At expanding establishments

7,683 5,700 6,537 5,767 6,881 3.5 2.6 2.9 2.6 3.1

At opening establishments

245 292 297 736 363 0.1 0.1 0.1 0.3 0.2

Gross job losses

4,862 5,663 4,598 5,753 4,878 2.3 2.6 2.1 2.6 2.2

At contracting establishments

4,502 5,453 4,234 5,257 4,533 2.1 2.5 1.9 2.4 2.0

At closing establishments

360 210 364 496 345 0.2 0.1 0.2 0.2 0.2

Net employment change (2)

3,066 329 2,236 750 2,366 1.3 0.1 0.9 0.3 1.1

Wholesale trade

Gross job gains

3,471 3,113 3,021 2,530 3,287 5.2 4.7 4.5 3.8 5.0

At expanding establishments

3,130 2,706 2,595 2,185 2,846 4.7 4.1 3.9 3.3 4.3

At opening establishments

341 407 426 345 441 0.5 0.6 0.6 0.5 0.7

Gross job losses

2,674 3,062 3,176 3,176 2,392 4.0 4.6 4.8 4.8 3.6

At contracting establishments

2,002 2,678 2,723 2,761 1,970 3.0 4.0 4.1 4.2 3.0

At closing establishments

672 384 453 415 422 1.0 0.6 0.7 0.6 0.6

Net employment change (2)

797 51 -155 -646 895 1.2 0.1 -0.3 -1.0 1.4

Retail trade

Gross job gains

9,206 9,224 10,016 9,517 9,203 5.1 5.1 5.5 5.3 5.2

At expanding establishments

8,096 8,162 9,105 8,442 8,322 4.5 4.5 5.0 4.7 4.7

At opening establishments

1,110 1,062 911 1,075 881 0.6 0.6 0.5 0.6 0.5

Gross job losses

9,758 9,538 10,149 11,851 9,624 5.4 5.3 5.6 6.6 5.4

At contracting establishments

9,003 8,802 8,987 9,525 8,559 5.0 4.9 5.0 5.3 4.8

At closing establishments

755 736 1,162 2,326 1,065 0.4 0.4 0.6 1.3 0.6

Net employment change (2)

-552 -314 -133 -2,334 -421 -0.3 -0.2 -0.1 -1.3 -0.2

Transportation and warehousing

Gross job gains

4,154 2,573 3,194 2,527 4,020 7.2 4.4 5.5 4.3 6.7

At expanding establishments

3,821 2,159 2,808 2,217 3,589 6.6 3.7 4.8 3.8 6.0

At opening establishments

333 414 386 310 431 0.6 0.7 0.7 0.5 0.7

Gross job losses

2,230 3,412 2,426 2,731 2,045 3.9 5.8 4.2 4.7 3.4

At contracting establishments

1,908 2,933 2,023 2,395 1,747 3.3 5.0 3.5 4.1 2.9

At closing establishments

322 479 403 336 298 0.6 0.8 0.7 0.6 0.5

Net employment change (2)

1,924 -839 768 -204 1,975 3.3 -1.4 1.3 -0.4 3.3

Financial activities

Gross job gains

3,532 3,124 4,451 3,581 3,503 3.3 2.8 4.1 3.2 3.3

At expanding establishments

2,808 2,558 3,820 2,999 2,782 2.6 2.3 3.5 2.7 2.6

At opening establishments

724 566 631 582 721 0.7 0.5 0.6 0.5 0.7

Gross job losses

3,453 3,469 4,161 3,551 3,366 3.1 3.2 3.9 3.3 3.1

At contracting establishments

2,873 2,844 3,668 3,005 2,811 2.6 2.6 3.4 2.8 2.6

At closing establishments

580 625 493 546 555 0.5 0.6 0.5 0.5 0.5

Net employment change (2)

79 -345 290 30 137 0.2 -0.4 0.2 -0.1 0.2

Professional and business services

Gross job gains

10,795 10,038 10,990 10,815 9,720 7.8 7.2 7.9 7.7 6.9

At expanding establishments

8,613 8,206 8,933 8,672 7,295 6.2 5.9 6.4 6.2 5.2

At opening establishments

2,182 1,832 2,057 2,143 2,425 1.6 1.3 1.5 1.5 1.7

Gross job losses

11,520 9,768 9,970 10,357 11,614 8.3 7.0 7.1 7.3 8.3

At contracting establishments

9,325 7,820 8,268 8,184 9,433 6.7 5.6 5.9 5.8 6.7

At closing establishments

2,195 1,948 1,702 2,173 2,181 1.6 1.4 1.2 1.5 1.6

Net employment change (2)

-725 270 1,020 458 -1,894 -0.5 0.2 0.8 0.4 -1.4

Education and health services

Gross job gains

9,555 8,690 8,171 8,230 10,422 4.3 3.9 3.7 3.8 4.7

At expanding establishments

8,223 7,736 7,138 7,355 9,071 3.7 3.5 3.2 3.4 4.1

At opening establishments

1,332 954 1,033 875 1,351 0.6 0.4 0.5 0.4 0.6

Gross job losses

8,025 7,970 8,964 8,788 8,213 3.6 3.6 4.0 4.0 3.7

At contracting establishments

6,821 6,836 8,044 7,627 7,114 3.1 3.1 3.6 3.5 3.2

At closing establishments

1,204 1,134 920 1,161 1,099 0.5 0.5 0.4 0.5 0.5

Net employment change (2)

1,530 720 -793 -558 2,209 0.7 0.3 -0.3 -0.2 1.0

Leisure and hospitality

Gross job gains

13,624 14,292 13,117 11,832 14,156 9.6 9.9 9.1 8.3 9.9

At expanding establishments

10,806 11,645 10,467 9,323 11,594 7.6 8.1 7.3 6.5 8.1

At opening establishments

2,818 2,647 2,650 2,509 2,562 2.0 1.8 1.8 1.8 1.8

Gross job losses

12,767 11,772 13,600 14,359 11,952 8.9 8.2 9.4 10.1 8.3

At contracting establishments

10,722 10,069 12,112 12,533 10,052 7.5 7.0 8.4 8.8 7.0

At closing establishments

2,045 1,703 1,488 1,826 1,900 1.4 1.2 1.0 1.3 1.3

Net employment change (2)

857 2,520 -483 -2,527 2,204 0.7 1.7 -0.3 -1.8 1.6

Other services (3)

Gross job gains

2,709 2,684 2,924 2,482 2,886 7.0 6.9 7.4 6.3 7.4

At expanding establishments

2,256 2,223 2,504 2,099 2,467 5.8 5.7 6.3 5.3 6.3

At opening establishments

453 461 420 383 419 1.2 1.2 1.1 1.0 1.1

Gross job losses

2,636 2,463 2,466 3,010 2,582 6.8 6.3 6.3 7.6 6.6

At contracting establishments

2,179 2,115 2,085 2,484 2,083 5.6 5.4 5.3 6.3 5.3

At closing establishments

457 348 381 526 499 1.2 0.9 1.0 1.3 1.3

Net employment change (2)

73 221 458 -528 304 0.2 0.6 1.1 -1.3 0.8

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
Category Gross job gains as a percent of employment
(3 months ended)
Gross job losses as a percent of employment
(3 months ended)
Dec.
2017
Mar.
2018
June
2018
Sept.
2018
Dec.
2018
Dec.
2017
Mar.
2018
June
2018
Sept.
2018
Dec.
2018

United States(1)

6.4 6.0 6.1 6.0 6.1 5.6 5.4 5.8 6.0 5.6

Alabama

6.0 6.0 5.8 5.9 6.3 5.4 5.3 5.7 5.9 5.3

Alaska

9.7 9.8 10.9 8.9 10.9 10.2 8.8 10.7 10.6 9.7

Arizona

6.3 6.0 6.0 6.6 6.2 5.3 5.3 5.9 5.0 5.1

Arkansas

6.1 5.4 5.0 6.0 5.8 5.1 5.0 5.6 5.5 4.9

California

6.9 6.4 6.7 6.5 6.7 6.0 5.9 6.3 6.2 5.9

Colorado

6.8 6.8 6.8 6.6 6.8 6.1 6.0 6.1 6.8 6.0

Connecticut

5.3 5.1 5.8 5.2 5.3 5.2 5.2 5.0 5.6 4.9

Delaware

7.0 7.1 6.5 5.6 6.6 6.4 5.9 6.0 6.6 5.7

District of Columbia

5.8 6.0 5.6 5.3 5.6 5.0 4.7 5.5 5.5 5.1

Florida

8.2 6.1 6.5 6.7 6.3 5.3 5.5 6.1 5.7 5.9

Georgia

6.9 6.5 6.2 6.7 6.3 5.6 5.6 6.4 6.2 5.7

Hawaii

5.1 5.0 5.2 5.1 5.7 4.7 4.8 5.5 5.5 5.1

Idaho

7.4 7.9 7.3 6.8 7.4 6.6 5.9 6.7 6.9 6.3

Illinois

6.0 5.7 5.6 5.6 5.6 5.3 5.1 5.5 5.7 5.6

Indiana

5.7 5.6 5.4 5.2 5.6 5.0 5.1 5.5 5.4 4.9

Iowa

5.9 5.5 5.7 5.3 5.8 5.3 5.3 5.4 5.7 5.3

Kansas

5.9 5.2 5.7 5.9 6.1 5.2 5.5 5.6 5.7 5.4

Kentucky

6.1 6.2 5.9 5.7 6.1 5.6 5.9 5.6 6.0 5.5

Louisiana

6.2 6.5 6.1 6.2 6.2 6.0 5.8 6.5 6.2 5.7

Maine

7.2 7.2 8.1 6.0 7.3 6.6 7.0 7.1 7.5 6.3

Maryland

6.2 6.3 6.0 6.3 6.8 6.3 5.7 5.8 6.6 6.4

Massachusetts

5.7 5.4 6.1 5.5 5.8 5.4 5.2 5.4 6.2 5.3

Michigan

5.7 5.7 5.6 5.0 5.7 5.4 4.6 5.1 6.2 5.2

Minnesota

5.8 5.3 5.8 5.4 5.7 5.5 5.0 5.3 5.7 5.4

Mississippi

6.3 5.5 5.7 5.8 6.4 5.4 5.8 6.0 5.7 5.2

Missouri

5.7 5.4 5.7 5.9 5.8 5.5 5.2 5.7 6.0 5.4

Montana

8.5 7.8 8.0 7.2 9.0 7.4 7.1 7.8 7.9 7.2

Nebraska

6.2 5.6 5.9 5.8 5.9 5.5 5.5 5.8 6.0 5.8

Nevada

6.6 6.5 6.1 6.7 6.6 5.2 5.4 5.8 5.6 5.3

New Hampshire

6.7 6.1 6.7 5.6 6.7 5.9 5.9 6.3 6.8 5.7

New Jersey

6.4 5.6 6.5 6.0 6.3 5.8 5.8 5.7 6.3 5.6

New Mexico

6.5 6.3 6.5 6.4 6.7 6.1 5.5 6.2 6.4 6.0

New York

6.2 6.2 6.3 6.1 6.2 5.8 5.6 5.8 6.4 5.7

North Carolina

6.3 6.2 6.1 5.6 6.7 5.5 5.2 5.5 6.5 5.3

North Dakota

6.8 7.0 6.7 6.6 6.8 6.8 6.3 6.2 6.6 6.2

Ohio

5.7 5.5 5.6 5.3 5.6 5.2 5.0 5.4 5.7 5.2

Oklahoma

6.4 6.1 6.3 6.6 6.4 5.8 5.5 6.5 6.1 6.0

Oregon

6.8 7.8 6.2 6.2 6.7 6.0 5.6 6.2 6.3 5.9

Pennsylvania

5.5 5.2 5.3 5.4 5.3 5.0 4.9 5.1 5.2 4.7

Rhode Island

6.6 6.3 6.3 6.2 6.4 6.0 6.1 6.1 6.4 5.7

South Carolina

7.0 5.9 7.5 5.8 7.4 5.3 4.7 6.5 6.5 5.4

South Dakota

6.4 6.4 6.1 5.9 6.3 5.7 5.9 6.1 5.8 5.8

Tennessee

5.9 5.0 5.5 5.8 5.8 4.9 4.8 5.1 5.2 4.9

Texas

6.4 5.8 5.9 5.9 6.1 5.3 5.1 5.2 5.4 5.1

Utah

7.0 7.4 6.9 7.3 6.9 5.9 6.0 6.3 6.5 6.1

Vermont

7.4 6.4 7.2 6.9 7.4 6.5 7.0 7.3 7.4 6.8

Virginia

6.3 5.8 6.1 5.6 6.2 5.5 5.2 5.8 6.3 5.5

Washington

6.9 7.2 7.3 6.1 6.5 6.0 5.7 6.3 6.3 5.6

West Virginia

6.3 6.8 6.8 7.0 6.3 6.1 5.8 6.4 6.4 6.5

Wisconsin

5.6 5.6 5.4 5.1 5.4 5.0 4.7 5.5 5.9 4.9

Wyoming

8.7 8.4 8.2 8.2 10.0 8.4 8.0 8.3 8.3 7.8

Puerto Rico

7.1 8.4 8.0 7.2 6.0 11.8 6.8 6.2 5.8 6.7

Virgin Islands

9.2 12.0 12.5 10.9 8.3 28.2 16.8 8.6 6.3 7.8

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

 

Last Modified Date: Tuesday, September 10, 2019