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News Release Information

21-1214-KAN
Wednesday, June 30, 2021

Contacts

Technical information:
Media contact:
  • (816) 285-7000

Kansas City Area Employment – May 2021

Total nonfarm employment for the Kansas City, MO-KS Metropolitan Statistical Area increased by 80,700 over the year in May, the U.S. Bureau of Labor Statistics reported today. (See chart 1 and table 1.) Regional Commissioner Michael Hirniak, noted that the local rate of job gain, 8.1 percent, compared to the 9.0-percent national increase. (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 Kansas City, MO-KS Metropolitan Statistical Area (MSA) is made up of two separately identifiable employment centers within the larger metropolitan area—the Missouri portion and the Kansas portion of the MSA. Employment increased over the year in both portions of the metropolitan area. The Missouri portion, which accounts for approximately 56 percent of the area’s total nonfarm employment, gained 52,700 jobs, and the Kansas portion gained 28,000 jobs.

Industry employment

In the greater Kansas City area, leisure and hospitality had the largest gain (+28,700), with both portions of the metropolitan area recording increases from May 2020 to May 2021. (See chart 2.) Within the leisure and hospitality supersector, most of the gains were in accommodation and food services (+20,200). Gains in this subsector numbered 14,000 in the Missouri portion and 6,200 in the Kansas portion. The 38.9-percent increase in Kansas City’s leisure and hospitality supersector compared to the 41.7-percent gain on a national level.


Professional and business services employment increased by 17,600 over the year in the Kansas City metropolitan area. Most of the gains were on the Missouri side of the area, up 15,500.

The trade, transportation, and utilities sector gained 16,900 jobs over the year in the Kansas City metropolitan area with both portions of the area adding jobs. The Kansas portion gained 9,700 jobs and the Missouri portion gained 7,200 jobs. The 8.5-percent local rate of job gain compared to the 8.8-percent increase for the nation.

Education and health services gained 5,800 jobs over the year in the local area. The Kansas portion of the metropolitan area was responsible for the majority of the jobs gained in this industry, increasing by 3,100. The local area had a 3.8-percent increase compared to the 6.4-percent increase for the nation.

The Metropolitan Area Employment and Unemployment release for June 2021 is scheduled to be released on Wednesday, July 28, 2021, at 10:00 a.m. (ET).

Coronavirus (COVID-19) Pandemic Impact on May 2021 Establishment Survey Data

BLS has continued to review all estimation and methodological procedures for the establishment survey, which included the review of data, estimation processes, the application of the birth-death model, and seasonal adjustment. Business births and deaths cannot be adequately captured by the establishment survey as they occur. Therefore, the Current Employment Statistics (CES) program uses a model to account for the relatively stable net employment change generated by business births and deaths. Due to the impact of COVID-19, the relationship between business births and deaths is no longer stable. Typically, reports with zero employment are not included in estimation. For the April final and May preliminary estimates, CES included a portion of these reports in the estimates and made modifications to the birth-death model. In addition for both months, the establishment survey included a portion of the reports that returned to reporting positive employment from reporting zero employment. For more information, see www.bls.gov/web/empsit/cesbd.htm.

In the establishment survey, workers who are paid by their employer for all or any part of the pay period including the 12th of the month are counted as employed, even if they were not actually at their jobs. Workers who are temporarily or permanently absent from their jobs and are not being paid are not counted as employed, even if they are continuing to receive benefits. The length of the reference period does vary across the respondents in the establishment survey; one-third of businesses have a weekly pay period, slightly over 40 percent a bi-weekly, about 20 percent semi-monthly, and a small amount monthly.


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 which 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.

For some employment series, the sample of establishments is very small or highly variable. In these cases, a model-based approach is used in estimation. These models use the direct sample estimates (described above), combined with forecasts of historical (benchmarked) data to decrease volatility in estimation. Two different models (Fay-Herriot Model and Small Domain Model) are used depending on the industry level being estimated. For more detailed information about each model, refer to the BLS Handbook of Methods at www.bls.gov/opub/hom/pdf/ces-20110307.pdf.

Annual revisions. Employment estimates are adjusted annually to a complete count of jobs, called benchmarks, derived principally from tax reports which 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/sae/additional-resources/reliability-of-state-and-area-estimates.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 at the supersector level and for the private service-providing, goods-producing, total private and total nonfarm levels are available on the BLS website at www.bls.gov/sae/additional-resources/reliability-of-state-and-area-estimates.htm. 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 standards and definitions established by the U.S. Office of Management and Budget on April 10, 2018. A detailed list of the geographic definitions is available at www.bls.gov/lau/lausmsa.htm.

The Kansas City, MO-KS Metropolitan Statistical Area (MSA) includes Bates, Caldwell, Cass, Clay, Clinton, Jackson, Lafayette, Platte, and Ray Counties in Missouri; Johnson, Leavenworth, Linn, Miami, and Wyandotte Counties in Kansas.

     The Kansas City, MO, portion includes Bates, Caldwell, Cass, Clay, Clinton, Jackson, Lafayette, Platte, and Ray Counties.

     The Kansas City, KS, portion includes Johnson, Leavenworth, Linn, Miami, and Wyandotte Counties.

Additional information

Employment data from the CES program are available on the BLS website at www.bls.gov/sae/.

Information in this release will be made available to individuals with sensory impairments upon request. Voice phone: (202) 691-5200; Federal Relay Service: (800) 877-8339.

Table 1. Employees on nonfarm payrolls by industry supersector, the United States and the Kansas City metropolitan area and its components, not seasonally adjusted (numbers in thousands)
Area and Industry

May
2020
Mar
2021
Apr
2021
May
2021(p)
May 2020 to
May 2021(p)
Net change Percent change

United States

Total nonfarm

133,419 143,315 144,412 145,385 11,966 9.0

Mining and logging

602 610 611 615 13 2.2

Construction

7,070 7,203 7,370 7,484 414 5.9

Manufacturing

11,629 12,267 12,227 12,269 640 5.5

Trade, transportation, and utilities

24,830 26,897 26,852 27,009 2,179 8.8

Information

2,585 2,675 2,693 2,716 131 5.1

Financial activities

8,593 8,750 8,770 8,782 189 2.2

Professional and business services

19,238 20,549 20,704 20,766 1,528 7.9

Education and health services

22,153 23,518 23,594 23,567 1,414 6.4

Leisure and hospitality

10,303 13,448 14,020 14,599 4,296 41.7

Other services

4,797 5,504 5,567 5,606 809 16.9

Government

21,619 21,894 22,004 21,972 353 1.6

Kansas City, MO-KS, MSA

Total nonfarm

1,000.3 1,066.3 1,071.3 1,081.0 80.7 8.1

Mining, logging, and construction

53.1 52.4 54.7 54.5 1.4 2.6

Manufacturing

74.4 80.4 77.1 79.2 4.8 6.5

Trade, transportation, and utilities

197.9 215.1 214.1 214.8 16.9 8.5

Information

14.8 14.2 14.3 14.2 -0.6 -4.1

Financial activities

78.3 77.2 76.6 76.6 -1.7 -2.2

Professional and business services

176.2 190.5 192.7 193.8 17.6 10.0

Education and health services

150.9 156.7 156.4 156.7 5.8 3.8

Leisure and hospitality

73.7 92.7 97.4 102.4 28.7 38.9

Other services

37.6 40.6 40.9 41.3 3.7 9.8

Government

143.4 146.5 147.1 147.5 4.1 2.9

Kansas City, MO, portion

Total nonfarm

554.4 597.7 598.9 607.1 52.7 9.5

Mining, logging, and construction

30.8 31.4 32.3 32.1 1.3 4.2

Manufacturing

42.6 47.6 44.3 46.1 3.5 8.2

Trade, transportation, and utilities

101.5 109.0 108.2 108.7 7.2 7.1

Information

8.2 8.1 8.0 7.9 -0.3 -3.7

Financial activities

40.5 40.4 40.0 39.9 -0.6 -1.5

Professional and business services

92.7 105.2 106.0 108.2 15.5 16.7

Education and health services

83.9 86.8 86.5 86.6 2.7 3.2

Leisure and hospitality

43.7 56.2 60.3 64.0 20.3 46.5

Other services

23.0 24.3 24.5 24.8 1.8 7.8

Government

87.5 88.7 88.8 88.8 1.3 1.5

Kansas City, KS, portion

Total nonfarm

445.9 468.6 472.4 473.9 28.0 6.3

Mining, logging, and construction

22.3 21.0 22.4 22.4 0.1 0.4

Manufacturing

31.8 32.8 32.8 33.1 1.3 4.1

Trade, transportation, and utilities

96.4 106.1 105.9 106.1 9.7 10.1

Information

6.6 6.1 6.3 6.3 -0.3 -4.5

Financial activities

37.8 36.8 36.6 36.7 -1.1 -2.9

Professional and business services

83.5 85.3 86.7 85.6 2.1 2.5

Education and health services

67.0 69.9 69.9 70.1 3.1 4.6

Leisure and hospitality

30.0 36.5 37.1 38.4 8.4 28.0

Other services

14.6 16.3 16.4 16.5 1.9 13.0

Government

55.9 57.8 58.3 58.7 2.8 5.0

Footnotes
(p) Preliminary

 

Last Modified Date: Wednesday, June 30, 2021