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News Release Information

19-1904-ATL
Thursday, November 21, 2019

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Technical information:
Media contact:
  • (404) 893-4220

Business Employment Dynamics in Tennessee – First Quarter 2019

From December 2018 to March 2019, gross job gains from opening and expanding private-sector establishments in Tennessee were 138,640, while gross job losses from closing and contracting private-sector establishments were 124,279, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Janet S. Rankin noted that the difference between the number of gross job gains and the number of gross job losses in Tennessee yielded a net employment gain of 14,361 jobs in the private sector during the first quarter of 2019. In the previous quarter, gross job gains exceeded gross job losses by 20,827. (See chart 1.)

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.)

Tennessee’s gross job gains totaled 138,640 in the first quarter of 2019, a decrease of 9,994 from the previous quarter. Tennessee’s gross job gains have been above 130,000 each quarter since the second quarter of 2015. Tennessee’s 124,279 gross job losses in the first quarter of 2019 were the lowest since the fourth quarter of 2015. (See chart 1.)

Tennessee’s rate of gross job gains as a percent of private sector employment was 5.4 percent in the first quarter of 2019; nationally, gross job gains accounted for 5.9 percent of private sector employment. (See chart 2.) Gross job losses represented 4.8 percent of private sector employment in Tennessee; nationally, gross job losses accounted for 5.5 percent of private sector employment in the first quarter of 2019.

During the first quarter of 2019, gross job gains exceeded gross job losses in 9 of the 11 industry sectors in Tennessee. Retail trade created 20,192 jobs in opening and expanding establishments, but lost 15,700 jobs in closing and contracting establishments. The resulting net gain of 4,492 jobs was the largest of any sector in Tennessee for the first quarter of 2019. In leisure and hospitality, 26,045 jobs were created in opening and expanding establishments and 22,644 jobs were lost in closing and contracting establishments, resulting in a net gain of 3,401 jobs. Two other industry sectors—education and health services, and construction—each had gross job gains that exceeded gross job losses by more than 2,100.

In contrast, gross job losses exceeded gross job gains in two industries in Tennessee: professional and business services, and transportation and warehousing. Professional and business services had a net employment decrease of 1,767 jobs. Transportation and warehousing had a net employment loss of 711 jobs. (See table 1.)

Tennessee was among the four states in the East South Central Census Division. In the first quarter of 2019, Alabama, Kentucky, and Tennessee had gross job gains that exceeded gross job losses. (See table A.) Alabama had a rate of gross job gains that was above the national rate of 5.9 percent. Tennessee had a rate of gross job losses that was below the 5.5 percent national rate; Alabama, Kentucky, and Mississippi had rates of gross job losses at or above the national rate.

Table A. Private sector gross job gains and losses for the United States, East South Central Division, and East South Central states, March 2019, 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

7,375,0005.96,850,0005.5525,0000.4

East South Central (1)

378,698356,61922,079

Alabama

96,8416.088,8235.58,0180.5

Kentucky

92,5365.888,2205.54,3160.3

Mississippi

50,6815.755,2976.2-4,616-0.5

Tennessee

138,6405.4124,2794.814,3610.6

Footnotes:
(1) Data were calculated for this release using published gross job gains and gross job losses for states located in the East South 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 Second Quarter 2019 are scheduled to be released on Wednesday, January 29, 2020.

Changes to Business Employment Dynamics (BED) Data

Data in this release incorporate annual revisions to the BED series. Annual revisions are published each year with the release of first quarter data. These revisions cover the last four quarters of not seasonally adjusted data and five years of seasonally adjusted data.


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, Tennessee, 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)
Mar.
2018
June
2018
Sept.
2018
Dec.
2018
Mar.
2019
Mar.
2018
June
2018
Sept.
2018
Dec.
2018
Mar.
2019

Total private (1)

Gross job gains

130,419141,283149,585148,634138,6405.15.55.85.85.4

At expanding establishments

114,610120,667125,302128,655121,1724.54.74.95.04.7

At opening establishments

15,80920,61624,28319,97917,4680.60.80.90.80.7

Gross job losses

125,868135,300135,764127,807124,2794.95.35.34.94.8

At contracting establishments

112,045113,254118,584111,690110,6154.44.44.64.34.3

At closing establishments

13,82322,04617,18016,11713,6640.50.90.70.60.5

Net employment change (2)

4,5515,98313,82120,82714,3610.20.20.50.90.6

Construction

Gross job gains

10,09710,32610,96110,71711,1908.18.38.88.58.6

At expanding establishments

8,7258,8449,3899,3859,6327.07.17.57.47.4

At opening establishments

1,3721,4821,5721,3321,5581.11.21.31.11.2

Gross job losses

8,7939,2199,4399,8659,0697.17.47.67.87.0

At contracting establishments

7,7667,8088,1118,7237,9456.36.36.56.96.1

At closing establishments

1,0271,4111,3281,1421,1240.81.11.10.90.9

Net employment change (2)

1,3041,1071,5228522,1211.00.91.20.71.6

Manufacturing

Gross job gains

9,54610,46112,66211,81010,5122.73.03.63.33.0

At expanding establishments

8,8929,84011,96011,0639,9422.52.83.43.12.8

At opening establishments

6546217027475700.20.20.20.20.2

Gross job losses

8,8489,3799,21710,0228,5472.52.72.62.82.4

At contracting establishments

8,0218,7278,5419,6088,1722.32.52.42.72.3

At closing establishments

8276526764143750.20.20.20.10.1

Net employment change (2)

6981,0823,4451,7881,9650.20.31.00.50.6

Wholesale trade

Gross job gains

5,0035,8925,4835,6155,0444.24.94.54.74.2

At expanding establishments

4,2115,0434,6084,7614,4323.54.23.84.03.7

At opening establishments

7928498758546120.70.70.70.70.5

Gross job losses

4,6814,8715,2304,2124,3804.04.14.33.53.6

At contracting establishments

3,7713,9104,3643,4083,6593.23.33.62.83.0

At closing establishments

9109618668047210.80.80.70.70.6

Net employment change (2)

3221,0212531,4036640.20.80.21.20.6

Retail trade

Gross job gains

18,84918,43718,04117,38420,1925.65.45.35.26.0

At expanding establishments

17,24716,17915,89515,48918,0625.14.74.74.65.4

At opening establishments

1,6022,2582,1461,8952,1300.50.70.60.60.6

Gross job losses

16,50118,39820,89417,71215,7004.95.46.15.34.7

At contracting establishments

14,76916,33718,44015,62113,9804.44.85.44.74.2

At closing establishments

1,7322,0612,4542,0911,7200.50.60.70.60.5

Net employment change (2)

2,34839-2,853-3284,4920.70.0-0.8-0.11.3

Transportation and warehousing

Gross job gains

6,0896,8878,67212,5197,6023.74.35.37.54.4

At expanding establishments

5,3916,0888,04711,4196,8783.33.84.96.84.0

At opening establishments

6987996251,1007240.40.50.40.70.4

Gross job losses

7,4237,1935,8615,5928,3134.64.43.63.34.9

At contracting establishments

7,0106,3345,2025,1828,0044.33.93.23.14.7

At closing establishments

4138596594103090.30.50.40.20.2

Net employment change (2)

-1,334-3062,8116,927-711-0.9-0.11.74.2-0.5

Information

Gross job gains

2,2134,2893,2152,1262,9764.99.37.14.86.8

At expanding establishments

1,7743,8622,2281,7192,5283.98.44.93.95.8

At opening establishments

4394279874074481.00.92.20.91.0

Gross job losses

2,2083,1694,1223,7472,4564.96.99.08.45.7

At contracting establishments

1,8202,8613,7822,8632,1114.06.28.36.44.9

At closing establishments

3883083408843450.90.70.72.00.8

Net employment change (2)

51,120-907-1,6215200.02.4-1.9-3.61.1

Financial activities

Gross job gains

6,3806,9197,4696,9116,0244.34.65.04.53.8

At expanding establishments

5,5315,8496,1415,5135,0463.73.94.13.63.2

At opening establishments

8491,0701,3281,3989780.60.70.90.90.6

Gross job losses

5,6115,8926,0185,9975,5183.74.04.03.93.5

At contracting establishments

4,8384,6115,0834,7164,5923.23.13.43.12.9

At closing establishments

7731,2819351,2819260.50.90.60.80.6

Net employment change (2)

7691,0271,4519145060.60.61.00.60.3

Professional and business services

Gross job gains

25,25729,15428,93030,11526,2596.17.06.97.26.2

At expanding establishments

22,30524,94024,69826,09823,2145.46.05.96.25.5

At opening establishments

2,9524,2144,2324,0173,0450.71.01.01.00.7

Gross job losses

29,61026,19627,59625,83928,0267.26.36.66.26.6

At contracting establishments

26,32722,55723,98622,53425,2106.45.45.75.45.9

At closing establishments

3,2833,6393,6103,3052,8160.80.90.90.80.7

Net employment change (2)

-4,3532,9581,3344,276-1,767-1.10.70.31.0-0.4

Education and health services

Gross job gains

14,60216,12018,78215,06516,3643.53.84.43.53.8

At expanding establishments

13,33014,04314,90613,27114,9083.23.33.53.13.5

At opening establishments

1,2722,0773,8761,7941,4560.30.50.90.40.3

Gross job losses

13,49917,67614,83815,06714,1843.34.23.53.63.3

At contracting establishments

12,40712,64112,81712,94212,3793.03.03.03.12.9

At closing establishments

1,0925,0352,0212,1251,8050.31.20.50.50.4

Net employment change (2)

1,103-1,5563,944-22,1800.2-0.40.9-0.10.5

Leisure and hospitality

Gross job gains

25,95225,96228,37129,58126,0457.77.68.48.77.5

At expanding establishments

21,81220,43121,82624,24421,2106.56.06.57.16.1

At opening establishments

4,1405,5316,5455,3374,8351.21.61.91.61.4

Gross job losses

22,81426,78126,51923,32122,6446.88.07.86.86.5

At contracting establishments

20,21322,14423,09620,77719,8666.06.66.86.15.7

At closing establishments

2,6014,6373,4232,5442,7780.81.41.00.70.8

Net employment change (2)

3,138-8191,8526,2603,4010.9-0.40.61.91.0

Other services (3)

Gross job gains

4,8615,4305,5904,8794,7426.97.77.86.86.6

At expanding establishments

4,1724,4324,6664,1093,9805.96.36.55.75.5

At opening establishments

6899989247707621.01.41.31.11.1

Gross job losses

4,4884,7144,6905,0414,2106.46.76.67.05.9

At contracting establishments

3,9263,8733,9704,2953,5905.65.55.66.05.0

At closing establishments

5628417207466200.81.21.01.00.9

Net employment change (2)

373716900-1625320.51.01.2-0.20.7

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)
Mar.
2018
June
2018
Sept.
2018
Dec.
2018
Mar.
2019
Mar.
2018
June
2018
Sept.
2018
Dec.
2018
Mar.
2019

United States(1)

6.16.16.06.35.95.55.86.05.65.5

Alabama

6.15.86.06.36.05.45.75.95.35.5

Alaska

10.110.98.911.010.08.910.710.79.89.0

Arizona

6.06.06.66.25.65.35.95.15.15.5

Arkansas

5.45.06.15.95.25.25.75.65.05.1

California

6.46.76.56.96.36.06.46.25.96.2

Colorado

6.86.86.66.86.66.06.16.86.06.3

Connecticut

5.15.85.35.35.25.35.15.74.95.7

Delaware

7.16.45.76.66.45.96.06.55.65.5

District of Columbia

6.05.65.35.65.44.95.65.55.14.9

Florida

6.26.46.86.46.15.56.15.86.15.6

Georgia

6.56.36.76.36.85.76.46.15.85.7

Hawaii

5.15.35.15.85.44.75.45.45.15.9

Idaho

7.97.36.87.47.56.16.86.96.36.1

Illinois

5.75.65.55.55.25.25.65.85.65.1

Indiana

5.75.55.25.65.95.15.55.45.04.8

Iowa

5.65.75.35.85.15.35.45.75.35.4

Kansas

5.35.75.96.15.45.45.65.75.45.7

Kentucky

6.25.95.86.15.85.95.76.05.45.5

Louisiana

6.76.26.36.25.95.96.56.35.85.9

Maine

7.08.06.17.37.27.07.17.56.76.4

Maryland

6.36.16.36.86.45.85.86.66.45.7

Massachusetts

5.76.15.65.85.75.25.56.15.35.2

Michigan

5.65.55.05.65.14.65.26.25.24.6

Minnesota

5.45.85.55.75.25.15.25.75.45.1

Mississippi

5.55.75.96.55.76.06.05.95.36.2

Missouri

5.55.75.95.85.45.25.76.05.45.3

Montana

7.98.07.28.97.67.17.87.97.28.0

Nebraska

5.85.85.95.95.75.65.85.95.75.6

Nevada

6.56.16.76.66.05.55.85.75.55.4

New Hampshire

6.16.75.76.66.36.06.26.85.75.7

New Jersey

5.76.56.06.45.76.15.86.45.75.6

New Mexico

6.56.76.46.86.45.76.26.46.15.8

New York

6.36.36.16.36.05.65.86.45.75.3

North Carolina

6.26.15.76.76.35.35.76.45.35.1

North Dakota

7.16.76.66.87.16.36.26.66.26.4

Ohio

5.65.65.45.65.55.15.45.85.35.1

Oklahoma

6.26.46.76.55.85.76.36.16.15.8

Oregon

8.06.26.26.76.35.86.36.36.05.8

Pennsylvania

5.35.35.45.35.14.95.15.24.84.8

Rhode Island

6.46.36.26.45.86.16.16.45.75.6

South Carolina

6.37.55.87.46.45.16.76.55.46.0

South Dakota

6.46.16.06.35.75.96.15.75.86.4

Tennessee

5.15.55.85.85.44.95.35.34.94.8

Texas

5.95.96.06.25.55.15.35.45.25.2

Utah

7.56.97.36.97.36.06.46.46.26.2

Vermont

6.57.26.97.46.77.07.17.66.86.3

Virginia

6.06.25.76.36.45.45.86.35.65.5

Washington

7.27.36.26.46.26.26.56.55.65.6

West Virginia

6.96.87.06.36.06.06.46.46.56.6

Wisconsin

5.65.55.15.45.14.75.55.95.04.8

Wyoming

8.68.48.310.08.68.08.48.47.87.8

Puerto Rico

8.57.97.26.07.16.96.25.86.85.1

Virgin Islands

13.313.212.87.911.918.67.05.97.17.4

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

 

Last Modified Date: Thursday, November 21, 2019