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News Release Information

20-311-ATL
Wednesday, February 19, 2020

Contacts

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

Business Employment Dynamics in Alabama – Second Quarter 2019

From March 2019 to June 2019, gross job gains from opening and expanding private-sector establishments in Alabama were 93,715, while gross job losses from closing and contracting private-sector establishments were 97,277, 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 yielded a net employment loss of 3,562 jobs in the private sector during the second quarter of 2019. During the previous quarter, gross job gains exceeded gross job losses by 8,018. (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 private businesses in the economy. Business Employment Dynamics (BED) statistics track these changes in employment at private-sector 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 Technical Note.)

The 93,715 gross job gains in the second quarter of 2019 followed the 96,841 gross job gains in the first quarter of 2019. Alabama’s gross job gains have exceeded 90,000 each quarter since the third quarter of 2017. (See chart 1.) Alabama’s gross job losses were 97,277 in the second quarter of 2019, the highest number of gross jobs losses since the third quarter of 2009.

In the second quarter of 2019, gross job gains represented 5.8 percent of private-sector employment in Alabama; nationally gross job gains accounted for 6.0 percent of private-sector employment. (See chart 2.) Gross job losses represented 6.0 percent of private-sector employment in Alabama; nationally gross job losses accounted for 5.9 percent of private-sector employment in the second quarter of 2019.

During the second quarter of 2019, gross job gains exceeded gross job losses in 6 of the 10 industry sectors in Alabama. Education and health services gained 11,126 jobs in opening and expanding establishments, and lost 10,192 jobs in closing and contracting establishments. The resulting net gain of 934 jobs was the largest gain of any sector in the state for the second quarter of 2019. Alabama’s financial activities industry had a net gain of 680 jobs. Net employment gains in the remaining four industries were less than 200. (See table 1.) 

Gross job losses exceeded gross job gains in four industry sectors in Alabama. Retail trade lost 14,541 jobs in closing and contracting establishments, and gained 12,828 jobs in opening and expanding establishments. The resulting net loss of 1,713 jobs was the largest loss of any sector in the state for the second quarter of 2019. Alabama’s manufacturing industry sector had a net loss of 1,673 jobs. In the two remaining industries with net job losses, gross job losses exceeded gross job gains by less than 800.

Alabama was among the four states in the East South Central Census division. In the second quarter of 2019, Alabama, Kentucky, and Mississippi each had gross job losses that exceeded gross job gains. (See table A.) Alabama was among the three states in the division that had rates of gross job losses that were at or above the 5.9-percent national rate. Tennessee had a rate of job loss below the national rate. All four states in the division had rates of gross job gains that were below the 6.0-percent national rate.

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

7,605,000 6.0 7,423,000 5.9 182,000 0.1

East South Central (1)

380,489 377,880 2,609

Alabama

93,715 5.8 97,277 6.0 -3,562 -0.2

Kentucky

91,694 5.8 94,999 5.9 -3,305 -0.1

Mississippi

52,288 5.8 54,217 6.0 -1,929 -0.2

Tennessee

142,792 5.5 131,387 5.0 11,405 0.5

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 Third Quarter 2019 are scheduled to be released on Wednesday, April 29, 2020.


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 units and jobs lost at closing and contracting units.

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 units 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 units 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 units with positive third month employment in the previous quarter, with no employment or zero employment reported in the current quarter.

Contractions.  These are units 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, Alabama, 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)
June
2018
Sept
2018
Dec.
2018
Mar.
2019
June
2019
June
2018
Sept
2018
Dec.
2018
Mar.
2019
June
2019

Total private (1)

Gross job gains

93,553 95,605 100,816 96,841 93,715 5.8 6.0 6.3 6.0 5.8

At expanding establishments

77,237 80,674 83,484 79,184 77,977 4.8 5.1 5.2 4.9 4.8

At opening establishments

16,316 14,931 17,332 17,657 15,738 1.0 0.9 1.1 1.1 1.0

Gross job losses

90,394 94,075 85,914 88,823 97,277 5.7 5.9 5.3 5.5 6.0

At contracting establishments

76,520 78,061 72,423 75,844 81,188 4.8 4.9 4.5 4.7 5.0

At closing establishments

13,874 16,014 13,491 12,979 16,089 0.9 1.0 0.8 0.8 1.0

Net employment change (2)

3,159 1,530 14,902 8,018 -3,562 0.1 0.1 1.0 0.5 -0.2

Construction

Gross job gains

7,892 8,267 8,765 10,047 8,295 8.9 9.2 9.7 10.9 8.9

At expanding establishments

6,410 7,296 7,325 8,389 7,024 7.2 8.1 8.1 9.1 7.5

At opening establishments

1,482 971 1,440 1,658 1,271 1.7 1.1 1.6 1.8 1.4

Gross job losses

7,190 7,397 7,344 8,076 8,268 8.1 8.3 8.1 8.7 8.9

At contracting establishments

6,143 5,978 6,242 7,023 7,166 6.9 6.7 6.9 7.6 7.7

At closing establishments

1,047 1,419 1,102 1,053 1,102 1.2 1.6 1.2 1.1 1.2

Net employment change (2)

702 870 1,421 1,971 27 0.8 0.9 1.6 2.2 0.0

Manufacturing

Gross job gains

8,151 9,458 9,204 7,871 7,575 3.0 3.5 3.4 2.9 2.8

At expanding establishments

7,313 8,823 8,630 7,248 7,186 2.7 3.3 3.2 2.7 2.7

At opening establishments

838 635 574 623 389 0.3 0.2 0.2 0.2 0.1

Gross job losses

7,994 8,236 7,222 8,230 9,248 3.0 3.1 2.7 3.1 3.5

At contracting establishments

7,009 7,340 6,721 7,722 8,543 2.6 2.8 2.5 2.9 3.2

At closing establishments

985 896 501 508 705 0.4 0.3 0.2 0.2 0.3

Net employment change (2)

157 1,222 1,982 -359 -1,673 0.0 0.4 0.7 -0.2 -0.7

Wholesale trade

Gross job gains

3,536 3,356 3,560 3,721 3,604 4.8 4.5 4.8 5.0 4.9

At expanding establishments

2,878 2,838 2,912 3,138 3,092 3.9 3.8 3.9 4.2 4.2

At opening establishments

658 518 648 583 512 0.9 0.7 0.9 0.8 0.7

Gross job losses

3,438 3,327 3,453 3,191 3,464 4.6 4.5 4.6 4.3 4.6

At contracting establishments

2,662 2,641 2,756 2,716 2,759 3.6 3.6 3.7 3.7 3.7

At closing establishments

776 686 697 475 705 1.0 0.9 0.9 0.6 0.9

Net employment change (2)

98 29 107 530 140 0.2 0.0 0.2 0.7 0.3

Retail trade

Gross job gains

13,586 13,541 12,183 14,418 12,828 5.9 5.9 5.3 6.2 5.5

At expanding establishments

11,314 11,780 10,523 12,302 10,984 4.9 5.1 4.6 5.3 4.7

At opening establishments

2,272 1,761 1,660 2,116 1,844 1.0 0.8 0.7 0.9 0.8

Gross job losses

14,800 14,465 12,662 12,464 14,541 6.4 6.3 5.5 5.4 6.3

At contracting establishments

12,269 12,481 10,966 10,854 12,477 5.3 5.4 4.8 4.7 5.4

At closing establishments

2,531 1,984 1,696 1,610 2,064 1.1 0.9 0.7 0.7 0.9

Net employment change (2)

-1,214 -924 -479 1,954 -1,713 -0.5 -0.4 -0.2 0.8 -0.8

Transportation and warehousing

Gross job gains

3,419 4,028 5,381 3,270 3,168 5.9 6.8 9.0 5.4 5.2

At expanding establishments

2,954 3,532 4,618 2,623 2,657 5.1 6.0 7.7 4.3 4.4

At opening establishments

465 496 763 647 511 0.8 0.8 1.3 1.1 0.8

Gross job losses

3,435 3,419 2,737 3,997 3,606 5.9 5.8 4.6 6.5 5.9

At contracting establishments

3,029 2,703 2,335 3,613 3,177 5.2 4.6 3.9 5.9 5.2

At closing establishments

406 716 402 384 429 0.7 1.2 0.7 0.6 0.7

Net employment change (2)

-16 609 2,644 -727 -438 0.0 1.0 4.4 -1.1 -0.7

Financial activities

Gross job gains

4,201 5,131 4,455 4,247 4,801 4.5 5.4 4.7 4.5 5.1

At expanding establishments

3,358 4,273 3,439 3,377 3,671 3.6 4.5 3.6 3.6 3.9

At opening establishments

843 858 1,016 870 1,130 0.9 0.9 1.1 0.9 1.2

Gross job losses

4,130 4,351 5,192 4,172 4,121 4.4 4.6 5.4 4.4 4.4

At contracting establishments

3,306 3,374 4,202 3,315 3,214 3.5 3.6 4.4 3.5 3.4

At closing establishments

824 977 990 857 907 0.9 1.0 1.0 0.9 1.0

Net employment change (2)

71 780 -737 75 680 0.1 0.8 -0.7 0.1 0.7

Professional and business services

Gross job gains

18,246 17,776 22,417 18,157 18,912 7.5 7.3 9.0 7.2 7.6

At expanding establishments

15,316 14,805 17,866 14,820 15,515 6.3 6.1 7.2 5.9 6.2

At opening establishments

2,930 2,971 4,551 3,337 3,397 1.2 1.2 1.8 1.3 1.4

Gross job losses

17,509 18,394 16,681 16,846 18,828 7.2 7.5 6.8 6.8 7.5

At contracting establishments

14,886 14,868 13,783 13,905 15,220 6.1 6.1 5.6 5.6 6.1

At closing establishments

2,623 3,526 2,898 2,941 3,608 1.1 1.4 1.2 1.2 1.4

Net employment change (2)

737 -618 5,736 1,311 84 0.3 -0.2 2.2 0.4 0.1

Education and health services

Gross job gains

11,740 10,106 10,838 11,125 11,126 5.1 4.4 4.6 4.7 4.7

At expanding establishments

9,947 8,795 9,122 9,030 9,410 4.3 3.8 3.9 3.8 4.0

At opening establishments

1,793 1,311 1,716 2,095 1,716 0.8 0.6 0.7 0.9 0.7

Gross job losses

9,224 10,513 9,837 10,232 10,192 3.9 4.5 4.2 4.3 4.3

At contracting establishments

8,007 8,609 8,002 8,549 7,981 3.4 3.7 3.4 3.6 3.4

At closing establishments

1,217 1,904 1,835 1,683 2,211 0.5 0.8 0.8 0.7 0.9

Net employment change (2)

2,516 -407 1,001 893 934 1.2 -0.1 0.4 0.4 0.4

Leisure and hospitality

Gross job gains

16,732 17,487 17,098 17,055 17,397 8.1 8.6 8.3 8.2 8.3

At expanding establishments

12,964 13,454 13,571 12,839 13,656 6.3 6.6 6.6 6.2 6.5

At opening establishments

3,768 4,033 3,527 4,216 3,741 1.8 2.0 1.7 2.0 1.8

Gross job losses

16,970 17,676 14,868 15,877 18,148 8.2 8.6 7.2 7.6 8.7

At contracting establishments

14,428 14,976 12,563 13,324 15,213 7.0 7.3 6.1 6.4 7.3

At closing establishments

2,542 2,700 2,305 2,553 2,935 1.2 1.3 1.1 1.2 1.4

Net employment change (2)

-238 -189 2,230 1,178 -751 -0.1 0.0 1.1 0.6 -0.4

Other services (3)

Gross job gains

3,337 3,386 3,359 3,217 3,161 7.8 7.9 7.8 7.5 7.3

At expanding establishments

2,532 2,589 2,577 2,668 2,506 5.9 6.0 6.0 6.2 5.8

At opening establishments

805 797 782 549 655 1.9 1.9 1.8 1.3 1.5

Gross job losses

2,881 3,182 3,135 2,789 3,003 6.7 7.4 7.3 6.5 6.9

At contracting establishments

2,397 2,501 2,531 2,281 2,424 5.6 5.8 5.9 5.3 5.6

At closing establishments

484 681 604 508 579 1.1 1.6 1.4 1.2 1.3

Net employment change (2)

456 204 224 428 158 1.1 0.5 0.5 1.0 0.4

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

United States(1)

6.1 6.0 6.3 5.9 6.0 5.8 6.0 5.6 5.5 5.9

Alabama

5.8 6.0 6.3 6.0 5.8 5.7 5.9 5.3 5.5 6.0

Alaska

10.9 8.9 11.0 10.0 10.8 10.7 10.7 9.8 9.0 10.2

Arizona

6.0 6.6 6.2 5.6 5.7 5.9 5.1 5.1 5.5 5.7

Arkansas

5.0 6.1 5.9 5.2 5.0 5.7 5.6 5.0 5.1 5.7

California

6.7 6.5 6.9 6.3 6.6 6.4 6.2 5.9 6.2 6.4

Colorado

6.8 6.6 6.8 6.6 7.0 6.1 6.8 6.0 6.3 6.2

Connecticut

5.8 5.3 5.3 5.2 5.8 5.1 5.7 4.9 5.7 5.9

Delaware

6.4 5.7 6.6 6.4 6.0 6.0 6.5 5.6 5.5 6.3

District of Columbia

5.6 5.3 5.6 5.4 5.4 5.6 5.5 5.1 4.9 5.5

Florida

6.4 6.8 6.4 6.1 6.5 6.1 5.8 6.1 5.6 6.3

Georgia

6.3 6.7 6.3 6.8 6.2 6.4 6.1 5.8 5.7 6.4

Hawaii

5.3 5.1 5.8 5.4 4.7 5.4 5.4 5.1 5.9 6.1

Idaho

7.3 6.8 7.4 7.5 7.1 6.8 6.9 6.3 6.1 6.7

Illinois

5.6 5.5 5.5 5.2 5.6 5.6 5.8 5.6 5.1 5.3

Indiana

5.5 5.2 5.6 5.9 5.2 5.5 5.4 5.0 4.8 5.8

Iowa

5.7 5.3 5.8 5.1 5.8 5.4 5.7 5.3 5.4 5.6

Kansas

5.7 5.9 6.1 5.4 5.7 5.6 5.7 5.4 5.7 5.7

Kentucky

5.9 5.8 6.1 5.8 5.8 5.7 6.0 5.4 5.5 5.9

Louisiana

6.2 6.3 6.2 5.9 6.0 6.5 6.3 5.8 5.9 6.5

Maine

8.0 6.1 7.3 7.2 7.5 7.1 7.5 6.7 6.4 7.5

Maryland

6.1 6.3 6.8 6.4 6.3 5.8 6.6 6.4 5.7 6.4

Massachusetts

6.1 5.6 5.8 5.7 6.0 5.5 6.1 5.3 5.2 5.7

Michigan

5.5 5.0 5.6 5.1 5.5 5.2 6.2 5.2 4.6 5.8

Minnesota

5.8 5.5 5.7 5.2 5.8 5.2 5.7 5.4 5.1 5.5

Mississippi

5.7 5.9 6.5 5.7 5.8 6.0 5.9 5.3 6.2 6.0

Missouri

5.7 5.9 5.8 5.4 5.6 5.7 6.0 5.4 5.3 5.8

Montana

8.0 7.2 8.9 7.6 8.0 7.8 7.9 7.2 8.0 7.7

Nebraska

5.8 5.9 5.9 5.7 5.7 5.8 5.9 5.7 5.6 5.7

Nevada

6.1 6.7 6.6 6.0 5.9 5.8 5.7 5.5 5.4 6.0

New Hampshire

6.7 5.7 6.6 6.3 6.4 6.2 6.8 5.7 5.7 6.3

New Jersey

6.5 6.0 6.4 5.7 6.2 5.8 6.4 5.7 5.6 5.8

New Mexico

6.7 6.4 6.8 6.4 6.3 6.2 6.4 6.1 5.8 6.3

New York

6.3 6.1 6.3 6.0 6.0 5.8 6.4 5.7 5.3 5.9

North Carolina

6.1 5.7 6.7 6.3 6.1 5.7 6.4 5.3 5.1 5.7

North Dakota

6.7 6.6 6.8 7.1 6.7 6.2 6.6 6.2 6.4 6.7

Ohio

5.6 5.4 5.6 5.5 5.6 5.4 5.8 5.3 5.1 5.7

Oklahoma

6.4 6.7 6.5 5.8 5.9 6.3 6.1 6.1 5.8 6.2

Oregon

6.2 6.2 6.7 6.3 6.3 6.3 6.3 6.0 5.8 6.1

Pennsylvania

5.3 5.4 5.3 5.1 5.2 5.1 5.2 4.8 4.8 5.3

Rhode Island

6.3 6.2 6.4 5.8 6.4 6.1 6.4 5.7 5.6 6.7

South Carolina

7.5 5.8 7.4 6.4 6.3 6.7 6.5 5.4 6.0 6.2

South Dakota

6.1 6.0 6.3 5.7 6.2 6.1 5.7 5.8 6.4 6.0

Tennessee

5.5 5.8 5.8 5.4 5.5 5.3 5.3 4.9 4.8 5.0

Texas

5.9 6.0 6.2 5.5 5.7 5.3 5.4 5.2 5.2 5.3

Utah

6.9 7.3 6.9 7.3 6.9 6.4 6.4 6.2 6.2 6.5

Vermont

7.2 6.9 7.4 6.7 6.9 7.1 7.6 6.8 6.3 7.1

Virginia

6.2 5.7 6.3 6.4 6.1 5.8 6.3 5.6 5.5 5.9

Washington

7.3 6.2 6.4 6.2 6.6 6.5 6.5 5.6 5.6 5.7

West Virginia

6.8 7.0 6.3 6.0 6.2 6.4 6.4 6.5 6.6 6.5

Wisconsin

5.5 5.1 5.4 5.1 5.5 5.5 5.9 5.0 4.8 5.3

Wyoming

8.4 8.3 10.0 8.6 8.5 8.4 8.4 7.8 7.8 9.6

Puerto Rico

7.9 7.2 6.0 7.1 6.4 6.2 5.8 6.8 5.1 5.8

Virgin Islands

13.2 12.8 7.9 11.9 8.8 7.0 5.9 7.1 7.4 6.1

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

 

Last Modified Date: Wednesday, February 19, 2020