News Release Information

17-65-DAL
Wednesday, February 08, 2017

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Technical information:
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Business Employment Dynamics in Arkansas – Second Quarter 2016

From March 2016 to June 2016 gross job losses in private sector establishments in Arkansas totaled 57,344, while gross job gains numbered 53,228, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Stanley W. Suchman noted that gross job losses exceeded gross job gains by 4,116. In the previous quarter, gross job gains exceeded gross job losses by 440. (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. 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 job gains and the number of gross job losses is the net change in employment. (See the Technical Note for more information.)

Gross job losses in Arkansas increased in each of the last three quarters. In the most recent quarter, gross job losses increased by nearly 4,000, to their highest level since September 2012. (See chart 1.) Gross job gains fell by 591 in the three months ended in June 2016, after decreasing by almost 8,900 in the previous quarter.

Gross job losses represented 5.8 percent of private sector employment in Arkansas in the quarter ended in June 2016, while nationally gross job losses accounted for 6.0 percent of private employment. (See chart 2.) Arkansas’s rate of gross job losses has generally remained below the national rates since the series inception in September 1992. The state’s rate of gross job gains was 5.4 percent in June 2016, unchanged from the previous quarter.

During the second quarter of 2016, gross job losses exceeded gross job gains in 7 of the 10 industry sectors in Arkansas. The professional and business services sector experienced the largest net job loss during the quarter. While 9,447 jobs were created at opening and expanding establishments in the sector, 12,801 jobs were lost at closing and contracting establishments, for a net loss of 3,354 jobs. In leisure and hospitality, 8,515 jobs were created in opening and expanding establishments while 9,322 jobs were lost in closing and contracting establishments, resulting in a net loss of 807 jobs. (See table 1.)

In contrast, gross job gains exceeded gross job losses in three industry sectors in Arkansas. The education and health services sector had a net employment gain in this quarter as gross job gains exceeded gross job losses by 1,752. Although 5,812 jobs were lost at closing and contracting establishments, 7,564 jobs were gained at opening and expanding establishments. In the other services and manufacturing sectors, gross job gains exceeded gross job losses by less than 150.

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 Third Quarter 2016 is scheduled to be released on Wednesday, April 26, 2017 at 10:00 a.m. (EDT).


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), or the ES-202 program. The BED data are compiled from existing QCEW records. The QCEW reports are sent by the State Employment Security Agencies (SESAs) to BLS and form the basis of the Bureau’s QCEW program and establishment universe sampling frame. These reports are also used to produce the QCEW data on total employment and wages. Other important Bureau uses of the QCEW reports are in the Current Employment Statistics (CES) program. The CES program produces monthly estimates of employment, net changes, and earnings by detailed industry.

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, Arkansas, 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
2015
Sept.
2015
Dec.
2015
Mar.
2016
June
2016
June
2015
Sept.
2015
Dec.
2015
Mar.
2016
June
2016

Total private (1)

 

Gross job gains

58,092 59,893 62,679 53,819 53,228 6.0 6.1 6.3 5.4 5.4

At expanding establishments

48,789 49,037 50,625 44,562 44,448 5.0 5.0 5.1 4.5 4.5

At opening establishments

9,303 10,856 12,054 9,257 8,780 1.0 1.1 1.2 0.9 0.9

Gross job losses

52,024 51,688 52,402 53,379 57,344 5.3 5.3 5.3 5.3 5.8

At contracting establishments

44,106 42,885 43,027 45,179 49,222 4.5 4.4 4.4 4.5 5.0

At closing establishments

7,918 8,803 9,375 8,200 8,122 0.8 0.9 0.9 0.8 0.8

Net employment change (2)

6,068 8,205 10,277 440 -4,116 0.7 0.8 1.0 0.1 -0.4

Construction

 

Gross job gains

5,637 7,133 5,182 4,742 5,012 11.7 14.4 10.2 9.3 9.9

At expanding establishments

4,615 6,005 4,064 3,668 4,114 9.6 12.1 8.0 7.2 8.1

At opening establishments

1,022 1,128 1,118 1,074 898 2.1 2.3 2.2 2.1 1.8

Gross job losses

4,562 4,539 5,042 5,257 5,162 9.5 9.2 9.9 10.3 10.2

At contracting establishments

3,504 3,717 4,076 4,397 4,355 7.3 7.5 8.0 8.6 8.6

At closing establishments

1,058 822 966 860 807 2.2 1.7 1.9 1.7 1.6

Net employment change (2)

1,075 2,594 140 -515 -150 2.2 5.2 0.3 -1.0 -0.3

Manufacturing

 

Gross job gains

4,006 4,353 4,351 3,580 4,364 2.6 2.8 2.8 2.3 2.9

At expanding establishments

3,724 4,185 4,042 3,286 4,126 2.4 2.7 2.6 2.1 2.7

At opening establishments

282 168 309 294 238 0.2 0.1 0.2 0.2 0.2

Gross job losses

4,971 4,456 4,040 4,532 4,231 3.2 2.9 2.6 2.9 2.7

At contracting establishments

4,722 3,906 3,585 4,317 3,875 3.0 2.5 2.3 2.8 2.5

At closing establishments

249 550 455 215 356 0.2 0.4 0.3 0.1 0.2

Net employment change (2)

-965 -103 311 -952 133 -0.6 -0.1 0.2 -0.6 0.2

Wholesale trade

 

Gross job gains

2,422 2,647 2,696 2,467 2,099 5.2 5.6 5.6 5.3 4.6

At expanding establishments

1,927 2,166 2,150 1,959 1,702 4.1 4.6 4.5 4.2 3.7

At opening establishments

495 481 546 508 397 1.1 1.0 1.1 1.1 0.9

Gross job losses

2,480 2,357 2,263 2,310 2,553 5.3 5.0 4.8 5.0 5.5

At contracting establishments

2,050 1,871 1,878 1,771 2,069 4.4 4.0 4.0 3.8 4.5

At closing establishments

430 486 385 539 484 0.9 1.0 0.8 1.2 1.0

Net employment change (2)

-58 290 433 157 -454 -0.1 0.6 0.8 0.3 -0.9

Retail trade

 

Gross job gains

8,836 7,780 8,584 9,069 7,735 6.3 5.5 6.1 6.4 5.4

At expanding establishments

7,952 6,385 6,874 7,684 6,777 5.7 4.5 4.9 5.4 4.7

At opening establishments

884 1,395 1,710 1,385 958 0.6 1.0 1.2 1.0 0.7

Gross job losses

6,107 8,109 8,115 7,840 7,992 4.4 5.7 5.7 5.5 5.6

At contracting establishments

5,291 7,090 7,064 6,965 7,139 3.8 5.0 5.0 4.9 5.0

At closing establishments

816 1,019 1,051 875 853 0.6 0.7 0.7 0.6 0.6

Net employment change (2)

2,729 -329 469 1,229 -257 1.9 -0.2 0.4 0.9 -0.2

Transportation and warehousing

 

Gross job gains

2,973 2,181 2,782 2,422 2,177 5.6 4.1 5.3 4.5 4.1

At expanding establishments

2,601 1,822 2,490 2,022 1,989 4.9 3.4 4.7 3.8 3.7

At opening establishments

372 359 292 400 188 0.7 0.7 0.6 0.7 0.4

Gross job losses

2,148 2,393 2,260 2,516 2,242 4.0 4.5 4.2 4.7 4.2

At contracting establishments

1,705 2,083 1,655 2,237 1,904 3.2 3.9 3.1 4.2 3.6

At closing establishments

443 310 605 279 338 0.8 0.6 1.1 0.5 0.6

Net employment change (2)

825 -212 522 -94 -65 1.6 -0.4 1.1 -0.2 -0.1

Financial activities

 

Gross job gains

2,423 2,396 2,557 2,364 2,182 5.0 5.0 5.3 4.8 4.4

At expanding establishments

1,921 1,880 1,832 1,696 1,765 4.0 3.9 3.8 3.4 3.6

At opening establishments

502 516 725 668 417 1.0 1.1 1.5 1.4 0.8

Gross job losses

2,405 2,165 2,353 2,224 2,336 5.0 4.5 4.9 4.6 4.7

At contracting establishments

1,862 1,642 1,726 1,656 1,771 3.9 3.4 3.6 3.4 3.6

At closing establishments

543 523 627 568 565 1.1 1.1 1.3 1.2 1.1

Net employment change (2)

18 231 204 140 -154 0.0 0.5 0.4 0.2 -0.3

Professional and business services

 

Gross job gains

10,554 11,587 12,917 8,649 9,447 7.8 8.4 9.2 6.1 6.7

At expanding establishments

8,561 9,191 10,418 7,277 7,786 6.3 6.7 7.4 5.1 5.5

At opening establishments

1,993 2,396 2,499 1,372 1,661 1.5 1.7 1.8 1.0 1.2

Gross job losses

10,803 8,369 8,800 9,031 12,801 7.9 6.1 6.2 6.3 9.0

At contracting establishments

9,288 6,590 6,799 7,463 11,062 6.8 4.8 4.8 5.2 7.8

At closing establishments

1,515 1,779 2,001 1,568 1,739 1.1 1.3 1.4 1.1 1.2

Net employment change (2)

-249 3,218 4,117 -382 -3,354 -0.1 2.3 3.0 -0.2 -2.3

Education and health services

 

Gross job gains

7,326 7,129 8,443 7,174 7,564 4.3 4.1 4.9 4.1 4.3

At expanding establishments

6,136 6,096 6,866 6,041 6,341 3.6 3.5 4.0 3.5 3.6

At opening establishments

1,190 1,033 1,577 1,133 1,223 0.7 0.6 0.9 0.6 0.7

Gross job losses

5,935 6,150 6,515 6,498 5,812 3.4 3.6 3.8 3.7 3.3

At contracting establishments

4,863 4,908 5,312 5,192 4,854 2.8 2.9 3.1 3.0 2.8

At closing establishments

1,072 1,242 1,203 1,306 958 0.6 0.7 0.7 0.7 0.5

Net employment change (2)

1,391 979 1,928 676 1,752 0.9 0.5 1.1 0.4 1.0

Leisure and hospitality

 

Gross job gains

9,548 10,623 10,525 9,060 8,515 8.7 9.5 9.2 7.8 7.4

At expanding establishments

7,809 8,027 8,414 7,284 6,744 7.1 7.2 7.4 6.3 5.9

At opening establishments

1,739 2,596 2,111 1,776 1,771 1.6 2.3 1.8 1.5 1.5

Gross job losses

7,996 8,678 8,234 8,723 9,322 7.3 7.8 7.2 7.5 8.1

At contracting establishments

7,022 7,455 7,187 7,445 8,302 6.4 6.7 6.3 6.4 7.2

At closing establishments

974 1,223 1,047 1,278 1,020 0.9 1.1 0.9 1.1 0.9

Net employment change (2)

1,552 1,945 2,291 337 -807 1.4 1.7 2.0 0.3 -0.7

Other services (3)

 

Gross job gains

1,861 1,689 2,264 1,747 1,881 8.2 7.3 9.7 7.3 7.9

At expanding establishments

1,502 1,318 1,611 1,475 1,422 6.6 5.7 6.9 6.2 6.0

At opening establishments

359 371 653 272 459 1.6 1.6 2.8 1.1 1.9

Gross job losses

1,588 1,685 1,778 1,682 1,743 6.9 7.3 7.6 7.1 7.4

At contracting establishments

1,195 1,239 1,420 1,356 1,324 5.2 5.4 6.1 5.7 5.6

At closing establishments

393 446 358 326 419 1.7 1.9 1.5 1.4 1.8

Net employment change (2)

273 4 486 65 138 1.3 0.0 2.1 0.2 0.5

(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
State Gross job gains as a percent of employment
(3 months ended)
Gross job losses as a percent of employment
(3 months ended)
June
2015
Sept.
2015
Dec.
2015
Mar.
2016
June
2016
June
2015
Sept.
2015
Dec.
2015
Mar.
2016
June
2016

United States(1)

6.4 6.3 6.6 5.8 6.2 5.7 5.8 5.8 5.7 6.0

Alabama

5.9 5.8 6.2 5.8 5.8 5.3 5.5 5.3 5.4 5.8

Alaska

10.6 9.1 9.6 9.4 10.3 10.9 10.3 10.5 9.7 11.9

Arizona

6.0 6.8 6.9 6.0 6.1 5.7 5.4 5.4 5.7 6.1

Arkansas

6.0 6.1 6.3 5.4 5.4 5.3 5.3 5.3 5.3 5.8

California

6.9 6.9 7.6 6.5 6.8 6.5 5.9 6.7 6.3 6.7

Colorado

7.0 7.0 7.0 6.6 6.9 6.4 6.4 6.4 6.1 6.5

Connecticut

5.7 5.1 5.5 5.2 5.4 5.0 5.9 4.9 5.0 5.3

Delaware

7.7 6.1 7.3 6.5 6.7 5.8 6.1 6.2 6.4 6.6

District of Columbia

6.1 6.1 6.2 5.2 5.8 5.8 5.4 4.6 5.6 6.1

Florida

7.0 6.9 7.2 6.1 6.4 5.9 5.8 5.8 5.8 5.9

Georgia

6.7 6.5 6.9 6.1 7.0 5.8 5.9 5.7 5.6 6.6

Hawaii

4.9 5.1 5.8 4.9 5.4 4.8 4.6 4.4 4.9 6.0

Idaho

7.6 7.8 7.9 8.2 7.1 7.2 7.0 6.9 6.3 7.1

Illinois

6.1 5.4 6.4 5.3 5.9 5.2 5.8 5.6 5.4 5.9

Indiana

5.7 5.5 6.2 5.5 5.2 5.2 5.3 4.9 5.3 5.2

Iowa

6.0 5.7 6.0 6.0 5.6 6.0 6.0 5.7 5.3 6.1

Kansas

6.0 5.7 6.2 5.8 5.6 5.9 5.8 5.6 5.9 6.3

Kentucky

6.4 6.1 6.7 5.7 6.2 5.5 5.7 5.4 5.8 5.8

Louisiana

6.4 6.2 6.5 6.0 5.9 6.8 6.2 6.4 6.6 6.9

Maine

8.3 6.6 8.6 8.0 7.7 6.5 7.1 7.1 6.9 6.7

Maryland

7.1 6.5 6.8 6.2 6.3 5.9 6.2 5.9 6.0 6.3

Massachusetts

6.4 5.4 5.9 5.2 6.0 5.1 5.6 5.2 5.0 5.2

Michigan

6.1 5.4 6.1 5.4 5.9 5.2 5.6 5.3 4.9 5.3

Minnesota

6.1 5.4 6.1 5.4 5.9 5.1 5.8 5.7 5.2 5.6

Mississippi

6.5 6.2 7.1 5.7 5.7 5.9 5.9 5.4 6.1 6.5

Missouri

6.0 5.7 6.3 5.7 5.7 5.2 5.5 5.3 5.3 5.4

Montana

8.0 7.6 8.5 7.8 7.9 8.4 7.7 7.3 7.2 8.6

Nebraska

5.9 6.0 6.1 5.8 5.7 5.6 5.6 5.5 5.5 6.0

Nevada

6.2 6.2 6.8 6.3 6.5 5.8 5.6 5.3 5.7 5.6

New Hampshire

6.8 6.1 6.7 6.0 6.5 6.0 6.4 5.6 5.8 5.9

New Jersey

7.1 6.3 6.7 5.9 6.5 6.0 6.2 5.9 5.9 5.8

New Mexico

6.8 6.5 7.0 6.2 6.5 6.9 6.6 6.9 6.3 6.7

New York

6.7 6.3 6.4 6.1 6.2 5.8 6.0 5.7 5.7 5.8

North Carolina

6.4 6.3 6.7 6.0 6.3 5.5 5.7 5.5 5.6 5.8

North Dakota

6.7 7.1 6.7 6.6 6.8 11.2 8.5 8.1 8.9 9.0

Ohio

6.0 5.5 6.0 5.4 5.6 5.2 5.6 5.1 5.1 5.6

Oklahoma

6.0 6.1 6.3 5.7 5.8 6.6 6.1 6.5 6.4 6.8

Oregon

6.9 7.0 7.0 7.0 6.7 6.1 6.4 6.2 5.8 6.5

Pennsylvania

5.6 5.3 5.7 5.4 5.3 4.9 5.3 5.1 5.2 5.4

Rhode Island

6.7 5.8 6.6 5.8 6.2 5.9 5.8 5.7 5.9 6.2

South Carolina

6.5 6.1 7.1 6.1 6.3 5.5 5.8 5.3 5.8 5.8

South Dakota

6.3 5.9 6.7 6.2 6.4 5.9 6.1 5.9 6.1 6.2

Tennessee

6.0 5.8 6.3 5.2 5.7 4.8 5.1 4.8 5.1 5.3

Texas

6.0 5.9 6.1 4.7 6.3 5.6 5.5 5.5 5.5 5.4

Utah

6.9 7.0 7.2 7.3 6.7 6.2 6.0 6.0 5.9 6.4

Vermont

7.3 6.9 7.2 6.6 7.4 6.9 7.7 6.5 6.9 7.2

Virginia

6.5 7.1 6.4 5.9 6.4 5.4 5.8 5.6 5.9 6.0

Washington

7.3 6.7 6.8 7.1 7.2 6.1 6.8 6.2 5.6 5.8

West Virginia

6.4 5.8 6.6 5.9 5.8 6.7 6.7 6.3 6.9 6.9

Wisconsin

5.7 5.6 6.0 5.6 5.7 5.2 5.6 5.2 5.2 5.7

Wyoming

7.9 8.5 9.0 7.9 7.7 11.0 9.2 9.3 9.4 10.4

Puerto Rico

5.7 5.9 6.3 5.7 5.6 6.2 6.3 5.7 6.0 5.6

Virgin Islands

6.5 6.0 7.3 5.7 6.3 6.8 7.3 5.3 5.4 5.8

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

 

Last Modified Date: Wednesday, February 08, 2017