From March 2022 to June 2022, gross job losses from closing and contracting private-sector establishments were 1,109,727, while gross job gains from opening and expanding private-sector establishments in California were 1,021,819, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Chris Rosenlund noted that the difference between the number of gross job gains and the number of gross job losses yielded a net employment loss of 87,908 jobs in the private sector during the second quarter of 2022. During the previous quarter, gross job gains exceeded gross job losses by 271,027. (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 the Technical Note.)

Gross job gains

In the second quarter of 2022, gross job gains represented 6.6 percent of private-sector employment in California; nationally, gross job gains accounted for 6.4 percent of private-sector employment. (See chart 2.) Gross job gains are the sum of increases in employment due to expansions at existing establishments and the addition of new jobs at opening establishments. In California, gross job gains at expanding establishments totaled 806,458 in the second quarter of 2022, a decrease of 108,570 jobs compared to the previous quarter. (See table 1.) Opening establishments accounted for 215,361 jobs gained in the second quarter of 2022, an increase of 4,996 jobs from the previous quarter.

Gross job losses

In the second quarter of 2022, gross job losses represented 7.2 percent of private-sector employment in California; nationally, gross job losses accounted for 6.7 percent of private-sector employment. (See chart 3.) Gross job losses are the result of contractions in employment at existing establishments and the loss of jobs at closing establishments. In California, contracting establishments lost 844,540 jobs in the second quarter of 2022, an increase of 187,700 jobs from the prior quarter. Closing establishments lost 265,187 jobs, an increase of 67,661 jobs from the previous quarter.

Industries

Gross job losses exceeded gross job gains in 6 of 11 industry sectors in California in the second quarter of 2022. Education and health services had the largest over-the-quarter net job decrease, with a loss of 73,814 jobs. This was the result of 164,012 gross job gains and 237,826 gross job losses. Transportation and warehousing had a net loss of 25,362 jobs, and retail trade had a net loss of 17,091 jobs. Leisure and hospitality had the largest over-the-quarter net job increase, with a gain of 33,454 jobs. 

For more information

The BED data series include gross job gains and gross job losses by industry subsector, for the 50 states, the District of Columbia, Puerto Rico, and the Virgin Islands, as well as gross job gains and gross job losses at the firm level by employer size class. BED data for the states have been included in table 2 of this release. Additional information is available online at www.bls.gov/bdm/.

The Business Employment Dynamics for Third Quarter 2022 are scheduled to be released on Wednesday, April 26, 2023.

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 units with positive third month employment in the previous quarter and either not reported, or reported with zero employment, 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.

The full Technical Note for the Business Employment Dynamics program, which includes information on coverage, concepts, and methodology, can be found in the current quarterly news release online at www.bls.gov/news.release/cewbd.htm.

Information in this release will be made available to individuals with sensory impairments upon request. Voice phone: 202-691-5200; Telecommunications Relay Service: 7-1-1.

Table 1. Private sector gross job gains and losses by industry, California, seasonally adjusted

Category	Gross job gains and losses (3 months ended)					Gross job gains and losses as a percent of employment (3 months ended)
	June 2021	Sept. 2021	Dec. 2021	Mar. 2022	June 2022	June 2021	Sept. 2021	Dec. 2021	Mar. 2022	June 2022
Total private (1)
Gross job gains	1,124,734	1,140,001	1,262,060	1,125,393	1,021,819	7.8	7.8	8.5	7.4	6.6
At expanding establishments	904,684	916,551	976,799	915,028	806,458	6.3	6.3	6.6	6.0	5.2
At opening establishments	220,050	223,450	285,261	210,365	215,361	1.5	1.5	1.9	1.4	1.4
Gross job losses	924,030	897,795	819,248	854,366	1,109,727	6.5	6.1	5.5	5.6	7.2
At contracting establishments	740,904	703,653	647,442	656,840	844,540	5.2	4.8	4.3	4.3	5.5
At closing establishments	183,126	194,142	171,806	197,526	265,187	1.3	1.3	1.2	1.3	1.7
Net employment change (2)	200,704	242,206	442,812	271,027	-87,908	1.3	1.7	3.0	1.8	-0.6
Construction
Gross job gains	73,964	72,336	86,436	92,130	71,479	8.4	8.2	9.8	10.2	7.8
At expanding establishments	59,805	57,116	65,780	77,898	56,605	6.8	6.5	7.5	8.6	6.2
At opening establishments	14,159	15,220	20,656	14,232	14,874	1.6	1.7	2.3	1.6	1.6
Gross job losses	80,753	80,480	67,696	61,104	82,865	9.1	9.2	7.7	6.7	9.0
At contracting establishments	65,013	64,747	53,773	47,154	63,732	7.3	7.4	6.1	5.2	6.9
At closing establishments	15,740	15,733	13,923	13,950	19,133	1.8	1.8	1.6	1.5	2.1
Net employment change (2)	-6,789	-8,144	18,740	31,026	-11,386	-0.7	-1.0	2.1	3.5	-1.2
Manufacturing
Gross job gains	50,424	55,278	66,424	56,012	53,145	3.9	4.3	5.2	4.2	3.9
At expanding establishments	44,840	47,838	56,682	50,298	47,226	3.5	3.7	4.4	3.8	3.5
At opening establishments	5,584	7,440	9,742	5,714	5,919	0.4	0.6	0.8	0.4	0.4
Gross job losses	46,374	46,536	41,085	43,493	48,305	3.7	3.7	3.1	3.2	3.6
At contracting establishments	39,075	39,121	34,284	35,005	37,823	3.1	3.1	2.6	2.6	2.8
At closing establishments	7,299	7,415	6,801	8,488	10,482	0.6	0.6	0.5	0.6	0.8
Net employment change (2)	4,050	8,742	25,339	12,519	4,840	0.2	0.6	2.1	1.0	0.3
Wholesale trade
Gross job gains	34,868	34,468	43,338	34,603	33,777	5.4	5.3	6.6	5.3	5.1
At expanding establishments	28,478	26,556	32,773	28,820	26,491	4.4	4.1	5.0	4.4	4.0
At opening establishments	6,390	7,912	10,565	5,783	7,286	1.0	1.2	1.6	0.9	1.1
Gross job losses	32,623	33,104	26,665	29,895	35,083	5.1	5.1	4.0	4.5	5.2
At contracting establishments	24,209	24,443	20,519	21,797	24,945	3.8	3.8	3.1	3.3	3.7
At closing establishments	8,414	8,661	6,146	8,098	10,138	1.3	1.3	0.9	1.2	1.5
Net employment change (2)	2,245	1,364	16,673	4,708	-1,306	0.3	0.2	2.6	0.8	-0.1
Retail trade
Gross job gains	104,637	108,246	93,039	110,289	89,952	6.5	6.7	5.8	6.8	5.5
At expanding establishments	89,599	93,168	75,691	98,656	74,779	5.6	5.8	4.7	6.1	4.6
At opening establishments	15,038	15,078	17,348	11,633	15,173	0.9	0.9	1.1	0.7	0.9
Gross job losses	102,125	106,139	90,151	76,712	107,043	6.4	6.6	5.7	4.8	6.6
At contracting establishments	89,587	91,936	78,052	64,062	90,977	5.6	5.7	4.9	4.0	5.6
At closing establishments	12,538	14,203	12,099	12,650	16,066	0.8	0.9	0.8	0.8	1.0
Net employment change (2)	2,512	2,107	2,888	33,577	-17,091	0.1	0.1	0.1	2.0	-1.1
Transportation and warehousing
Gross job gains	38,509	54,621	86,884	43,115	34,440	5.4	7.8	11.6	5.5	4.4
At expanding establishments	29,963	43,598	70,849	36,888	27,981	4.2	6.2	9.5	4.7	3.6
At opening establishments	8,546	11,023	16,035	6,227	6,459	1.2	1.6	2.1	0.8	0.8
Gross job losses	64,383	36,540	26,404	43,392	59,802	9.2	5.1	3.6	5.6	7.7
At contracting establishments	58,345	30,575	21,397	38,118	52,669	8.3	4.3	2.9	4.9	6.8
At closing establishments	6,038	5,965	5,007	5,274	7,133	0.9	0.8	0.7	0.7	0.9
Net employment change (2)	-25,874	18,081	60,480	-277	-25,362	-3.8	2.7	8.0	-0.1	-3.3
Information
Gross job gains	41,906	56,224	52,909	35,877	39,455	7.7	10.2	9.2	6.1	6.5
At expanding establishments	34,756	49,253	44,422	32,372	34,518	6.4	8.9	7.7	5.5	5.7
At opening establishments	7,150	6,971	8,487	3,505	4,937	1.3	1.3	1.5	0.6	0.8
Gross job losses	39,934	29,328	29,719	29,537	34,128	7.4	5.3	5.2	5.0	5.6
At contracting establishments	34,543	24,281	24,222	19,575	27,244	6.4	4.4	4.2	3.3	4.5
At closing establishments	5,391	5,047	5,497	9,962	6,884	1.0	0.9	1.0	1.7	1.1
Net employment change (2)	1,972	26,896	23,190	6,340	5,327	0.3	4.9	4.0	1.1	0.9
Financial activities
Gross job gains	50,591	50,186	62,722	49,451	49,084	6.1	6.1	7.5	5.9	5.8
At expanding establishments	37,162	36,737	42,564	39,552	35,549	4.5	4.5	5.1	4.7	4.2
At opening establishments	13,429	13,449	20,158	9,899	13,535	1.6	1.6	2.4	1.2	1.6
Gross job losses	48,967	47,299	42,416	51,341	53,254	5.9	5.8	5.0	6.0	6.3
At contracting establishments	35,651	34,191	31,186	32,331	38,140	4.3	4.2	3.7	3.8	4.5
At closing establishments	13,316	13,108	11,230	19,010	15,114	1.6	1.6	1.3	2.2	1.8
Net employment change (2)	1,624	2,887	20,306	-1,890	-4,170	0.2	0.3	2.5	-0.1	-0.5
Professional and business services
Gross job gains	182,248	202,705	252,870	198,193	193,933	6.9	7.5	9.1	7.0	6.8
At expanding establishments	145,777	161,943	202,772	165,326	153,048	5.5	6.0	7.3	5.8	5.4
At opening establishments	36,471	40,762	50,098	32,867	40,885	1.4	1.5	1.8	1.2	1.4
Gross job losses	170,249	166,753	148,652	164,544	191,881	6.4	6.1	5.4	5.8	6.7
At contracting establishments	133,825	127,728	112,827	123,699	150,897	5.0	4.7	4.1	4.4	5.3
At closing establishments	36,424	39,025	35,825	40,845	40,984	1.4	1.4	1.3	1.4	1.4
Net employment change (2)	11,999	35,952	104,218	33,649	2,052	0.5	1.4	3.7	1.2	0.1
Education and health services
Gross job gains	156,605	153,808	181,182	217,050	164,012	5.8	5.6	6.5	7.7	5.7
At expanding establishments	111,036	106,259	122,470	146,181	114,673	4.1	3.9	4.4	5.2	4.0
At opening establishments	45,569	47,549	58,712	70,869	49,339	1.7	1.7	2.1	2.5	1.7
Gross job losses	135,072	144,725	131,526	117,796	237,826	5.0	5.3	4.8	4.2	8.4
At contracting establishments	92,777	99,068	91,397	84,541	147,610	3.4	3.6	3.3	3.0	5.2
At closing establishments	42,295	45,657	40,129	33,255	90,216	1.6	1.7	1.5	1.2	3.2
Net employment change (2)	21,533	9,083	49,656	99,254	-73,814	0.8	0.3	1.7	3.5	-2.7
Leisure and hospitality
Gross job gains	260,015	231,262	190,464	155,202	159,940	16.7	13.4	10.5	8.3	8.4
At expanding establishments	212,412	191,222	144,085	127,035	124,556	13.6	11.1	7.9	6.8	6.5
At opening establishments	47,603	40,040	46,379	28,167	35,384	3.1	2.3	2.6	1.5	1.9
Gross job losses	86,253	107,384	106,980	116,468	126,486	5.6	6.2	5.9	6.2	6.6
At contracting establishments	66,480	84,450	84,637	88,663	98,081	4.3	4.9	4.7	4.7	5.1
At closing establishments	19,773	22,934	22,343	27,805	28,405	1.3	1.3	1.2	1.5	1.5
Net employment change (2)	173,762	123,878	83,484	38,734	33,454	11.1	7.2	4.6	2.1	1.8
Other services (3)
Gross job gains	49,982	48,797	52,847	41,722	40,657	11.5	10.7	11.1	8.5	8.2
At expanding establishments	37,002	36,757	36,083	31,525	30,883	8.5	8.1	7.6	6.4	6.2
At opening establishments	12,980	12,040	16,764	10,197	9,774	3.0	2.6	3.5	2.1	2.0
Gross job losses	28,352	31,252	27,740	34,897	39,160	6.6	6.8	5.8	7.1	7.9
At contracting establishments	19,877	21,082	20,436	25,077	28,159	4.6	4.6	4.3	5.1	5.7
At closing establishments	8,475	10,170	7,304	9,820	11,001	2.0	2.2	1.5	2.0	2.2
Net employment change (2)	21,630	17,545	25,107	6,825	1,497	4.9	3.9	5.3	1.4	0.3
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 2021	Sept. 2021	Dec. 2021	Mar. 2022	June 2022	June 2021	Sept. 2021	Dec. 2021	Mar. 2022	June 2022
United States(1)	6.8	7.3	7.7	6.6	6.4	5.9	6.1	5.4	5.4	6.7
Alabama	6.3	6.7	7.6	6.2	6.6	6.0	6.3	5.2	6.0	7.0
Alaska	9.5	10.5	11.8	10.1	10.1	9.3	9.7	8.7	9.3	9.6
Arizona	6.8	7.1	6.8	6.8	6.7	5.9	5.1	5.0	5.7	7.3
Arkansas	5.8	6.8	7.8	5.9	5.6	5.7	6.7	4.8	5.4	6.0
California	7.8	7.8	8.5	7.4	6.6	6.5	6.1	5.5	5.6	7.2
Colorado	7.8	8.0	7.6	7.5	7.3	6.4	7.0	6.1	6.3	6.7
Connecticut	6.7	6.9	6.9	6.3	6.3	5.8	6.0	5.3	5.3	6.5
Delaware	6.8	7.6	8.2	7.3	6.5	6.5	7.2	6.0	5.6	8.2
District of Columbia	7.1	7.9	7.3	6.0	6.0	5.4	4.9	4.9	4.9	6.8
Florida	7.8	9.0	7.7	6.5	7.5	6.3	6.0	6.0	5.7	6.9
Georgia	7.0	7.5	7.9	6.8	6.6	6.2	6.2	5.5	5.7	6.7
Hawaii	10.7	7.3	7.1	6.1	5.9	5.5	6.3	5.1	5.1	5.9
Idaho	7.2	7.7	8.5	8.5	7.1	7.2	7.3	6.3	6.2	9.1
Illinois	6.2	6.6	7.5	6.2	5.9	5.5	6.0	4.9	5.0	5.9
Indiana	5.7	6.3	7.3	6.0	5.6	6.0	5.7	4.7	4.8	6.8
Iowa	6.0	6.2	6.6	6.5	5.8	6.0	6.1	5.4	5.3	6.7
Kansas	6.2	6.6	7.6	6.2	6.5	6.2	6.5	5.3	5.4	7.5
Kentucky	6.5	6.7	7.4	6.6	6.3	6.4	6.4	4.9	5.0	8.7
Louisiana	6.9	6.9	9.6	6.5	6.6	6.1	8.5	5.8	7.1	7.3
Maine	7.5	7.8	8.2	8.0	17.7	7.7	7.8	6.9	6.1	8.1
Maryland	6.6	7.5	7.3	6.6	6.7	6.5	6.4	5.3	5.9	8.1
Massachusetts	6.9	7.2	7.0	6.6	6.1	5.7	5.8	5.7	5.1	5.4
Michigan	6.3	6.5	7.5	6.3	6.0	5.6	5.9	5.2	5.1	6.5
Minnesota	6.1	6.4	7.3	6.0	6.6	5.6	6.7	5.2	5.4	7.1
Mississippi	6.5	7.6	7.9	6.1	6.5	6.6	6.1	5.7	6.0	7.0
Missouri	6.1	6.7	7.4	6.5	6.3	6.1	6.1	5.5	5.4	5.9
Montana	8.5	8.5	9.9	9.3	8.2	8.1	8.3	7.2	8.5	9.4
Nebraska	6.2	6.3	7.0	6.8	6.0	6.0	6.5	5.8	5.9	6.6
Nevada	9.4	8.9	8.3	6.8	6.9	5.7	5.7	4.8	5.2	6.7
New Hampshire	7.0	7.0	7.6	7.7	6.6	6.3	6.8	6.4	5.4	7.9
New Jersey	7.1	7.5	8.7	7.1	6.5	5.7	6.1	5.4	5.5	6.3
New Mexico	7.4	8.2	8.2	7.4	6.5	6.6	6.5	6.3	6.2	7.1
New York	7.1	7.5	7.7	6.7	7.1	5.7	5.9	5.4	5.2	6.6
North Carolina	6.4	6.8	8.1	6.5	6.3	5.8	6.4	5.0	5.3	6.2
North Dakota	6.9	7.5	7.6	7.5	6.8	6.5	6.7	6.5	6.5	6.7
Ohio	5.9	6.1	7.0	6.1	5.7	5.8	6.0	5.2	4.8	6.3
Oklahoma	6.6	7.1	7.6	6.3	6.4	6.1	6.6	5.9	5.7	6.2
Oregon	6.6	7.1	7.8	7.5	6.1	6.6	6.5	6.1	5.7	7.1
Pennsylvania	5.7	6.3	6.8	6.3	5.5	5.3	5.0	4.8	4.9	5.6
Rhode Island	7.0	7.6	8.5	7.9	7.0	6.4	7.1	6.6	5.7	7.3
South Carolina	6.3	7.3	7.9	6.9	6.4	6.4	6.0	5.3	6.2	6.9
South Dakota	6.8	6.6	7.2	7.7	6.6	5.8	6.4	5.9	6.1	6.8
Tennessee	6.1	6.9	7.3	6.6	6.3	6.0	5.4	5.6	4.7	6.4
Texas	6.8	7.1	7.7	6.3	6.5	5.6	5.5	4.8	5.4	6.1
Utah	7.0	7.4	7.5	7.8	7.0	6.1	7.0	6.0	5.9	6.8
Vermont	8.4	8.0	8.1	8.0	7.3	7.0	7.7	6.9	6.3	8.4
Virginia	6.4	6.9	7.2	6.4	6.5	6.1	6.0	5.3	5.8	7.0
Washington	6.7	7.3	7.8	7.3	7.0	5.9	5.9	5.3	5.0	7.1
West Virginia	6.6	7.1	7.9	7.3	6.3	6.6	6.5	6.0	5.9	7.9
Wisconsin	5.8	5.5	6.6	6.5	5.9	5.3	5.8	5.2	4.8	6.8
Wyoming	8.8	9.1	10.1	8.9	8.4	8.4	8.4	7.8	8.3	9.1
Puerto Rico	7.8	8.5	6.4	7.0	6.5	5.0	5.1	5.5	4.9	6.1
Virgin Islands	11.0	7.5	8.0	6.9	8.8	5.8	8.5	9.5	10.3	12.6
Footnotes (1) Totals for the United States do not include data for Puerto Rico or the Virgin Islands.