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16-2019-CHI
Thursday, November 03, 2016

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Detroit Area Employment — September 2016

Job Growth Up 2.0 Percent Over the Year

Total nonfarm employment in the Detroit-Warren-Dearborn Metropolitan Statistical Area stood at 1,985,600 in September 2016, up 39,600 or 2.0 percent over the year, the U.S. Bureau of Labor Statistics reported today. During the same period, the national job count increased 1.7 percent. Assistant Commissioner for Regional Operations Charlene Peiffer noted that the Detroit metropolitan area has had over-the-year employment increases each month since June 2010. (See chart 1 and table 1; 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 Detroit metropolitan area is made up of two metropolitan divisions—separately identifiable employment centers within the larger metropolitan area. The Warren-Troy-Farmington Hills division, which accounted for 62 percent of the metropolitan area's employment, added 26,000 jobs from September a year ago, a gain of 2.2 percent. The Detroit-Dearborn-Livonia Metropolitan Division, the area’s other employment center, added 13,600 jobs over the 12-month period, a 1.8-percent rise.

Industry employment

Professional and business services had the largest annual employment gain among Detroit’s supersectors, adding 18,400 jobs since September 2015. The 4.7-percent local rate of job growth in this supersector was higher than the 3.0-percent national rate. (See chart 2.) The Detroit area’s job gains in the supersector were particularly strong in the professional, scientific, and technical services industry, which added 10,900 jobs over the year, a 5.3-percent increase. The Warren division added 7,000 jobs or 64 percent of the area’s job growth in the professional, scientific, and technical services industry.

The education and health services supersector gained 9,100 jobs from September 2015, the second largest increase in the Detroit area. Both metropolitan divisions had over-the-year employment gains, with Warren adding 5,400 jobs and Detroit adding 3,700 jobs. The education and health services local job growth rate of 3.0 percent was similar to the national rate of 2.8 percent.

The financial activities supersector added 5,800 jobs, a gain of 5.4 percent over the year. The Detroit division experienced the largest increase, adding 3,700 jobs, while the Warren division gained 2,100 jobs. Nationwide, employment in this industry increased 2.1 percent from September a year ago.

Locally, employment in leisure and hospitality rose by 4,700 from September 2015. Both metropolitan divisions had annual job gains, with Detroit adding 2,900 jobs and Warren adding 1,800 jobs. The local leisure and hospitality job growth rate matched the national rate of 2.4 percent.

Two other supersectors in the Detroit area added more than 1,000 jobs over the year—mining, logging, and construction (+3,000) and manufacturing (+2,200). Within manufacturing, the Warren division gained 5,800 jobs while the Detroit division lost 3,600 jobs.

Government lost 3,400 jobs in the local area from September 2015 to September 2016, a 1.9-percent decline. The Warren division lost 2,100 government jobs and the Detroit division lost 1,300 jobs. Nationally, the government sector added jobs at a 0.7-percent rate from September a year ago.

Metropolitan area employment data for October 2016 are scheduled to be released on Friday, November 18, 2016.


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 2012 version of the North American Industry Classification System.

Method of estimation. The employment data are estimated using a "link relative" technique in which a ratio (link relative) of current-month employment to that of the previous month is computed from a sample of establishments reporting for both months. The estimates of employment for the current month are obtained by multiplying the estimates for the previous month by these ratios. Small-domain models are used as the official estimators for approximately 39 percent of CES published series which have insufficient sample for direct sample-based estimates.

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 survey and administrative data 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 are also 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 special 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 state CES data at the supersector level are available on the BLS website at www.bls.gov/sae/790stderr.htm. Information on recent benchmark revisions for states is available at www.bls.gov/sae/.

Area definitions. The substate area data published in this release reflect the delineations issued by the U.S. Office of Management and Budget on February 28, 2013. A detailed list of the geographic definitions is available at www.bls.gov/lau/lausmsa.htm.

Detroit-Warren-Dearborn, Mich. Metropolitan Statistical Area includes Lapeer, Livingston, Macomb, Oakland, St. Clair, and Wayne Counties in Michigan.  

The Detroit-Dearborn-Livonia, Mich. Metropolitan Division includes Wayne County in Michigan.

The Warren-Troy-Farmington Hills, Mich. Metropolitan Division includes Lapeer, Livingston, Macomb, Oakland, and St. Clair Counties in Michigan.

 

Additional information

More complete information on the technical procedures used to develop these estimates and additional data appear in Employment and Earnings, which is available online at www.bls.gov/opub/ee/home.htm. Industry employment data for states and metropolitan areas from the Current Employment Statistics program are also available from the BLS website at www.bls.gov/sae/.

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. Employees on nonfarm payrolls by industry supersector, the United States and the Detroit metropolitan area and its components, not seasonally adjusted (numbers in thousands)
Area and Industry
 
Sep
2015
Jul
2016
Aug
2016
Sep
2016 (P)
Sep 2015 to
Sep 2016 (P)
Net
change
Percent
change

United States

 

Total nonfarm

142,520 144,183 144,416 144,943 2,423 1.7

Mining and logging

799 693 690 689 -110 -13.8

Construction

6,678 6,915 6,919 6,886 208 3.1

Manufacturing

12,363 12,375 12,367 12,302 -61 -0.5

Trade, transportation, and utilities

26,889 27,347 27,359 27,267 378 1.4

Information

2,756 2,791 2,786 2,760 4 0.1

Financial activities

8,157 8,379 8,378 8,327 170 2.1

Professional and business services

19,837 20,372 20,424 20,431 594 3.0

Education and health services

22,102 22,371 22,428 22,714 612 2.8

Leisure and hospitality

15,389 16,258 16,216 15,766 377 2.4

Other services

5,614 5,758 5,735 5,703 89 1.6

Government

21,936 20,924 21,114 22,098 162 0.7

Detroit-Warren-Dearborn, MI Metropolitan Statistical Area

 

Total nonfarm

1,946.0 1,977.6 1,980.2 1,985.6 39.6 2.0

Mining, logging, and construction

69.4 71.2 72.7 72.4 3.0 4.3

Manufacturing

240.5 239.5 241.1 242.7 2.2 0.9

Trade, transportation, and utilities

358.3 362.4 362.1 358.2 -0.1 0.0

Information

27.5 28.0 27.9 27.3 -0.2 -0.7

Financial activities

107.9 114.9 115.2 113.7 5.8 5.4

Professional and business services

389.0 403.4 404.9 407.4 18.4 4.7

Education and health services

302.1 308.2 308.8 311.2 9.1 3.0

Leisure and hospitality

192.0 205.7 203.6 196.7 4.7 2.4

Other services

77.0 77.0 77.3 77.1 0.1 0.1

Government

182.3 167.3 166.6 178.9 -3.4 -1.9

Detroit-Dearborn-Livonia, MI Metropolitan Division

 

Total nonfarm

737.0 743.4 744.1 750.6 13.6 1.8

Mining, logging, and construction

21.1 21.1 21.6 21.9 0.8 3.8

Manufacturing

90.4 85.1 86.5 86.8 -3.6 -4.0

Trade, transportation, and utilities

138.7 139.6 140.3 139.0 0.3 0.2

Information

7.5 7.5 7.5 7.3 -0.2 -2.7

Financial activities

33.3 37.3 37.5 37.0 3.7 11.1

Professional and business services

123.9 130.0 129.8 131.5 7.6 6.1

Education and health services

130.4 131.4 131.1 134.1 3.7 2.8

Leisure and hospitality

77.2 83.1 81.9 80.1 2.9 3.8

Other services

29.5 29.3 29.4 29.2 -0.3 -1.0

Government

85.0 79.0 78.5 83.7 -1.3 -1.5

Warren-Troy-Farmington Hills, MI Metropolitan Division

 

Total nonfarm

1,209.0 1,234.2 1,236.1 1,235.0 26.0 2.2

Mining, logging, and construction

48.3 50.1 51.1 50.5 2.2 4.6

Manufacturing

150.1 154.4 154.6 155.9 5.8 3.9

Trade, transportation, and utilities

219.6 222.8 221.8 219.2 -0.4 -0.2

Information

20.0 20.5 20.4 20.0 0.0 0.0

Financial activities

74.6 77.6 77.7 76.7 2.1 2.8

Professional and business services

265.1 273.4 275.1 275.9 10.8 4.1

Education and health services

171.7 176.8 177.7 177.1 5.4 3.1

Leisure and hospitality

114.8 122.6 121.7 116.6 1.8 1.6

Other services

47.5 47.7 47.9 47.9 0.4 0.8

Government

97.3 88.3 88.1 95.2 -2.1 -2.2

Footnotes
(P) Preliminary
 

 

Last Modified Date: Thursday, November 03, 2016