From March 2019 to June 2019, gross job gains in opening and expanding private-sector establishments in Michigan totaled 211,732, while gross job losses in closing and contracting private-sector establishments numbered 219,402, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Charlene Peiffer noted that the difference between the number of gross job gains and the number of gross job losses yielded a net employment loss of 7,670. During the previous quarter, gross job gains exceeded gross job losses by 18,037. (See chart 1 and table 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.)

The 211,732 gross job gains in the second quarter of 2019 were higher than the 193,954 gross job gains in the first quarter of 2019. The 219,402 gross job losses in the second quarter of 2019 were higher than the 175,917 gross job losses in the first quarter of 2019. (See chart 1.)

Gross job gains represented 5.5 percent of private-sector employment in Michigan in the second quarter of 2019, while nationally gross job gains accounted for 6.0 percent of private-sector employment. (See chart 2.) Michigan’s rate of gross job losses represented 5.8 percent of private-sector employment in the second quarter of 2019. Nationally, gross job losses accounted for 5.9 percent of private-sector employment.

During the second quarter of 2019, gross job gains exceeded gross job losses in 5 of the 11 industry sectors in Michigan. For example, other services created 9,768 jobs in opening and expanding establishments, but lost 7,856 jobs in closing and contracting establishments. The resulting net gain of 1,912 jobs was the largest of any sector that had net employment gains in the second quarter of 2019. In financial activities, 9,237 jobs were created in opening and expanding establishments and 7,609 jobs were lost in closing and contracting establishments, resulting in a net gain of 1,628 jobs. (See table 1.)

In the six industry sectors with net employment losses, professional and business services had the largest decline with the loss of 3,329 jobs.  

Two of five states in the East North Central division (Michigan and Indiana), had gross job losses that exceeded gross job gains. (See table A.) All states in the division had rates of gross job gains that were lower than the 6.0-percent national rate and rates of gross job losses that were lower than the 5.9-percent national rate.

Table A. Private sector gross job gains and losses for the United States, East North Central Division, and East North 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 North Central (1)	1,047,960	—	1,051,583	—	-3,623	—
Illinois	289,823	5.6	277,708	5.3	12,115	0.3
Indiana	140,418	5.2	155,955	5.8	-15,537	-0.6
Michigan	211,732	5.5	219,402	5.8	-7,670	-0.3
Ohio	266,633	5.6	265,147	5.7	1,486	-0.1
Wisconsin	139,354	5.5	133,371	5.3	5,983	0.2
Footnotes: (1) Data were calculated for this release using published gross job gains and gross job losses for states located in the East North 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 the 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, Michigan, 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	210,759	191,034	212,257	193,954	211,732	5.5	5.0	5.6	5.1	5.5
At expanding establishments	183,209	159,918	178,741	161,842	183,786	4.8	4.2	4.7	4.3	4.8
At opening establishments	27,550	31,116	33,516	32,112	27,946	0.7	0.8	0.9	0.8	0.7
Gross job losses	196,604	231,163	196,309	175,917	219,402	5.2	6.2	5.2	4.6	5.8
At contracting establishments	166,332	191,271	159,448	152,223	171,835	4.4	5.1	4.2	4.0	4.5
At closing establishments	30,272	39,892	36,861	23,694	47,567	0.8	1.1	1.0	0.6	1.3
Net employment change (2)	14,155	-40,129	15,948	18,037	-7,670	0.3	-1.2	0.4	0.5	-0.3
Construction
Gross job gains	17,958	14,779	15,488	17,223	18,291	10.4	8.8	9.3	9.9	10.5
At expanding establishments	16,031	12,592	12,373	13,527	16,153	9.3	7.5	7.4	7.8	9.3
At opening establishments	1,927	2,187	3,115	3,696	2,138	1.1	1.3	1.9	2.1	1.2
Gross job losses	15,014	18,789	16,660	14,744	17,921	8.8	11.2	10.0	8.5	10.3
At contracting establishments	12,861	15,277	13,659	12,998	12,759	7.5	9.1	8.2	7.5	7.3
At closing establishments	2,153	3,512	3,001	1,746	5,162	1.3	2.1	1.8	1.0	3.0
Net employment change (2)	2,944	-4,010	-1,172	2,479	370	1.6	-2.4	-0.7	1.4	0.2
Manufacturing
Gross job gains	20,511	17,983	20,592	16,266	20,038	3.3	2.9	3.3	2.6	3.1
At expanding establishments	19,267	16,842	18,924	15,046	18,473	3.1	2.7	3.0	2.4	2.9
At opening establishments	1,244	1,141	1,668	1,220	1,565	0.2	0.2	0.3	0.2	0.2
Gross job losses	16,532	19,188	16,918	17,033	22,506	2.6	3.0	2.7	2.7	3.5
At contracting establishments	15,168	17,194	14,617	15,585	19,744	2.4	2.7	2.3	2.5	3.1
At closing establishments	1,364	1,994	2,301	1,448	2,762	0.2	0.3	0.4	0.2	0.4
Net employment change (2)	3,979	-1,205	3,674	-767	-2,468	0.7	-0.1	0.6	-0.1	-0.4
Wholesale trade
Gross job gains	6,888	6,039	6,786	5,994	6,838	4.0	3.5	3.9	3.5	4.0
At expanding establishments	6,230	5,462	6,051	5,431	6,050	3.6	3.2	3.5	3.2	3.5
At opening establishments	658	577	735	563	788	0.4	0.3	0.4	0.3	0.5
Gross job losses	6,064	6,896	5,915	5,770	7,257	3.5	4.0	3.4	3.4	4.2
At contracting establishments	5,030	5,654	4,846	4,954	5,643	2.9	3.3	2.8	2.9	3.3
At closing establishments	1,034	1,242	1,069	816	1,614	0.6	0.7	0.6	0.5	0.9
Net employment change (2)	824	-857	871	224	-419	0.5	-0.5	0.5	0.1	-0.2
Retail trade
Gross job gains	28,543	25,888	23,813	25,733	26,989	6.0	5.5	5.1	5.5	5.8
At expanding establishments	24,447	22,421	20,392	22,263	23,853	5.1	4.8	4.4	4.8	5.1
At opening establishments	4,096	3,467	3,421	3,470	3,136	0.9	0.7	0.7	0.7	0.7
Gross job losses	29,429	31,354	27,259	24,000	30,072	6.2	6.6	5.8	5.2	6.4
At contracting establishments	25,364	25,233	23,474	20,845	24,247	5.3	5.3	5.0	4.5	5.2
At closing establishments	4,065	6,121	3,785	3,155	5,825	0.9	1.3	0.8	0.7	1.2
Net employment change (2)	-886	-5,466	-3,446	1,733	-3,083	-0.2	-1.1	-0.7	0.3	-0.6
Transportation and warehousing
Gross job gains	6,777	9,439	8,629	6,775	7,711	5.4	7.5	6.6	5.1	5.7
At expanding establishments	6,110	8,468	7,281	5,736	6,312	4.9	6.7	5.6	4.3	4.7
At opening establishments	667	971	1,348	1,039	1,399	0.5	0.8	1.0	0.8	1.0
Gross job losses	6,052	5,281	5,836	7,219	6,350	4.8	4.2	4.5	5.4	4.7
At contracting establishments	5,248	4,473	5,089	6,682	5,025	4.2	3.6	3.9	5.0	3.7
At closing establishments	804	808	747	537	1,325	0.6	0.6	0.6	0.4	1.0
Net employment change (2)	725	4,158	2,793	-444	1,361	0.6	3.3	2.1	-0.3	1.0
Information
Gross job gains	2,819	3,010	2,685	2,944	2,883	5.0	5.5	4.8	5.3	5.2
At expanding establishments	2,184	2,142	1,894	2,103	2,165	3.9	3.9	3.4	3.8	3.9
At opening establishments	635	868	791	841	718	1.1	1.6	1.4	1.5	1.3
Gross job losses	2,772	3,271	3,154	2,723	3,309	5.0	5.9	5.7	4.9	6.0
At contracting establishments	2,164	2,427	2,108	1,999	1,924	3.9	4.4	3.8	3.6	3.5
At closing establishments	608	844	1,046	724	1,385	1.1	1.5	1.9	1.3	2.5
Net employment change (2)	47	-261	-469	221	-426	0.0	-0.4	-0.9	0.4	-0.8
Financial activities
Gross job gains	8,509	7,758	8,164	7,759	9,237	4.2	3.8	4.0	3.7	4.4
At expanding establishments	7,083	6,570	6,440	6,469	7,734	3.5	3.2	3.2	3.1	3.7
At opening establishments	1,426	1,188	1,724	1,290	1,503	0.7	0.6	0.8	0.6	0.7
Gross job losses	6,699	9,286	7,872	6,714	7,609	3.2	4.6	3.9	3.2	3.7
At contracting establishments	5,374	7,293	6,232	5,393	4,890	2.6	3.6	3.1	2.6	2.4
At closing establishments	1,325	1,993	1,640	1,321	2,719	0.6	1.0	0.8	0.6	1.3
Net employment change (2)	1,810	-1,528	292	1,045	1,628	1.0	-0.8	0.1	0.5	0.7
Professional and business services
Gross job gains	37,789	34,503	46,202	35,408	37,695	5.6	5.2	7.1	5.3	5.7
At expanding establishments	33,006	29,002	39,851	30,550	32,885	4.9	4.4	6.1	4.6	5.0
At opening establishments	4,783	5,501	6,351	4,858	4,810	0.7	0.8	1.0	0.7	0.7
Gross job losses	35,021	49,728	39,630	32,029	41,024	5.2	7.6	6.1	4.9	6.2
At contracting establishments	29,675	42,616	30,717	28,332	32,205	4.4	6.5	4.7	4.3	4.9
At closing establishments	5,346	7,112	8,913	3,697	8,819	0.8	1.1	1.4	0.6	1.3
Net employment change (2)	2,768	-15,225	6,572	3,379	-3,329	0.4	-2.4	1.0	0.4	-0.5
Education and health services
Gross job gains	23,823	22,830	23,846	21,583	24,453	3.6	3.4	3.6	3.2	3.7
At expanding establishments	20,227	19,256	20,672	18,667	21,541	3.1	2.9	3.1	2.8	3.3
At opening establishments	3,596	3,574	3,174	2,916	2,912	0.5	0.5	0.5	0.4	0.4
Gross job losses	24,584	26,191	21,601	19,802	23,971	3.7	4.0	3.3	3.0	3.6
At contracting establishments	21,050	20,528	17,726	16,887	19,161	3.2	3.1	2.7	2.6	2.9
At closing establishments	3,534	5,663	3,875	2,915	4,810	0.5	0.9	0.6	0.4	0.7
Net employment change (2)	-761	-3,361	2,245	1,781	482	-0.1	-0.6	0.3	0.2	0.1
Leisure and hospitality
Gross job gains	39,324	32,201	37,383	36,207	38,622	8.9	7.4	8.6	8.3	8.9
At expanding establishments	33,862	24,431	29,926	28,529	33,550	7.7	5.6	6.9	6.5	7.7
At opening establishments	5,462	7,770	7,457	7,678	5,072	1.2	1.8	1.7	1.8	1.2
Gross job losses	37,663	42,290	35,114	30,284	40,191	8.7	9.8	8.1	7.0	9.1
At contracting establishments	30,833	35,535	28,584	25,662	32,119	7.1	8.2	6.6	5.9	7.3
At closing establishments	6,830	6,755	6,530	4,622	8,072	1.6	1.6	1.5	1.1	1.8
Net employment change (2)	1,661	-10,089	2,269	5,923	-1,569	0.2	-2.4	0.5	1.3	-0.2
Other services (3)
Gross job gains	9,568	8,531	9,170	8,045	9,768	7.6	6.8	7.3	6.4	7.6
At expanding establishments	8,111	6,665	7,546	6,206	8,061	6.4	5.3	6.0	4.9	6.3
At opening establishments	1,457	1,866	1,624	1,839	1,707	1.2	1.5	1.3	1.5	1.3
Gross job losses	7,276	9,721	8,846	8,242	7,856	5.8	7.7	7.0	6.5	6.2
At contracting establishments	5,895	7,749	6,167	6,549	5,568	4.7	6.1	4.9	5.2	4.4
At closing establishments	1,381	1,972	2,679	1,693	2,288	1.1	1.6	2.1	1.3	1.8
Net employment change (2)	2,292	-1,190	324	-197	1,912	1.8	-0.9	0.3	-0.1	1.4
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.