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News Release Information

21-1678-KAN
Wednesday, September 29, 2021

Contacts

Technical information:
Media contact:
  • (816) 285-7000

Kansas City Area Employment – August 2021

Total nonfarm employment for the Kansas City, MO-KS, metropolitan area increased by 46,700 over the year in August, the U.S. Bureau of Labor Statistics reported today. (See chart 1 and table 1.) Regional Commissioner Michael Hirniak noted that the local rate of job gain, 4.5 percent, compared to the 4.4-percent national increase. (All data in this release are not seasonally adjusted; accordingly, over-the-year analysis is used throughout.)


Kansas City, MO-KS, is made up of two separately identifiable employment centers within the larger metropolitan area—the Missouri portion and the Kansas portion. Employment increased over the year in both portions of the metropolitan area. Kansas City, MO, which accounted for 56 percent of the area’s total nonfarm employment, gained 35,500 jobs over the year. Kansas City, KS, with 44 percent of area’s employment, gained 11,200 jobs.

Industry employment

In Kansas City, MO-KS, leisure and hospitality had the largest gain (+20,000) among local private-industry supersectors, with both portions of the metropolitan area recording increases. (See chart 2.) Within the supersector, the accommodation and food services sector added 13,800 jobs. Gains in this sector numbered 9,700 in the Missouri portion and 4,100 in the Kansas portion. The 21.8-percent increase in the metropolitan area’s leisure and hospitality supersector compared to a 17.5-percent gain on the national level.


Professional and business services employment increased by 11,700 over the year in the metropolitan area, with the Missouri portion adding 9,900 jobs. The metropolitan area had a 6.4-percent rate increase, which compared to a national rate of 5.6 percent for this supersector.

The trade, transportation, and utilities supersector gained 6,900 jobs over the year in the metropolitan area, with the Kansas portion adding 3,900 jobs. The 3.3-percent rate of job gain in the metropolitan area compared to a similar 3.3-percent increase for the nation.

Employment in the manufacturing supersector increased by 5,900 over the year in the metropolitan area, with the Missouri portion gaining 4,600 jobs. This sector’s 7.4-percent rate of job gain in the metropolitan area compared to a national rate of 3.0 percent.

Education and health services gained 4,300 jobs over the year in the local area. The Missouri portion of the metropolitan area was responsible for all of the jobs gained in this industry (+4,400). The metropolitan area had a 2.8-percent increase compared to a 2.5-percent increase for the nation.

The Metropolitan Area Employment and Unemployment release for September 2021 is scheduled to be released on Wednesday, November 3, 2021, at 10:00 a.m. (ET).

Coronavirus (COVID-19) Pandemic Impact on August 2021 Establishment Survey Data

BLS has continued to review all estimation and methodological procedures for the establishment survey, which included the review of data, estimation processes, the application of the birth-death model, and seasonal adjustment. Business births and deaths cannot be adequately captured by the establishment survey as they occur. Therefore, the Current Employment Statistics (CES) program uses a model to account for the relatively stable net employment change generated by business births and deaths. Due to the impact of COVID-19, the relationship between business births and deaths is no longer stable. Typically, reports with zero employment are not included in estimation. For the July final and August preliminary estimates, CES included a portion of these reports in the estimates and made modifications to the birth-death model. In addition for both months, the establishment survey included a portion of the reports that returned to reporting positive employment from reporting zero employment. For more information, see www.bls.gov/web/empsit/cesbd.htm.

In the establishment survey, workers who are paid by their employer for all or any part of the pay period including the 12th of the month are counted as employed, even if they were not actually at their jobs. Workers who are temporarily or permanently absent from their jobs and are not being paid are not counted as employed, even if they are continuing to receive benefits. The length of the reference period does vary across the respondents in the establishment survey; one-third of businesses have a weekly pay period, slightly over 40 percent a bi-weekly, about 20 percent semi-monthly, and a small amount monthly.


Technical Note

Special technical note: This technical note describes the procedures regularly used on a monthly basis to develop estimates from the Current Employment Statistics (CES) program. Due to the COVID-19 pandemic, some of the procedures described in this technical note have been modified. The modifications are briefly described in the box note of this news release. More information on the changes to the CES business birth-death model is available at www.bls.gov/web/empsit/cesbd.htm.

This release presents nonfarm payroll employment estimates from the CES program. The CES survey is a Federal-State cooperative endeavor between State employment security agencies and the U.S. 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 2017 version of the North American Industry Classification System.

Method of estimation. CES State and Area employment data are produced using several estimation procedures. Where possible these data are produced using a "weighted link relative" estimation technique in which a ratio of current-month weighted employment to that of the previous-month weighted employment is computed from a sample of establishments reporting for both months. The estimates of employment for the current month are then obtained by multiplying these ratios by the previous month's employment estimates. The weighted link relative technique is utilized for data series where the sample size meets certain statistical criteria.

For some employment series, the sample of establishments is very small or highly variable. In these cases, a model-based approach is used in estimation. These models use the direct sample estimates (described above), combined with forecasts of historical (benchmarked) data to decrease volatility in estimation. Two different models (Fay-Herriot Model and Small Domain Model) are used depending on the industry level being estimated. For more detailed information about each model, refer to the BLS Handbook of Methods at www.bls.gov/opub/hom/pdf/ces-20110307.pdf.

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 surveys, administrative data, and modeling 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 also are 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 specific estimation processes used. The sums of individual items may not always equal the totals shown in the same tables because of rounding.

Employment estimates. Changes in metropolitan area nonfarm payroll employment are cited in the analysis of this release only if they have been determined to be statistically significant at the 90-percent confidence level. Measures of sampling error for the total nonfarm employment series are available for metropolitan areas and metropolitan divisions at www.bls.gov/web/laus/790stderr.htm. Measures of sampling error for more detailed series at the area and division level are available upon request.

Measures of sampling error for states at the supersector level and for the private service-providing, goods-producing, total private and total nonfarm levels are available on the BLS website at https://www.bls.gov/web/laus/790stderr.htm. Information on recent benchmark revisions is available online at www.bls.gov/web/laus/bmrk_article.htm.

Area definitions. The substate area data published in this news release reflect the delineations issued by the U.S. Office of Management and Budget on April 10, 2018.

The Kansas City, MO-KS Metropolitan Statistical Area includes Bates, Caldwell, Cass, Clay, Clinton, Jackson, Lafayette, Platte, and Ray Counties in Missouri; Johnson, Leavenworth, Linn, Miami, and Wyandotte Counties in Kansas.

  • The Kansas City, MO, portion includes Bates, Caldwell, Cass, Clay, Clinton, Jackson, Lafayette, Platte, and Ray Counties.

  • The Kansas City, KS, portion includes Johnson, Leavenworth, Linn, Miami, and Wyandotte Counties.

Additional information

Employment data from the CES program are available on the BLS website at www.bls.gov/sae/.

Information in this release will be made available to individuals with sensory impairments 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 Kansas City metropolitan area and its components, not seasonally adjusted (numbers in thousands)
Area and Industry

Aug
2020
Jun
2021
Jul
2021
Aug
2021(p)
Aug 2020 to
Aug 2021(p)
Net change Percent change

United States

Total nonfarm

140,728 146,578 146,544 146,856 6,128 4.4

Mining and logging

595 634 643 647 52 8.7

Construction

7,460 7,598 7,641 7,643 183 2.5

Manufacturing

12,133 12,397 12,458 12,492 359 3.0

Trade, transportation, and utilities

26,452 27,318 27,339 27,314 862 3.3

Information

2,622 2,730 2,763 2,771 149 5.7

Financial activities

8,730 8,842 8,890 8,899 169 1.9

Professional and business services

20,060 20,918 21,062 21,175 1,115 5.6

Education and health services

22,782 23,347 23,313 23,341 559 2.5

Leisure and hospitality

13,445 15,397 15,872 15,798 2,353 17.5

Other services

5,425 5,729 5,788 5,791 366 6.7

Government

21,024 21,668 20,775 20,985 -39 -0.2

Kansas City, MO-KS, MSA

Total nonfarm

1,047.5 1,091.1 1,089.4 1,094.2 46.7 4.5

Mining, logging, and construction

53.8 55.8 56.7 56.6 2.8 5.2

Manufacturing

79.7 80.8 81.1 85.6 5.9 7.4

Trade, transportation, and utilities

210.5 216.7 217.3 217.4 6.9 3.3

Information

14.6 14.0 14.0 13.9 -0.7 -4.8

Financial activities

79.5 77.6 76.9 76.8 -2.7 -3.4

Professional and business services

181.9 194.5 196.8 193.6 11.7 6.4

Education and health services

152.2 157.3 158.3 156.5 4.3 2.8

Leisure and hospitality

91.9 107.0 108.0 111.9 20.0 21.8

Other services

41.2 41.5 41.4 41.2 0.0 0.0

Government

142.2 145.9 138.9 140.7 -1.5 -1.1

Kansas City, MO, portion

Total nonfarm

579.7 610.2 611.9 615.2 35.5 6.1

Mining, logging, and construction

31.3 32.0 32.7 32.4 1.1 3.5

Manufacturing

45.7 47.1 47.3 50.3 4.6 10.1

Trade, transportation, and utilities

106.9 109.3 110.3 109.9 3.0 2.8

Information

8.4 7.9 7.9 7.8 -0.6 -7.1

Financial activities

41.0 40.3 40.4 40.3 -0.7 -1.7

Professional and business services

94.6 107.6 108.8 104.5 9.9 10.5

Education and health services

83.4 87.1 88.0 87.8 4.4 5.3

Leisure and hospitality

55.5 66.6 66.4 70.9 15.4 27.7

Other services

24.8 24.9 24.7 24.5 -0.3 -1.2

Government

88.1 87.4 85.4 86.8 -1.3 -1.5

Kansas City, KS, portion

Total nonfarm

467.8 480.9 477.5 479.0 11.2 2.4

Mining, logging, and construction

22.5 23.8 24.0 24.2 1.7 7.6

Manufacturing

34.0 33.7 33.8 35.3 1.3 3.8

Trade, transportation, and utilities

103.6 107.4 107.0 107.5 3.9 3.8

Information

6.2 6.1 6.1 6.1 -0.1 -1.6

Financial activities

38.5 37.3 36.5 36.5 -2.0 -5.2

Professional and business services

87.3 86.9 88.0 89.1 1.8 2.1

Education and health services

68.8 70.2 70.3 68.7 -0.1 -0.1

Leisure and hospitality

36.4 40.4 41.6 41.0 4.6 12.6

Other services

16.4 16.6 16.7 16.7 0.3 1.8

Government

54.1 58.5 53.5 53.9 -0.2 -0.4

(p) Preliminary

 

Last Modified Date: Wednesday, September 29, 2021