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17-1490-DAL
Thursday, November 16, 2017

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Business Employment Dynamics in Texas – First Quarter 2017

From December 2016 to March 2017 gross job gains in private sector establishments in Texas totaled 580,416, while gross job losses numbered 519,376, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Stanley W. Suchman noted that the difference between the number of gross job gains and the number of gross job losses yielded a net employment gain of 61,040 from December 2016 to March 2017. During the previous quarter, gross job gains exceeded gross job losses by 50,076. (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. 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.)

Texas gross job gains reached 617,457 in September 2016, the second-highest level in the history of the series, before declining to 588,802 in December 2016 and 580,416 in March 2017. Gross job losses in Texas had generally trended upward since a recent low of 433,128 recorded in March 2011. However, gross job losses have fallen in each quarter since March 2016. (See chart 1.)

Gross job gains represented 5.8 percent of private sector employment in Texas in the quarter ended March 2017; nationally gross job gains accounted for 6.0 percent of private sector employment. (See chart 2.) During the past five years, the rate of gross job gains in Texas has remained below the national rate. The state’s rate of gross job losses as a percent of private sector employment was 5.2 percent in the first quarter of 2017 compared to the national rate of 5.4 percent. With the exception of March 2016, gross job loss rates in Texas have remained below the U.S. rates since March 2003.

During the first quarter of 2017, gross job gains exceeded gross job losses in 10 of the 11 industry sectors in Texas. For example, within professional and business services, opening and expanding establishments added nearly 115,000 jobs, while closing and contracting establishments lost more than 99,000 jobs. The resulting net gain of 15,582 jobs was the largest of any Texas sector in the first quarter of 2017. In education and health services, about 72,600 jobs were created in opening and expanding establishments and about 62,800 were lost in closing and contracting establishments, resulting in a net employment gain of 9,787, the second largest among the state’s sectors. Opening and expanding establishments in Texas’s construction sector added nearly 58,300 jobs while losing more than 49,400 jobs at closing and contracting establishments, for a net gain of 8,887 jobs. (See table 1.)

The transportation and warehousing industry sector had the only net job decrease in the first quarter of 2017. With nearly 28,000 gross jobs losses in closing and contracting establishments and about 21,600 gains in opening and expanding establishments, this sector lost 6,387 jobs.

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 Second Quarter 2017 is scheduled to be released on Wednesday, January 24, 2018 at 10:00 am (EST).

Revisions to Business Employment Dynamics (BED) Data

Data in this release incorporate annual revisions to the BED series. Annual revisions are published each year with the release of first quarter data. These revisions cover the last four quarters of not seasonally adjusted data and five years of seasonally adjusted data.


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 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 quarterly 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, Texas, seasonally adjusted
CategoryGross job gains and job losses
(3 months ended)
Gross job gains and job losses
as a percent of employment
(3 months ended)
Mar.
2016
June
2016
Sept.
2016
Dec.
2016
Mar.
2017
Mar.
2016
June
2016
Sept.
2016
Dec.
2016
Mar.
2017

Total private (1)

 

Gross job gains

535,504569,649617,457588,802580,4165.45.86.25.95.8

At expanding establishments

436,152461,580505,110486,154483,5764.44.75.14.94.8

At opening establishments

99,352108,069112,347102,64896,8401.01.11.11.01.0

Gross job losses

571,800545,548541,252538,726519,3765.85.55.55.45.2

At contracting establishments

481,551459,312453,606451,103438,4764.94.64.64.54.4

At closing establishments

90,24986,23687,64687,62380,9000.90.90.90.90.8

Net employment change (2)

-36,29624,10176,20550,07661,040-0.40.30.70.50.6

Construction

 

Gross job gains

54,05455,40362,43152,69758,2927.88.09.07.58.3

At expanding establishments

46,50046,95549,32945,08150,0146.76.87.16.47.1

At opening establishments

7,5548,44813,1027,6168,2781.11.21.91.11.2

Gross job losses

56,83151,44451,40054,35649,4058.27.47.47.77.0

At contracting establishments

49,20544,41944,72547,70842,3297.16.46.46.86.0

At closing establishments

7,6267,0256,6756,6487,0761.11.01.00.91.0

Net employment change (2)

-2,7773,95911,031-1,6598,887-0.40.61.6-0.21.3

Manufacturing

 

Gross job gains

26,53527,54427,62728,30128,5033.13.33.33.43.4

At expanding establishments

23,73223,70724,45325,73626,2592.82.82.93.13.1

At opening establishments

2,8033,8373,1742,5652,2440.30.50.40.30.3

Gross job losses

35,92936,25632,93528,02825,2504.24.24.03.43.0

At contracting establishments

31,66032,50529,08524,94322,5003.73.83.53.02.7

At closing establishments

4,2693,7513,8503,0852,7500.50.40.50.40.3

Net employment change (2)

-9,394-8,712-5,3082733,253-1.1-0.9-0.70.00.4

Wholesale trade

 

Gross job gains

24,99726,03927,87324,79126,3224.24.54.84.24.5

At expanding establishments

20,71521,51422,75220,62922,2103.53.73.93.53.8

At opening establishments

4,2824,5255,1214,1624,1120.70.80.90.70.7

Gross job losses

31,04227,82125,40424,10222,1945.24.74.44.13.8

At contracting establishments

26,03022,88920,71620,33117,9544.43.93.63.53.1

At closing establishments

5,0124,9324,6883,7714,2400.80.80.80.60.7

Net employment change (2)

-6,045-1,7822,4696894,128-1.0-0.20.40.10.7

Retail trade

 

Gross job gains

73,43272,95577,00473,84572,7595.65.55.85.65.4

At expanding establishments

63,68863,07066,20164,99662,9174.94.85.04.94.7

At opening establishments

9,7449,88510,8038,8499,8420.70.70.80.70.7

Gross job losses

66,72268,56775,50768,48972,2645.15.25.75.25.4

At contracting establishments

59,48062,18567,12260,31665,1524.54.75.14.64.9

At closing establishments

7,2426,3828,3858,1737,1120.60.50.60.60.5

Net employment change (2)

6,7104,3881,4975,3564950.50.30.10.40.0

Transportation and warehousing

 

Gross job gains

20,52121,64225,90535,69921,5954.74.95.87.84.6

At expanding establishments

17,37018,04621,86229,25618,6774.04.14.96.44.0

At opening establishments

3,1513,5964,0436,4432,9180.70.80.91.40.6

Gross job losses

24,79920,18319,87920,62627,9825.64.54.44.56.0

At contracting establishments

21,98216,51116,63117,95725,5675.03.73.73.95.5

At closing establishments

2,8173,6723,2482,6692,4150.60.80.70.60.5

Net employment change (2)

-4,2781,4596,02615,073-6,387-0.90.41.43.3-1.4

Information

 

Gross job gains

7,79311,3448,8859,1779,1303.95.74.44.64.5

At expanding establishments

5,8349,3767,4557,6457,7052.94.73.73.83.8

At opening establishments

1,9591,9681,4301,5321,4251.01.00.70.80.7

Gross job losses

9,4268,6429,5079,9508,2234.74.34.74.94.0

At contracting establishments

8,0946,9948,0118,2927,1834.03.54.04.13.5

At closing establishments

1,3321,6481,4961,6581,0400.70.80.70.80.5

Net employment change (2)

-1,6332,702-622-773907-0.81.4-0.3-0.30.5

Financial activities

 

Gross job gains

31,34834,85737,87335,42832,4914.44.95.34.94.4

At expanding establishments

24,18927,97629,20627,78625,6173.43.94.13.83.5

At opening establishments

7,1596,8818,6677,6426,8741.01.01.21.10.9

Gross job losses

30,62331,23330,49929,33129,3224.34.44.34.14.0

At contracting establishments

23,67324,07923,43322,85722,8773.33.43.33.23.1

At closing establishments

6,9507,1547,0666,4746,4451.01.01.00.90.9

Net employment change (2)

7253,6247,3746,0973,1690.10.51.00.80.4

Professional and business services

 

Gross job gains

102,632110,313121,446109,554114,6156.46.87.56.77.0

At expanding establishments

83,89989,028101,68789,01095,2365.25.56.35.45.8

At opening establishments

18,73321,28519,75920,54419,3791.21.31.21.31.2

Gross job losses

114,190103,43899,551110,09299,0337.06.46.26.76.0

At contracting establishments

94,16185,40780,49788,57581,4065.85.35.05.44.9

At closing establishments

20,02918,03119,05421,51717,6271.21.11.21.31.1

Net employment change (2)

-11,5586,87521,895-53815,582-0.60.41.30.01.0

Education and health services

 

Gross job gains

66,15672,25382,67276,61572,6154.24.65.34.94.6

At expanding establishments

53,23258,01967,58762,99760,1533.43.74.34.03.8

At opening establishments

12,92414,23415,08513,61812,4620.80.91.00.90.8

Gross job losses

63,42062,38161,45364,00962,8284.14.03.94.04.0

At contracting establishments

51,25349,88749,40451,24452,0633.33.23.13.23.3

At closing establishments

12,16712,49412,04912,76510,7650.80.80.80.80.7

Net employment change (2)

2,7369,87221,21912,6069,7870.10.61.40.90.6

Leisure and hospitality

 

Gross job gains

90,42196,11099,51194,17393,1037.17.57.77.27.1

At expanding establishments

69,03672,84378,00274,62473,6715.45.76.05.75.6

At opening establishments

21,38523,26721,50919,54919,4321.71.81.71.51.5

Gross job losses

85,40485,07790,01886,10384,6436.76.77.06.66.5

At contracting establishments

71,49672,53177,30274,04770,5875.65.76.05.75.4

At closing establishments

13,90812,54612,71612,05614,0561.11.01.00.91.1

Net employment change (2)

5,01711,0339,4938,0708,4600.40.80.70.60.6

Other services (3)

 

Gross job gains

20,64923,30023,29921,15821,9127.07.87.87.07.2

At expanding establishments

15,10717,22418,55416,69317,9475.15.86.25.55.9

At opening establishments

5,5426,0764,7454,4653,9651.92.01.61.51.3

Gross job losses

21,56119,90421,24421,10320,0007.26.77.17.06.6

At contracting establishments

16,67715,50616,39717,31316,3075.65.25.55.75.4

At closing establishments

4,8844,3984,8473,7903,6931.61.51.61.31.2

Net employment change (2)

-9123,3962,055551,912-0.21.10.70.00.6
(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
StateGross job gains as a percent of employment (3 months ended)Gross job losses as a percent of employment (3 months ended)
Mar.JuneSept.Dec.Mar.Mar.JuneSept.Dec.Mar.
2016201620162016201720162016201620162017

United States (1)

6.06.26.46.26.05.76.05.85.95.4

Alabama

5.95.86.25.86.15.55.95.85.85.2

Alaska

9.610.49.19.89.49.611.211.210.09.8

Arizona

5.96.27.26.05.85.76.05.25.55.4

Arkansas

5.55.46.25.95.65.45.95.65.45.0

California

6.66.96.96.96.76.36.66.26.36.0

Colorado

6.67.07.16.66.86.16.56.26.56.2

Connecticut

5.35.45.25.15.55.05.45.45.25.1

Delaware

6.66.86.36.26.66.56.76.66.25.9

District of Columbia

5.35.96.25.65.75.65.85.85.64.7

Florida

6.26.57.46.76.15.85.95.86.15.5

Georgia

6.26.96.76.66.35.86.45.95.85.8

Hawaii

5.25.46.05.05.15.05.84.85.04.8

Idaho

8.27.27.97.57.96.57.07.36.76.3

Illinois

5.66.05.76.15.85.65.95.75.65.4

Indiana

5.55.45.85.45.75.35.25.15.25.1

Iowa

6.15.76.15.76.15.46.25.85.95.5

Kansas

5.85.76.25.95.85.96.35.65.75.6

Kentucky

5.96.26.86.15.76.06.06.35.85.4

Louisiana

6.06.06.85.96.46.76.96.56.55.9

Maine

7.27.76.77.47.26.96.87.47.16.4

Maryland

6.26.46.66.66.16.06.25.96.25.9

Massachusetts

5.46.05.75.65.55.15.25.45.45.1

Michigan

5.35.95.75.55.64.95.45.55.45.0

Minnesota

5.55.96.15.75.85.25.55.55.74.7

Mississippi

5.95.76.36.35.76.26.55.55.65.9

Missouri

5.65.75.75.75.95.35.45.45.64.9

Montana

7.97.97.67.88.17.38.67.77.57.1

Nebraska

5.95.76.45.75.95.55.95.96.25.2

Nevada

6.46.56.86.26.65.95.85.55.65.2

New Hampshire

6.06.56.46.35.75.85.96.35.95.6

New Jersey

5.86.46.36.45.56.05.75.95.95.8

New Mexico

6.46.47.06.66.46.46.76.26.56.2

New York

6.26.36.36.16.25.85.85.95.95.7

North Carolina

6.16.36.36.36.25.65.85.95.75.5

North Dakota

6.76.88.26.77.68.98.97.17.76.7

Ohio

5.55.65.75.75.75.25.75.75.45.1

Oklahoma

5.75.86.36.56.36.36.86.06.36.5

Oregon

7.16.86.96.66.95.86.66.46.35.7

Pennsylvania

5.45.35.65.45.25.35.45.15.15.0

Rhode Island

5.86.15.65.76.35.96.25.95.85.9

South Carolina

6.06.36.36.56.06.05.85.65.45.6

South Dakota

6.26.46.46.06.46.16.26.26.15.9

Tennessee

5.45.85.95.85.15.25.45.25.14.9

Texas

5.45.86.25.95.85.85.55.55.45.2

Utah

7.36.77.46.87.76.06.46.76.46.1

Vermont

6.77.47.27.06.66.97.27.47.06.8

Virginia

5.96.56.26.26.06.06.16.15.95.6

Washington

7.17.36.77.16.86.06.06.66.75.6

West Virginia

5.95.86.56.46.36.96.96.46.26.4

Wisconsin

5.65.75.55.55.95.25.75.65.34.8

Wyoming

8.17.78.58.88.89.410.68.88.78.1

Puerto Rico

5.75.65.85.85.16.05.55.75.45.7

Virgin Islands

6.06.56.26.05.35.85.76.86.05.5

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

 

Last Modified Date: Thursday, November 16, 2017