Full text of Third Quarter 2006 : Text File, USDL 07-0710
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Technical information: (202) 691-6467 USDL 07-0710
http://www.bls.gov/bdm/
For release: 10:00 A.M. EDT
Media contact: 691-5902 Wednesday, May 16, 2007
BUSINESS EMPLOYMENT DYNAMICS: THIRD QUARTER 2006
From June 2006 to September 2006, the number of job gains from opening and expanding
private sector establishments was 7.4 million, and the number of job losses from closing
and contracting establishments was 7.3 million, according to data released today by the
Bureau of Labor Statistics of the U.S. Department of Labor. (See table 3.) Over this
period, firms with 1,000 or more employees accounted for the largest share of gross job
gains (16.8 percent) and the largest share of gross job losses (16.8 percent). (See
tables D and 4.)
The Business Employment Dynamics (BED) data series include gross job gains and gross
job losses at the establishment level by major industry sector, as well as gross job gains
and gross job losses at the firm level by employer size class.
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 units 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 ex-
pansions at existing units and the addition of new jobs at opening units. Gross job losses
are the result of contractions in employment at existing units and the loss of jobs at clos-
ing units. The difference between the number of gross jobs gained and the number of gross
jobs lost is the net change in employment. (See the Technical Note for more information.)
Private Sector Establishment-Level Gross Job Gains and Job Losses
Opening and expanding private sector business establishments gained 7.4 million jobs in
the third quarter of 2006, a decrease of 397,000 from the previous quarter. Over the third
quarter, expanding establishments added 6.0 million jobs, while opening establishments added
1.4 million jobs.
Gross job losses totaled 7.3 million, an increase of 50,000 from the previous quarter.
During the quarter, contracting establishments lost 6.0 million jobs, while closing estab-
lishments lost 1.3 million jobs. (See tables A, 1, and 3.)
The difference between the number of gross jobs gained and the number of gross jobs lost
yielded a net change of 19,000 jobs in the private sector for third quarter 2006.
From June 2006 to September 2006, gross job gains represented 6.5 percent of private sector
employment, while gross job losses represented 6.5 percent of private sector employment.
(See tables A and 2.) These gross job gain and loss statistics demonstrate that a sizable
number of jobs appear and disappear in the relatively short time frame of one quarter.
- 2 -
Table A. Three-month private sector gross job gains and losses,
seasonally adjusted
------------------------------------------------------------------------
| 3 months ended
|-------------------------------------
Category | Sept.| Dec. | Mar. | June | Sept.
| 2005 | 2005 | 2006 | 2006 | 2006
|-------------------------------------
| Levels (in thousands)
----------------------------------|-------------------------------------
| | | | |
Gross job gains...................| 8,055| 7,818| 7,556| 7,761| 7,364
At expanding establishments.....| 6,423| 6,293| 6,205| 6,286| 5,985
At opening establishments.......| 1,632| 1,525| 1,351| 1,475| 1,379
Gross job losses..................| 7,427| 7,267| 6,772| 7,295| 7,345
At contracting establishments...| 5,915| 5,888| 5,536| 5,937| 6,010
At closing establishments.......| 1,512| 1,379| 1,236| 1,358| 1,335
Net employment change (1).........| 628| 551| 784| 466| 19
|-------------------------------------
| Rates (percent)
|-------------------------------------
Gross job gains...................| 7.3| 7.1| 6.7| 6.9| 6.5
At expanding establishments.....| 5.8| 5.7| 5.5| 5.6| 5.3
At opening establishments.......| 1.5| 1.4| 1.2| 1.3| 1.2
Gross job losses..................| 6.8| 6.5| 6.0| 6.5| 6.5
At contracting establishments...| 5.4| 5.3| 4.9| 5.3| 5.3
At closing establishments.......| 1.4| 1.2| 1.1| 1.2| 1.2
Net employment change (1).........| .5| .6| .7| .4| .0
------------------------------------------------------------------------
1 The net employment change is the difference between total gross job
gains and total gross job losses. See the Technical Note for further
information.
Major Industry Sector Gross Job Gains and Gross Job Losses
Goods-producing. Expanding and opening establishments in the goods-producing sector ac-
counted for 1,537,000 jobs gained, and contracting and closing establishments accounted for
1,706,000 jobs lost. This net loss of 169,000 jobs is the first net loss in this sector
since September 2004. (See tables B and 3.)
Construction. In construction, gross job gains over the quarter fell to 771,000 and
gross job losses increased to 848,000, resulting in a net loss of 77,000 jobs. This is the
second consecutive quarter of net losses in this industry.
Manufacturing. Gross job gains in manufacturing decreased to a level of 505,000 jobs in
the third quarter of 2006, and gross job losses increased to 600,000, resulting in a net
loss of 95,000 jobs.
Service-providing. In the service-providing sector, gross job gains totaled 5,827,000
and gross job losses totaled 5,639,000 in the third quarter of 2006, resulting in a net gain
of 188,000 jobs.
Retail trade. Gross job gains in the retail trade sector totaled 1,010,000. Gross job
losses decreased marginally to 1,063,000, resulting in a net loss of 53,000 jobs. This is
the second consecutive quarter of net losses for this sector.
Leisure and hospitality. The leisure and hospitality sector gained 1,154,000 jobs and
lost 1,168,000 jobs in the third quarter of 2006, for a net loss of 14,000.
- 3 -
Table B. Three-month private sector gross job gains and losses by industry,
seasonally adjusted
(In thousands)
----------------------------------------------------------------------------------
| Gross job gains | Gross job losses
|-----------------------------|-----------------------------
Industry | 3 months ended | 3 months ended
|-----------------------------|-----------------------------
|Sept.|Dec. |Mar. |June |Sept.|Sept.|Dec. |Mar. |June |Sept.
|2005 |2005 |2006 |2006 |2006 |2005 |2005 |2006 |2006 |2006
----------------------|-----|-----|-----|-----|-----|-----|-----|-----|-----|-----
| | | | | | | | | |
Total private (1)...|8,055|7,818|7,556|7,761|7,364|7,427|7,267|6,772|7,295|7,345
Goods-producing.......|1,698|1,722|1,713|1,673|1,537|1,663|1,606|1,545|1,644|1,706
Natural resources | | | | | | | | | |
and mining.........| 265| 279| 279| 286| 261| 265| 265| 275| 265| 258
Construction ........| 868| 862| 910| 828| 771| 782| 774| 742| 830| 848
Manufacturing .......| 565| 581| 524| 559| 505| 616| 567| 528| 549| 600
Service-providing (1).|6,357|6,096|5,843|6,088|5,827|5,764|5,661|5,227|5,651|5,639
Wholesale trade......| 338| 320| 311| 328| 304| 311| 302| 288| 288| 302
Retail trade.........|1,074|1,058|1,048|1,053|1,010|1,063|1,015| 971|1,074|1,063
Transportation and...| | | | | | | | | |
warehousing.........| 254| 268| 232| 242| 236| 236| 231| 228| 227| 221
Utilities ...........| 13| 14| 11| 13| 13| 12| 16| 11| 13| 12
Information .........| 170| 152| 139| 146| 148| 154| 156| 142| 140| 167
Financial | | | | | | | | | |
activities..........| 480| 472| 408| 447| 436| 413| 434| 404| 432| 435
Professional and | | | | | | | | | |
business services...|1,523|1,432|1,279|1,428|1,305|1,311|1,303|1,169|1,272|1,259
Education and | | | | | | | | | |
health services.....| 811| 766| 771| 776| 772| 691| 699| 645| 713| 670
Leisure and | | | | | | | | | |
hospitality.........|1,202|1,175|1,194|1,200|1,154|1,219|1,165|1,046|1,169|1,168
Other services.......| 297| 289| 293| 307| 285| 309| 296| 281| 284| 302
----------------------------------------------------------------------------------
1 Includes unclassified sector, not shown separately.
Number of Establishments Gaining and Losing Employment
Another way to look at the dynamics of business activities is to monitor the number and
proportion of business units that are growing and declining. The third quarter of 2006 re-
presented the first quarter where the number of contracting establishments exceeded the num-
ber of expanding establishments since the second quarter of 2003. Out of 6.9 million active
private-sector establishments, a total of 1,865,000 establishments gained jobs from June
2006 to September 2006. (See table C.) Of these, 1,524,000 were expanding establishments
and 341,000 were opening establishments. During the quarter, 1,542,000 establishments con-
tracted and 349,000 establishments closed, resulting in 1,891,000 establishments losing jobs.
Overall, the number of active private sector establishments decreased by 8,000 during the
quarter. This change is the difference between the number of opening establishments and
the number of closing establishments.
- 4 -
Table C. Number of private sector establishments by direction of
employment change, seasonally adjusted
(In thousands)
-------------------------------------------------------------------------
| 3 months ended
Category |--------------------------------------
| Sept. | Dec. | Mar. | June | Sept.
| 2005 | 2005 | 2006 | 2006 | 2006
----------------------------------|-------|-------|-------|------|-------
Establishments gaining jobs.......| 1,924 | 1,921 | 1,938 | 1,918| 1,865
Expanding establishments......| 1,549 | 1,546 | 1,585 | 1,558| 1,524
Opening establishments........| 375 | 375 | 353 | 360| 341
Establishments losing jobs........| 1,825 | 1,849 | 1,839 | 1,884| 1,891
Contracting establishments....| 1,486 | 1,520 | 1,498 | 1,543| 1,542
Closing establishments........| 339 | 329 | 341 | 341| 349
Net establishment change (1)......| 36 | 46 | 12 | 19| -8
-------------------------------------------------------------------------
1 The net establishment change is the difference between the number of
opening establishments and the number of closing establishments. See the
Technical Note for further information.
Firm-level Gross Job Gains and Gross Job Losses by Size Class
From June 2006 to September 2006, firms with 1,000 or more employees accounted for the
largest share of gross job gains (16.8 percent) and the largest share of gross job losses
(16.8 percent). (See tables D and 4.) During this quarter, gross job losses exceeded gross
job gains in size classes with 1-4, 5-9, 10-19, and 20-49 employees, resulting in negative
contributions to total net change in employment from these size classes. Because of these
negative contributions, the share of net change in employment by size of firm is not shown
this quarter in tables D and 4.
In the third quarter of 2006, firms with 500 or more employees represented 21.5 percent
of gross job gains and 21.3 percent of gross job losses. (See table D.) Historically,
from September 1992 through September 2006, firms with 500 or more employees have accounted
for, on average, 34.6 percent of quarterly net employment growth. (See table E.)
Firms with 1-4 employees continued to have the largest shares of both job gains at open-
ing firms and job losses at closing firms, with 59.1 and 59.2 percent respectively, in the
third quarter of 2006. (See table 4.)
- 5 -
Table D. Three-month private sector percentage share (1) of gross job gains and gross
job losses by firm size, seasonally adjusted
(Percent)
-----------------------------------------------------------------------------------------
| Share of gross job gains | Share of gross job losses
|-------------------------------|---------------------------------
| 3 months ended | 3 months ended
Firm size |-------------------------------|---------------------------------
| Sept.| Dec.| Mar.| June| Sept.| Sept.| Dec. | Mar. | June| Sept.
| 2005 | 2005| 2006| 2006| 2006 | 2005 | 2005 | 2006 | 2006| 2006
-----------------------|------------|-----|------------|------|------|------|-----|------
| | | | | | | | | |
1 - 4 employees..| 15.1 | 15.5| 15.7| 15.0| 15.2 | 15.6 | 15.6 | 17.0 | 16.0| 15.8
5 - 9 employees..| 11.7 | 11.7| 12.3| 11.9| 12.0 | 12.3 | 12.6 | 13.0 | 12.6| 12.3
10 - 19 employees..| 11.9 | 12.0| 12.7| 12.2| 12.3 | 12.4 | 12.8 | 13.0 | 12.7| 12.4
20 - 49 employees..| 13.9 | 13.9| 14.9| 14.6| 14.5 | 14.5 | 14.7 | 14.4 | 14.4| 14.5
50 - 99 employees..| 8.7 | 8.7| 9.3| 9.1| 9.1 | 9.0 | 9.1 | 8.7 | 8.9| 8.9
100 - 249 employees..| 9.3 | 9.1| 9.7| 9.8| 9.5 | 9.6 | 9.6 | 8.8 | 9.1| 9.3
250 - 499 employees..| 5.8 | 5.5| 5.7| 5.9| 5.9 | 5.6 | 5.7 | 5.1 | 5.3| 5.5
500 - 999 employees..| 4.8 | 4.5| 4.5| 4.8| 4.7 | 4.4 | 4.7 | 3.9 | 4.4| 4.5
1,000 or more employees| 19.0 | 19.1| 15.2| 16.7| 16.8 | 16.7 | 15.2 | 16.1 | 16.6| 16.8
| | | | | | | | | |
Total................|100.0 |100.0|100.0|100.0|100.0 |100.0 |100.0 |100.0 |100.0|100.0
-----------------------------------------------------------------------------------------
1 Share measures the percent of the category represented by firm size.
Table E. Average percentage share (1) of gross job gains and gross job losses by
firm size, third quarter 1992-third quarter 2006, seasonally adjusted
(Percent)
----------------------------------------------------------------------------------------------
| Firm size (number of employees)
|-----------------------------------------------------------------------
Category | | | | | | | 100 | 250 | 500 | 1,000
| Total | 1-4 | 5-9 | 10-19| 20-49| 50-99| - | - | - | or
| | | | | | | 249 | 499 | 999 | more
----------------------|-------|------|------|------|------|------|------|------|------|-------
Gross job gains.......| 100.0 | 14.4 | 11.5 | 11.9 | 14.3 | 9.1 | 9.8 | 5.9 | 4.9 | 18.2
Expanding firms.....| 100.0 | 7.0 | 10.6 | 12.0 | 15.2 | 10.0 | 11.1 | 6.8 | 5.7 | 21.6
Opening firms.......| 100.0 | 52.1 | 16.1 | 11.6 | 9.7 | 4.2 | 3.0 | 1.3 | .8 | 1.2
| | | | | | | | | |
Gross job losses......| 100.0 | 14.7 | 11.9 | 12.2 | 14.4 | 9.0 | 9.6 | 5.8 | 4.8 | 17.6
Contracting firms...| 100.0 | 7.5 | 11.1 | 12.3 | 15.3 | 9.9 | 10.8 | 6.7 | 5.5 | 20.9
Closing firms.......| 100.0 | 49.6 | 15.5 | 11.6 | 10.2 | 4.7 | 3.9 | 1.8 | 1.2 | 1.5
| | | | | | | | | |
Net change............| 100.0 | 9.5 | 6.4 | 8.2 | 12.4 | 9.5 | 11.8 | 7.6 | 6.2 | 28.4
| | | | | | | | | |
Cumulative share of | | | | | | | | | |
net change..........| - | 9.5 | 15.9 | 24.1 | 36.5 | 46.0 | 57.8 | 65.4 | 71.6 | 100.0
----------------------------------------------------------------------------------------------
1 Share measures the percent of the category represented by firm size.
More Information
Additional information on gross job gains and gross job losses are available at the Busi-
ness Employment Dynamics Web page on the BLS Web site at http://www.bls.gov/bdm. This in-
formation includes data on the levels and rates of gross job gains and gross job losses by
firm size, the not seasonally adjusted data and other seasonally adjusted time series not
presented in this release, charts of gross job gains and gross job losses by industry and
size class, and frequently asked questions on size-class data. Additional information about
the Business Employment Dynamics data can be found in the Technical Note of this release or
may be obtained by e-mailing BDMinfo@bls.gov.
- 6 -
--------------------------------------------------------------------
| Comparing Business Employment Dynamics Data with Current |
| Employment Statistics and Quarterly Census of Employment |
| and Wages Data |
| |
| The net change in employment from Business Employment Dynamics |
| (BED) data series will not match the net change in employment |
| from the monthly Current Employment Statistics (CES) survey. The |
| CES estimates are based on monthly surveys from a sample of estab- |
| lishments, while gross job gains and gross job losses are based |
| on a quarterly census of administrative records. In addition, the |
| CES has a different coverage, excluding the agriculture sector but |
| including establishments not covered by the unemployment insurance |
| program. The net over-the-quarter changes derived by aggregating |
| component series in the BED data may be different from the net em- |
| ployment change estimated from the CES seasonally adjusted total |
| employment series. The intended use of the BED statistics is to |
| show the dynamic labor market flows that underlie the net changes |
| in aggregate employment levels; data users who want to track net |
| changes in aggregate employment levels over time should refer to |
| CES data. |
| |
| BED data have a more limited scope than the Quarterly Census |
| of Employment and Wages (QCEW) data. The data in this release, |
| in contrast to the QCEW data, exclude government employees, pri- |
| vate households (NAICS 814110), and establishments with zero |
| employment. |
| |
| See the Technical Note for further information. |
--------------------------------------------------------------------
- 7 -
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 quarterly state unemployment
insurance (UI) records. Most employers in the U.S. are required to file
quarterly reports on the employment and wages of workers covered by UI
laws, and to pay quarterly UI taxes. The quarterly UI reports are sent by
the State Workforce Agencies (SWAs) to BLS and form the basis of the BLS
establishment universe sampling frame. These reports also are used to pro-
duce the quarterly QCEW data on total employment and wages and the longitu-
dinal BED data on gross job gains and losses. Other important BLS uses
of the UI reports are in the Current Employment Statistics (CES) program.
(See table below for differences between QCEW, CES, and BED.)
In the BED program, the quarterly UI 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 establish-
ments.
Differences between QCEW, BED, and CES employment measures
The BLS publishes three different establishment-based employment mea-
sures for any given quarter. Each of these measures--QCEW, BED, and CES--
makes use of the quarterly UI employment reports in producing data; how-
ever, each measure has a somewhat different universe coverage, estimation
procedure, and publication product.
Differences in coverage and estimation methods can result in somewhat
different measures of over-the-quarter employment change. It is important to
understand program differences and the intended uses of the program products.
(See table below.) Additional information on each program can be obtained
from the program Web sites shown in the table.
- 8 -
Summary of Major Differences between QCEW, BED, and CES Employment Measures
---------------------------------------------------------------------------------
| QCEW | BED | CES
-----------|---------------------|----------------------|------------------------
Source |--Count of UI admini-|--Count of longitudi- |--Sample survey:
| strative records | nally-linked UI ad- | 400,000 establish-
| submitted by 8.9 | ministrative records| ments
| million employers | submitted by 6.9 |
| | million private sec-|
| | tor employers |
-----------|---------------------|----------------------|------------------------
Coverage |--UI and UCFE cover- |--UI Coverage, exclud-|Nonfarm wage and sal-
| age: all employers| ing government, pri-| ary jobs:
| subject to state | vate households, and|--UI Coverage, exclud-
| and federal UI Laws| establishments with | ing agriculture, pri-
| | zero employment | vate households, and
| | | self-employed workers
| | |--Other employment, in-
| | | cluding railroads,
| | | religious organiza-
| | | tions, and other non-
| | | UI-covered jobs
-----------|---------------------|----------------------|------------------------
Publication|--Quarterly |--Quarterly |--Monthly
frequency | -7 months after the| -8 months after the | -Usually first Friday
| end of each quar- | end of each quarter| of following month
| ter | |
-----------|---------------------|----------------------|------------------------
Use of UI |--Directly summarizes|--Links each new UI |--Uses UI file as a sam-
file | and publishes each | quarter to longitu- | pling frame and annu-
| new quarter of UI | dinal database and | ally realigns (bench-
| data | directly summarizes | marks) sample esti-
| | gross job gains and | mates to first quar-
| | losses | ter UI levels
-----------|---------------------|----------------------|------------------------
Principal |--Provides a quarter-|--Provides quarterly |--Provides current month-
products | ly and annual uni- | employer dynamics | ly estimates of employ-
| verse count of es- | data on establish- | ment, hours, and earn-
| tablishments, em- | ment openings, clos-| ings at the MSA, state,
| ployment, and wages| ings, expansions, | and national level by
| at the county, MSA,| and contractions at | industry
| state, and national| the national level |
| levels by detailed | by NAICS supersector|
| industry | and by size of firm |
| |--Future expansions |
| | will include data at|
| | the county, MSA, and|
| | state level |
-----------|---------------------|----------------------|------------------------
Principal |--Major uses include:|--Major uses include: |--Major uses include:
uses | -Detailed locality | -Business cycle | -Principal national
| data | analysis | economic indicator
| -Periodic universe | -Analysis of employ-| -Official time series
| counts for bench- | er dynamics under- | for employment change
| marking sample | lying economic ex- | measures
| survey estimates | pansions and con- | -Input into other ma-
| -Sample frame for | tractions | jor economic indi-
| BLS establishment | An analysis of em- | cators
| surveys | ployment expansion |
| | and contraction by |
| | size of firm |
| | |
-----------|---------------------|----------------------|------------------------
Program |--www.bls.gov/cew/ |--www.bls.gov/bdm/ |--www.bls.gov/ces/
Web sites | | |
---------------------------------------------------------------------------------
- 9 -
Coverage
Employment and wage data for workers covered by state UI and Unemployment
Compensation for Federal Employees (UCFE) laws are compiled from quarterly
contribution reports submitted to the SWAs by employers. In addition to the
quarterly contribution reports, employers who operate multiple establishments
within a state complete a questionnaire, called the "Multiple Worksite Report,"
which provides detailed information on the location of their establishments.
These reports are based on place of employment rather than place of residence.
UI and UCFE coverage is broad and basically comparable from state to state.
Major exclusions from UI coverage are self-employed workers, religious or-
ganizations, most agricultural workers on small farms, all members of the
Armed Forces, elected officials in most states, most employees of railroads,
some domestic workers, most student workers at schools, and employees of cer-
tain small nonprofit organizations.
Gross job gains and gross job losses in this release are derived from lon-
gitudinal histories of over 6.9 million private sector employer reports out
of 8.9 million total reports of employment and wages submitted by states to
BLS in the third quarter of 2006. Gross job gains and gross job losses data
in this release do not report estimates for government employees or private
households (NAICS 814110) and do not include establishments with zero employ-
ment over three quarters. Data from Puerto Rico and the Virgin Islands also
are excluded from the national data. As an illustration, the table below
shows, in millions of establishments, the number of establishments excluded
from the gross job gains and gross job losses data in the third quarter of
2006:
Number of active establishments included in
Business Employment Dynamics data
Millions
Total establishments QCEW program....................................8.9
Excluded: Public sector.........................................0.3
Private households....................................0.6
Zero employment.......................................1.0
Establishments in Puerto Rico
and the Virgin Islands..............................0.1
Total establishments included in Business
Employment Dynamics data...........................................6.9
Unit of analysis
Establishments are used in the tabulation of the BED statistics by in-
dustry and firms are used in the tabulation of the BED size class sta-
tistics. An establishment is defined as an economic unit that produces
goods or services, usually at a single physical location, and engages in
one or predominantly one activity. A firm is a legal business, either
corporate or otherwise, and may consist of several establishments. Firm-
level data are compiled based on an aggregation of establishments under
common ownership by a corporate parent using employer tax identification
numbers. The firm-level aggregation, which is consistent with the role of
corporations as the economic decision makers, is used for the measurement
of the BED data elements by size class.
Because of the difference in the unit of analysis, total gross job gains
and gross job losses by size class are lower than total gross job gains and
gross job losses by industry, as some establishment gains and losses within
a firm are offset during the aggregation process. However, the total net
changes in employment are the same for not seasonally adjusted data and are
similar for seasonally adjusted data.
- 10 -
Concepts and methodology
The Business Employment Dynamics data measure the net change in employ-
ment at the establishment or firm level. These changes come about in one
of four ways. A net increase in employment can come from either opening
units or expanding units. A net decrease in employment can come from either
closing units or contracting units. Gross job gains include the sum of all
jobs added at either opening or expanding units. Gross job losses include
the sum of all jobs lost in either closing or contracting units. The net
change in employment is the difference between gross job gains and gross
job losses.
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 em-
ployment 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 pre-
vious 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.
All establishment-level employment changes are measured from the third
month of each quarter. Not all establishments and firms change their em-
ployment levels. Units with no change in employment count towards estimates
of total employment, but not for levels of gross employment job gains and
gross job losses.
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 quar-
ters. This provides a symmetric growth rate. 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.
Linkage methodology
Prior to the measurement of gross job gains and gross job losses, QCEW
records are linked across two quarters. The linkage process matches esta-
blishments' unique SWA identification numbers (SWA-ID). Between 95 to 97
percent of establishments identified as continuous from quarter to quarter
are matched by SWA-ID. The rest are linked in one of three ways. The first
method uses predecessor and successor information, identified by the states,
which relates records with different SWA-IDs across quarters. Predecessor
and successor relations can come about for a variety of reasons, including
a change in ownership, a firm restructuring, or a UI account restructuring.
If a match cannot be attained in this manner, a probability-based match is
used. This match attempts to identify two establishments with different SWA-
IDs as continuous. The match is based upon comparisons such as the same
name, address, and phone number. Third, an analyst examines unmatched re-
cords individually and makes a possible match.
In order to ensure the highest possible quality of data, SWAs verify with
employers and update, if necessary, the industry, location, and ownership
classification of all establishments on a 3-year cycle. Changes in establish-
ment classification codes resulting from the verification process are intro-
duced with the data reported for the first quarter of the year. Changes re-
sulting from improved employer reporting also are introduced in the first
quarter.
- 11 -
Sizing methodology
The method of dynamic sizing is used in calculations for the BED size-
class data series. Dynamic sizing allocates each firm's employment gain or
loss during a quarter to each respective size class in which the change
occurred. For example, if a firm grew from 2 employees in quarter 1 to 38
employees in quarter 2, then, of the 36-employee increase, 2 would be al-
located to the first size class, 5 to the size class 5 to 9, 10 to size
class 10 to 19, and 19 to size class 20 to 49.
Dynamic sizing provides symmetrical firm-size estimates and eliminates
any systematic effects which may be caused by the transitory and reverting
changes in firms' sizes over time. Additionally, it allocates each job
gain or loss to the actual size class where it occurred.
Seasonal adjustment
Over the course of a year, the levels of employment and the associated
job flows undergo sharp fluctuations due to such seasonal events as changes
in the weather, reduced or expanded production, harvests, major holidays,
and the opening and closing of schools. The effect of such seasonal vari-
ation can be very large.
Because these seasonal events follow a more or less regular pattern each
year, their influence can be eliminated by adjusting these statistics from
quarter to quarter. These adjustments make nonseasonal developments, such as
declines in economic activity, easier to recognize. For example, the large
number of youths taking summer jobs is likely to obscure other changes that
have taken place in June relative to March, making it difficult to determine
if the level of economic activity has risen or declined. However, because
the effect of students finishing school in previous years is known, the
statistics for the current year can be adjusted to allow for a comparable
change. The adjusted figures provide a more useful tool with which to ana-
lyze changes in economic activity.
The employment data series for opening, expanding, closing, and contract-
ing units are independently seasonally adjusted; net changes are calculated
based on the difference between gross job gains and gross job losses. Simi-
larly, for industry data, the establishment counts data series for opening,
expanding, closing, and contracting establishments are independently adjusted,
and the net changes are calculated based on the difference between the number
of opening and closing establishments. Additionally, establishment and em-
ployment levels are independently seasonally adjusted to calculate the sea-
sonally adjusted rates. Concurrent seasonal adjustment is run using X-12
ARIMA. Seasonally adjusted data series for the total private sector are cal-
culated by summing the seasonally adjusted data for all sectors, including
the unclassified sector, which is not published separately.
The net over-the-quarter change derived by summing the BED component series
will differ from the net employment change estimated from the seasonally ad-
justed total private employment series from the CES program. The intended use
of BED statistics is to show the dynamic labor market changes that underlie
the net employment change statistic. As such, data users interested particu-
larly in the net employment change and not in the gross job flows underlying
this change should refer to CES data for over-the-quarter net employment
changes.
Reliability of the data
Since the data series on Business Employment Dynamics are based on admini-
strative rather than sample data, there are no issues related to sampling
error. Nonsampling error, however, still exists. Nonsampling errors can oc-
cur for many reasons, such as the employer submitting corrected employment
data after the end of the quarter or typographical errors made by businesses
when providing information. Such errors, however, are likely to be distri-
buted randomly throughout the dataset.
Changes in administrative data sometimes create complications for the
linkage process. This can result in overstating openings and closings while
understating expansions and contractions. The BLS continues to refine methods
for improving the linkage process to alleviate the effects of these compli-
cations.
The BED data series are subject to periodic minor changes based on correc-
tions in QCEW records, updates on predecessors and successors information, and
seasonal adjustment revisions.
- 12 -
Additional statistics and other information
Several other programs within BLS produce closely related information.
The QCEW program, also known as the ES-202 program, provides both quarterly
and annual estimates of employment by state, county, and detailed industry.
News releases on quarterly county employment and wages are available upon
request from the Division of Administrative Statistics and Labor Turnover,
Bureau of Labor Statistics, U.S. Department of Labor, Washington, DC 20212;
telephone 202-691-6567; (http://www.bls.gov/cew/); (e-mail: QCEWInfo@bls.gov).
The CES program produces monthly estimates of employment, its net change,
and earnings by detailed industry. These estimates are part of the Employ-
ment Situation report put out monthly by BLS.
The Job Openings and Labor Turnover Survey (JOLTS) program provides month-
ly measures of job openings, as well as employee hires and separations.
Information in this release will be made available to sensory impaired in-
dividuals upon request. Voice phone: 202-691-5200; TDD message referral
number: 1-800-877-8339.
Table 1. Private sector gross job gains and job losses, seasonally adjusted
Total private
(In thousands)
Gross job gains Gross job losses
Year 3 months ended Net change (1) Total Expanding Opening Total Contracting Closing
establishments establishments establishments establishments
1992 September 455 7,377 5,632 1,745 6,922 5,351 1,571
December 216 7,101 5,465 1,636 6,885 5,487 1,398
1993 March 313 7,309 5,410 1,899 6,996 5,354 1,642
June 786 7,330 5,794 1,536 6,544 5,136 1,408
September 874 7,523 5,881 1,642 6,649 5,316 1,333
December 641 7,436 5,840 1,596 6,795 5,420 1,375
1994 March 517 7,400 5,807 1,593 6,883 5,435 1,448
June 1,021 7,807 6,060 1,747 6,786 5,295 1,491
September 1,175 7,972 6,227 1,745 6,797 5,493 1,304
December 507 7,630 5,998 1,632 7,123 5,647 1,476
1995 March 746 7,782 6,129 1,653 7,036 5,660 1,376
June 402 7,714 6,017 1,697 7,312 5,839 1,473
September 771 7,970 6,291 1,679 7,199 5,680 1,519
December 407 7,877 6,153 1,724 7,470 5,934 1,536
1996 March 460 7,943 6,190 1,753 7,483 5,957 1,526
June 642 8,080 6,302 1,778 7,438 5,894 1,544
September 632 8,189 6,326 1,863 7,557 5,998 1,559
December 861 8,278 6,409 1,869 7,417 5,889 1,528
1997 March 799 8,292 6,448 1,844 7,493 5,900 1,593
June 594 8,098 6,342 1,756 7,504 5,925 1,579
September 854 8,593 6,680 1,913 7,739 5,981 1,758
December 702 8,731 6,727 2,004 8,029 6,068 1,961
1998 March 747 8,788 6,633 2,155 8,041 6,107 1,934
June 666 8,722 6,569 2,153 8,056 6,218 1,838
September 659 8,539 6,574 1,965 7,880 6,161 1,719
December 759 8,576 6,778 1,798 7,817 6,060 1,757
1999 March 380 8,744 6,733 2,011 8,364 6,466 1,898
June 569 8,800 6,788 2,012 8,231 6,419 1,812
September 548 8,817 6,871 1,946 8,269 6,397 1,872
December 1,105 9,144 7,112 2,032 8,039 6,264 1,775
2000 March 818 8,906 6,988 1,918 8,088 6,361 1,727
June 541 8,764 6,975 1,789 8,223 6,509 1,714
September 146 8,724 6,834 1,890 8,578 6,719 1,859
December 336 8,690 6,862 1,828 8,354 6,582 1,772
2001 March -101 8,555 6,768 1,787 8,656 6,756 1,900
June -771 8,254 6,439 1,815 9,025 7,149 1,876
September -1,380 7,749 5,990 1,759 9,129 7,174 1,955
December -871 7,893 6,055 1,838 8,764 6,995 1,769
2002 March -1 8,128 6,324 1,804 8,129 6,400 1,729
June -80 8,050 6,246 1,804 8,130 6,411 1,719
September -211 7,763 6,083 1,680 7,974 6,345 1,629
December -175 7,702 6,059 1,643 7,877 6,267 1,610
2003 March -404 7,472 5,932 1,540 7,876 6,321 1,555
June -142 7,560 6,033 1,527 7,702 6,138 1,564
September 72 7,396 5,897 1,499 7,324 5,893 1,431
December 344 7,646 6,063 1,583 7,302 5,816 1,486
2004 March 435 7,745 6,231 1,514 7,310 5,871 1,439
June 594 7,857 6,292 1,565 7,263 5,726 1,537
September 191 7,789 6,123 1,666 7,598 5,953 1,645
December 869 8,081 6,365 1,716 7,212 5,727 1,485
2005 March 325 7,635 6,171 1,464 7,310 5,852 1,458
June 574 7,932 6,311 1,621 7,358 5,873 1,485
September 628 8,055 6,423 1,632 7,427 5,915 1,512
December 551 7,818 6,293 1,525 7,267 5,888 1,379
2006 March 784 7,556 6,205 1,351 6,772 5,536 1,236
June 466 7,761 6,286 1,475 7,295 5,937 1,358
September 19 7,364 5,985 1,379 7,345 6,010 1,335
1 Net change is the difference between total gross job gains and total gross job losses.
Table 2. Private sector gross job gains and losses, as a percent of employment (1), seasonally adjusted
(Percent)
Gross job gains Gross job losses
Year 3 months ended Net change (2) Total Expanding Opening Total Contracting Closing
establishments establishments establishments establishments
1992 September 0.5 8.3 6.3 2.0 7.8 6.0 1.8
December .2 7.9 6.1 1.8 7.7 6.1 1.6
1993 March .3 8.1 6.0 2.1 7.8 6.0 1.8
June .8 8.1 6.4 1.7 7.3 5.7 1.6
September .9 8.2 6.4 1.8 7.3 5.8 1.5
December .6 8.0 6.3 1.7 7.4 5.9 1.5
1994 March .5 8.0 6.3 1.7 7.5 5.9 1.6
June 1.1 8.4 6.5 1.9 7.3 5.7 1.6
September 1.2 8.4 6.6 1.8 7.2 5.8 1.4
December .6 8.0 6.3 1.7 7.4 5.9 1.5
1995 March .8 8.1 6.4 1.7 7.3 5.9 1.4
June .5 8.0 6.2 1.8 7.5 6.0 1.5
September .8 8.2 6.5 1.7 7.4 5.8 1.6
December .4 8.1 6.3 1.8 7.7 6.1 1.6
1996 March .4 8.1 6.3 1.8 7.7 6.1 1.6
June .6 8.2 6.4 1.8 7.6 6.0 1.6
September .7 8.3 6.4 1.9 7.6 6.0 1.6
December .9 8.3 6.4 1.9 7.4 5.9 1.5
1997 March .7 8.2 6.4 1.8 7.5 5.9 1.6
June .5 7.9 6.2 1.7 7.4 5.8 1.6
September .8 8.4 6.5 1.9 7.6 5.9 1.7
December .6 8.4 6.5 1.9 7.8 5.9 1.9
1998 March .7 8.5 6.4 2.1 7.8 5.9 1.9
June .6 8.4 6.3 2.1 7.8 6.0 1.8
September .7 8.2 6.3 1.9 7.5 5.9 1.6
December .7 8.1 6.4 1.7 7.4 5.7 1.7
1999 March .3 8.2 6.3 1.9 7.9 6.1 1.8
June .6 8.3 6.4 1.9 7.7 6.0 1.7
September .5 8.2 6.4 1.8 7.7 6.0 1.7
December 1.1 8.5 6.6 1.9 7.4 5.8 1.6
2000 March .8 8.2 6.4 1.8 7.4 5.8 1.6
June .4 7.9 6.3 1.6 7.5 5.9 1.6
September .1 7.9 6.2 1.7 7.8 6.1 1.7
December .3 7.9 6.2 1.7 7.6 6.0 1.6
2001 March -.1 7.7 6.1 1.6 7.8 6.1 1.7
June -.8 7.4 5.8 1.6 8.2 6.5 1.7
September -1.3 7.1 5.5 1.6 8.4 6.6 1.8
December -.8 7.3 5.6 1.7 8.1 6.5 1.6
2002 March .1 7.6 5.9 1.7 7.5 5.9 1.6
June -.1 7.5 5.8 1.7 7.6 6.0 1.6
September -.1 7.3 5.7 1.6 7.4 5.9 1.5
December -.2 7.1 5.6 1.5 7.3 5.8 1.5
2003 March -.5 6.9 5.5 1.4 7.4 5.9 1.5
June -.2 7.0 5.6 1.4 7.2 5.7 1.5
September .1 6.9 5.5 1.4 6.8 5.5 1.3
December .4 7.2 5.7 1.5 6.8 5.4 1.4
2004 March .4 7.2 5.8 1.4 6.8 5.5 1.3
June .5 7.2 5.8 1.4 6.7 5.3 1.4
September .2 7.2 5.7 1.5 7.0 5.5 1.5
December .7 7.4 5.8 1.6 6.7 5.3 1.4
2005 March .3 6.9 5.6 1.3 6.6 5.3 1.3
June .6 7.2 5.7 1.5 6.6 5.3 1.3
September .5 7.3 5.8 1.5 6.8 5.4 1.4
December .6 7.1 5.7 1.4 6.5 5.3 1.2
2006 March .7 6.7 5.5 1.2 6.0 4.9 1.1
June .4 6.9 5.6 1.3 6.5 5.3 1.2
September .0 6.5 5.3 1.2 6.5 5.3 1.2
1 The rates measure gross job gains and job losses as a percentage of the average of the previous and
current employment.
2 See footnote 1, table 1.
Table 3: Private sector gross job gains and losses by industry, seasonally adjusted
Gross job gains and job losses Gross job gains and job losses
(in thousands) as a percent of employment
Category 3 months ended 3 months ended
Sept. Dec. Mar. June Sept Sept. Dec. Mar. June Sept
2005 2005 2006 2006 2006 2005 2005 2006 2006 2006
Total private (1)
Gross job gains 8,055 7,818 7,556 7,761 7,364 7.3 7.1 6.7 6.9 6.5
At expanding establishments 6,423 6,293 6,205 6,286 5,985 5.8 5.7 5.5 5.6 5.3
At opening establishments 1,632 1,525 1,351 1,475 1,379 1.5 1.4 1.2 1.3 1.2
Gross job losses 7,427 7,267 6,772 7,295 7,345 6.8 6.5 6.0 6.5 6.5
At contracting establishments 5,915 5,888 5,536 5,937 6,010 5.4 5.3 4.9 5.3 5.3
At closing establishments 1,512 1,379 1,236 1,358 1,335 1.4 1.2 1.1 1.2 1.2
Net employment change 628 551 784 466 19 0.5 .6 .7 .4 .0
Goods-producing
Gross job gains 1,698 1,722 1,713 1,673 1,537 7.4 7.4 7.2 7.1 6.5
At expanding establishments 1,427 1,463 1,466 1,434 1,317 6.2 6.3 6.2 6.1 5.6
At opening establishments 271 259 247 239 220 1.2 1.1 1.0 1.0 .9
Gross job losses 1,663 1,606 1,545 1,644 1,706 7.2 6.8 6.5 6.9 7.2
At contracting establishments 1,371 1,338 1,302 1,373 1,436 5.9 5.7 5.5 5.8 6.1
At closing establishments 292 268 243 271 270 1.3 1.1 1.0 1.1 1.1
Net employment change 35 116 168 29 -169 .2 .6 .7 .2 -.7
Natural resources and mining
Gross job gains 265 279 279 286 261 15.5 16.1 15.7 16.2 14.7
At expanding establishments 224 238 240 246 226 13.1 13.7 13.5 13.9 12.7
At opening establishments 41 41 39 40 35 2.4 2.4 2.2 2.3 2.0
Gross job losses 265 265 275 265 258 15.5 15.2 15.6 15.0 14.6
At contracting establishments 224 226 235 228 218 13.1 13.0 13.3 12.9 12.3
At closing establishments 41 39 40 37 40 2.4 2.2 2.3 2.1 2.3
Net employment change 0 14 4 21 3 .0 .9 .1 1.2 .1
Construction
Gross job gains 868 862 910 828 771 11.9 11.6 11.9 10.7 10.1
At expanding establishments 699 699 747 678 631 9.6 9.4 9.8 8.8 8.3
At opening establishments 169 163 163 150 140 2.3 2.2 2.1 1.9 1.8
Gross job losses 782 774 742 830 848 10.7 10.5 9.7 10.8 11.1
At contracting establishments 614 618 596 668 686 8.4 8.4 7.8 8.7 9.0
At closing establishments 168 156 146 162 162 2.3 2.1 1.9 2.1 2.1
Net employment change 86 88 168 -2 -77 1.2 1.1 2.2 -.1 -1.0
Manufacturing
Gross job gains 565 581 524 559 505 4.0 4.1 3.7 3.9 3.6
At expanding establishments 504 526 479 510 460 3.6 3.7 3.4 3.6 3.3
At opening establishments 61 55 45 49 45 .4 .4 3 .3 .3
Gross job losses 616 567 528 549 600 4.4 4.0 3.7 3.9 4.3
At contracting establishments 533 494 471 477 532 3.8 3.5 3.3 3.4 3.8
At closing establishments 83 73 57 72 68 .6 .5 .4 .5 .5
Net employment change -51 14 -4 10 -95 -.4 .1 .0 .0 -.7
Service-providing (1)
Gross job gains 6,357 6,096 5,843 6,088 5,827 7.3 6.9 6.6 6.9 6.5
At expanding establishments 4,996 4,830 4,739 4,852 4,668 5.7 5.5 5.4 5.5 5.2
At opening establishments 1,361 1,266 1,104 1,236 1,159 1.6 1.4 1.2 1.4 1.3
Gross job losses 5,764 5,661 5,227 5,651 5,651 6.6 6.5 5.9 6.3 6.3
At contracting establishments 4,544 4,550 4,234 4,564 4,574 5.2 5.2 4.8 5.1 5.1
At closing establishments 1,220 1,111 993 1,087 1,065 1.4 1.3 1.1 1.2 1.2
Net employment change 593 435 616 437 188 .7 .4 .7 .6 .2
Wholesale trade
Gross job gains 338 320 311 328 304 5.8 5.5 5.3 5.6 5.1
At expanding establishments 272 263 262 270 251 4.7 4.5 4.5 4.6 4.2
At opening establishments 66 57 49 58 53 1.1 1.0 .8 1.0 .9
Gross job losses 311 302 288 288 302 5.4 5.2 4.9 4.9 5.1
At contracting establishments 241 234 223 223 235 4.2 4.0 3.8 3.8 4.0
At closing establishments 70 68 65 65 67 1.2 1.2 1.1 1.1 1.1
Net employment change 27 18 23 40 2 .4 .3 .4 .7 .0
Retail trade
Gross job gains 1,074 1,058 1,048 1,053 1,010 7.0 6.9 6.8 6.8 6.5
At expanding establishments 895 884 905 870 841 5.8 5.8 5.9 5.6 5.4
At opening establishments 179 174 143 183 169 1.2 1.1 .9 1.2 1.1
Gross job losses 1,063 1,015 971 1,074 1,074 6.9 6.6 6.3 7.0 6.9
At contracting establishments 888 865 828 926 906 5.8 5.6 5.4 6.0 5.9
At closing establishments 175 150 143 148 157 1.1 1.0 .9 1.0 1.0
Net employment change 11 43 77 -21 -53 .1 .3 .5 -.2 -.4
Transportation and warehousing
Gross job gains 254 268 232 242 236 6.2 6.4 5.5 5.8 5.5
At expanding establishments 218 226 201 205 205 5.3 5.4 4.8 4.9 4.8
At opening establishments 36 42 31 37 31 .9 1.0 .7 .9 .7
Gross job losses 236 231 228 227 221 5.8 5.5 5.4 5.4 5.2
At contracting establishments 188 188 194 188 183 4.6 4.5 4.6 4.5 4.3
At closing establishments 48 43 34 39 38 1.2 1.0 .8 .9 .9
Net employment change 18 37 4 15 15 .4 .9 .1 .4 .3
Utilities
Gross job gains 13 14 11 13 13 2.4 2.6 2.0 2.4 2.4
At expanding establishments 11 13 10 12 12 2.0 2.4 1.8 2.2 2.2
At opening establishments 2 1 1 1 1 .4 .2 .2 .2 .2
Gross job losses 12 16 11 13 12 2.2 2.9 2.0 2.4 2.2
At contracting establishments 11 11 9 11 10 2.0 2.0 1.6 2.0 1.8
At closing establishments 1 5 2 2 2 .2 .9 .4 .4 .4
Net employment change 1 -2 0 0 1 .2 -.3 .0 .0 .2
Information
Gross job gains 170 152 139 146 148 5.5 4.9 4.6 4.8 4.9
At expanding establishments 141 127 121 123 124 4.6 4.1 4.0 4.0 4.1
At opening establishments 29 25 18 23 24 .9 .8 .6 .8 .8
Gross job losses 154 156 142 140 167 5.0 5.1 4.6 4.6 5.5
At contracting establishments 127 121 117 112 140 4.1 4.0 3.8 3.7 4.6
At closing establishments 27 35 25 28 27 .9 1.1 .8 .9 .9
Net employment change 16 -4 -3 6 -19 .5 -.2 .0 .2 -.6
Financial activities
Gross job gains 480 472 408 447 436 6.0 5.8 5.0 5.5 5.3
At expanding establishments 371 359 331 352 345 4.6 4.4 4.1 4.3 4.2
At opening establishments 109 113 77 95 91 1.4 1.4 .9 1.2 1.1
Gross job losses 413 434 404 432 435 5.2 5.4 5.0 5.3 5.3
At contracting establishments 312 329 315 333 335 3.9 4.1 3.9 4.1 4.1
At closing establishments 101 105 89 99 100 1.3 1.3 1.1 1.2 1.2
Net employment change 67 38 4 15 1 .8 .4 .0 .2 .0
Professional and business services
Gross job gains 1,523 1,432 1,279 1,428 1,305 9.0 8.4 7.4 8.2 7.5
At expanding establishments 1,242 1,163 1,060 1,169 1,083 7.3 6.8 6.1 6.7 6.2
At opening establishments 281 269 219 259 222 1.7 1.6 1.3 1.5 1.3
Gross job losses 1,311 1,303 1,169 1,272 1,259 7.7 7.6 6.7 7.3 7.2
At contracting establishments 1,006 1,041 945 992 1,014 5.9 6.1 5.4 5.7 5.8
At closing establishments 305 262 224 280 245 1.8 1.5 1.3 1.6 1.4
Net employment change 212 129 110 156 46 1.3 .8 .7 .9 .3
Education and health services
Gross job gains 811 766 771 776 772 4.9 4.6 4.6 4.6 4.5
At expanding establishments 677 645 659 658 662 4.1 3.9 3.9 3.9 3.9
At opening establishments 134 121 112 118 110 .8 .7 .7 .7 .6
Gross job losses 691 699 645 713 670 4.2 4.2 3.9 4.2 4.0
At contracting establishments 556 572 529 594 554 3.4 3.4 3.2 3.5 3.3
At closing establishments 135 127 116 119 116 .8 .8 .7 .7 .7
Net employment change 120 67 126 63 102 .7 .4 .7 .4 .5
Leisure and hospitality
Gross job gains 1,202 1,175 1,194 1,200 1,154 9.4 9.2 9.3 9.2 8.8
At expanding establishments 909 893 927 926 891 7.1 7.0 7.2 7.1 6.8
At opening establishments 293 282 267 274 263 2.3 2.2 2.1 2.1 2.0
Gross job losses 1,219 1,165 1,046 1,169 1,168 9.5 9.0 8.1 9.0 8.9
At contracting establishments 961 941 842 949 945 7.5 7.3 6.5 7.3 7.2
At closing establishments 258 224 204 220 223 2.0 1.7 1.6 1.7 1.7
Net employment change -17 10 148 31 -14 -.1 .2 1.2 .2 -.1
Other services
Gross job gains 297 289 293 307 285 7.8 7.6 7.7 8.0 7.4
At expanding establishments 234 231 240 247 232 6.1 6.1 6.3 6.4 6.0
At opening establishments 63 58 53 60 53 1.7 1.5 1.4 1.6 1.4
Gross job losses 309 296 281 284 302 8.1 7.8 7.4 7.3 7.9
At contracting establishments 238 231 217 221 238 6.2 6.1 5.7 5.7 6.2
At closing establishments 71 65 64 63 64 1.9 1.7 1.7 1.6 1.7
Net employment change -12 -7 12 23 -17 -.3 -.2 .3 .7 -.5
1 Includes unclassified sector, not shown separately.
Table 4. Private sector percentage share (1) of gross job gains and gross job losses, seasonally adjusted
Category: Shares (percent)
3 months ended
Sept. 2005 Dec. 2005 Mar. 2006 June 2006 Sept. 2006
Total Private
Gross job gains 100.0 100.0 100.0 100.0 100.0
Expanding firms 100.0 100.0 100.0 100.0 100.0
Opening firms 100.0 100.0 100.0 100.0 100.0
Gross job losses 100.0 100.0 100.0 100.0 100.0
Contracting firms 100.0 100.0 100.0 100.0 100.0
Closing firms 100.0 100.0 100.0 100.0 100.0
Size Class 1 - 4 employees
Gross job gains 15.1 15.5 15.7 15.0 15.2
Expanding firms 6.9 7.2 7.4 7.1 7.3
Opening firms 56.3 60.0 59.4 57.5 59.1
Gross job losses 15.6 15.6 17.0 16.0 15.8
Contracting firms 7.6 8.1 8.4 8.1 7.7
Closing firms 52.9 55.9 60.0 57.8 59.2
Size Class 5 - 9 employees
Gross job gains 11.7 11.7 12.3 11.9 12.0
Expanding firms 10.7 10.9 11.5 11.0 11.2
Opening firms 16.9 16.2 16.9 16.6 16.5
Gross job losses 12.3 12.6 13.0 12.6 12.3
Contracting firms 11.4 11.9 12.4 11.9 11.5
Closing firms 16.1 16.5 16.5 16.4 16.3
Size Class 10 - 19 employees
Gross job gains 11.9 12.0 12.7 12.2 12.3
Expanding firms 11.9 12.2 13.0 12.4 12.5
Opening firms 11.7 10.7 11.0 11.2 10.8
Gross job losses 12.4 12.8 13.0 12.7 12.4
Contracting firms 12.6 13.0 13.4 13.0 12.7
Closing firms 11.3 11.3 10.8 10.9 10.5
Size Class 20 - 49 employees
Gross job gains 13.9 13.9 14.9 14.6 14.6
Expanding firms 14.9 15.1 16.3 15.7 15.6
Opening firms 8.9 7.9 7.7 8.5 8.2
Gross job losses 14.5 14.7 14.4 14.4 14.5
Contracting firms 15.7 15.9 15.8 15.6 15.8
Closing firms 9.1 8.4 7.7 8.4 7.9
Size Class 50 - 99 employees
Gross job gains 8.7 8.7 9.3 9.1 9.1
Expanding firms 9.7 9.7 10.6 10.3 10.3
Opening firms 3.3 3.0 2.5 3.1 3.0
Gross job losses 9.0 9.1 8.7 8.9 8.9
Contracting firms 10.1 10.2 9.9 9.9 10.0
Closing firms 3.7 3.1 2.8 3.2 3.0
Size Class 100 - 249 employees
Gross job gains 9.3 9.1 9.7 9.8 9.5
Expanding firms 10.7 10.5 11.2 11.3 10.9
Opening firms 2.0 1.5 1.3 1.5 1.5
Gross job losses 9.6 9.6 8.8 9.1 9.3
Contracting firms 11.1 10.9 10.2 10.5 10.7
Closing firms 2.5 2.2 1.5 2.2 1.8
Size Class 250 - 499 employees
Gross job gains 5.8 5.5 5.7 5.9 5.9
Expanding firms 6.8 6.4 6.7 6.9 6.9
Opening firms .6 .4 .4 .4 .4
Gross job losses 5.6 5.7 5.1 5.3 5.5
Contracting firms 6.5 6.6 6.0 6.2 6.4
Closing firms 1.0 .9 .4 .7 .6
Size Class 500 - 999 employees
Gross job gains 4.8 4.5 4.5 4.8 4.7
Expanding firms 5.7 5.3 5.3 5.7 5.5
Opening firms .3 .2 .3 .2 .4
Gross job losses 4.4 4.7 3.9 4.4 4.5
Contracting firms 5.2 5.5 4.6 5.1 5.3
Closing firms .8 .7 .2 .3 .2
Size Class 1,000 or more employees
Gross job gains 19.0 19.1 15.2 16.7 16.8
Expanding firms 22.7 22.7 18.0 19.6 19.8
Opening firms .0 .1 .5 1.0 .1
Gross job losses 16.7 15.2 16.1 16.6 16.8
Contracting firms 19.7 17.9 19.3 19.7 19.9
Closing firms 2.5 1.0 .1 .1 .5
1 Share measures the percent of the category represented by each firm size class