For release 10:00 a.m. EST USDL-13-0140
Tuesday, January 29, 2013
Technical information: (202) 691-6553 * BDMInfo@bls.gov * www.bls.gov/bdm
Media contact: (202) 691-5902 * PressOffice@bls.gov
BUSINESS EMPLOYMENT DYNAMICS: SECOND QUARTER 2012
From March 2012 to June 2012 gross job gains from opening and
expanding private sector establishments were 7.0 million, an increase
of 69,000 from the previous quarter, the U.S. Bureau of Labor
Statistics reported today. Over this period, gross job losses from
closing and contracting private sector establishments were 6.4 million,
an increase of 301,000 from the previous quarter.
The difference between the number of gross job gains and the number
of gross job losses yielded a net employment gain of 582,000 jobs
in the private sector during the second quarter of 2012.
(See 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 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 expansions 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 closing units. 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 BED data series include gross job gains and gross job losses at the
establishment level by industry subsector and for the 50 states, the
District of Columbia, Puerto Rico, and the Virgin Islands, as well as
gross job gains and gross job losses at the firm level by employer size
class.
Gross job gains at expanding establishments totaled 5.7 million in
second quarter 2012, an increase of 38,000 from the previous quarter.
Opening establishments accounted for 1.3 million jobs gained in second
quarter 2012, an increase of 31,000 from the previous quarter.
Contracting establishments lost 5.2 million jobs in second quarter
2012. This is an increase of 278,000 from the prior quarter.
In second quarter 2012, closing establishments lost 1.2 million jobs,
an increase of 23,000 from the previous quarter. (See tables 1 and 3.)
Gross job gains represented 6.3 percent of private sector employment
in second quarter 2012, while gross job losses represented 5.8 percent
of private sector employment. (See table 2.)
In second quarter 2012, the number of establishment births (a subset of
the openings data, see the Technical Note for more information) fell by
2,000 to 191,000. These new establishments accounted for 759,000 jobs,
an increase of 11,000 from the previous quarter. (See table 8.)
Data for establishment deaths (a subset of the closings data) are
available through third quarter 2011, when 674,000 jobs were lost at
187,000 establishments. These figures represent decreases from the
prior quarter when 677,000 jobs were lost at 190,000 establishments.
During second quarter 2012, gross job gains exceeded gross job losses
in all industry sectors except construction, information, and
utilities. Manufacturing experienced its ninth consecutive quarter
of net employment gains. The manufacturing industry experienced a net
job gain of 85,000 jobs, representing the largest increase in net job
creation in that industry since fourth quarter 1997. (See table 3.)
Gross job losses increased in all three major firm size classes during
the second quarter 2012. Additionally, gross job gains in the smallest
size class, firms with 1-49 employees, decreased by 115,000. Firms
with 250 or more employees accounted for 44 percent of the total net
change in employment for second quarter 2012. (See tables 4 and 5.)
Table A. Three-month private sector gross job gains and losses,
seasonally adjusted
Category 3 months ended
June Sept. Dec. Mar. June
2011 2011 2011 2012 2012
Levels (in thousands)
Gross job gains................ 6,942 7,136 6,909 6,935 7,004
At expanding establishments... 5,646 5,776 5,557 5,706 5,744
At opening establishments..... 1,296 1,360 1,352 1,229 1,260
Gross job losses............... 6,339 6,342 6,520 6,121 6,422
At contracting establishments. 5,111 5,194 5,238 4,935 5,213
At closing establishments..... 1,228 1,148 1,282 1,186 1,209
Net employment change(1)....... 603 794 389 814 582
Rates (percent)
Gross job gains................ 6.5 6.7 6.3 6.3 6.3
At expanding establishments... 5.3 5.4 5.1 5.2 5.2
At opening establishments..... 1.2 1.3 1.2 1.1 1.1
Gross job losses............... 5.9 5.9 6.0 5.6 5.8
At contracting establishments. 4.8 4.8 4.8 4.5 4.7
At closing establishments..... 1.1 1.1 1.2 1.1 1.1
Net employment change(1)....... .6 .8 .3 .7 .5
(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.
In the second quarter of 2012, gross job gains exceeded gross job
losses in 41 states, the District of Columbia, and Puerto Rico.
California had the largest net employment gain of 108,383 jobs,
followed by Texas with 89,160 jobs and New York with 33,889 jobs.
(See table 6.) Alaska had the largest rate of gross job gains as a
percent of employment at 11.1 percent, well above the U.S. average
of 6.3 percent. Massachusetts had the lowest rate of gross job losses
as a percent of employment at 4.9 percent, well below the U.S. average
of 5.8 percent. (See table 7.)
More Information
Additional information on gross job gains and gross job losses are
available online at www.bls.gov/bdm. This information includes data
on the levels and rates of gross job gains and gross job losses by
firm size, 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 firm size, and frequently asked
questions on firm-size 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.
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| The Business Employment Dynamics for Third Quarter 2012 are scheduled |
| to be released on Wednesday, May 1, 2013 at 10:00 a.m. (EDT). |
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