Alabama Q2, 2019 Employment Statistics- 129,579 employers, up 2.5% from 126,379
- 1,990,784 employees, up 1.4% from 1,964,149
- $911 average weekly wage, up 3.4% from $881
- The average weekly wage is 16.8% below the national average
- The cost of living is 10.7% below the national average
Employer & Employee Growth
In the last year, the number of employers in the state increased by 3,200, which is an increase of 2.5%. The number of employees in Alabama increased by 26,636, an increase of 1.4%. During this same period, the average weekly wage increased by $30, an increase of 3.4%.
The number of private employers increased since last years' Q1. The number of private businesses increased by 3,209 or 2.7%. Growth in private businesses in Alabama grew slower than the national average of 2.9%. The number of employees in these businesses increased since last years' Q1, increasing by 24,299 or 1.5%. The growth in employees of private businesses in Alabama was faster than the national average of 1.4%.
The average weekly wage of employees of private businesses increased since last years' Q1. The averge weekly wage increased by $29 or 3.4%. Growth in average weekly wage of employees of private businesses in Alabama grew slower than the national average of 3.8%.
Leading Sectors
Businesses by Sector
The sector with the greatest number of businesses in the state is Retail trade with 14.3% of the businesses in the state. The number of businesses in this sector increased by 0.4%. Professional services (11.0%), which increased by 2.6% and Healthcare (9.1%), which increased by 1.6%, round out the 3 largest sectors.
Table: Sectors by Year-over-Year Qtly Business Change %
| Sector | Change Biz | % Change |
|---|---|---|
| Information | 190 | 9.0% |
| Other services | 816 | 8.1% |
| Educational services | 63 | 6.1% |
| Arts and entertainment | 71 | 5.6% |
| Utilities | 20 | 4.9% |
| Real estate and rental | 203 | 4.1% |
| Transport and warehousing | 145 | 3.9% |
| Waste services | 259 | 3.8% |
| Manufacturing | 163 | 3.0% |
| Construction | 254 | 2.6% |
| Professional services | 362 | 2.6% |
| Accommodation and food services | 221 | 2.3% |
| Finance and insurance | 145 | 1.7% |
| Healthcare | 183 | 1.6% |
| Agriculture and forestry | 19 | 1.3% |
| Retail trade | 74 | 0.4% |
| Wholesale trade | 36 | 0.4% |
| Mining and oil extraction | 1 | 0.3% |
| Company management | -16 | -1.6% |
Employees by Sector
The sector with the greatest number of employees in the state is Manufacturing with 13.5% of the employees in the state, had an increase in employees of 0.8% in the last year. Retail trade (11.5%), decreased by 0.3% and Healthcare (10.9%), increased by 1.4%, round out the top 3 sectors.Table: Sectors by Year-over-Year Qtly Employee Change %
| Sector | Employee Change | % Change |
|---|---|---|
| Construction | 4,833 | 5.4% |
| Transport and warehousing | 2,358 | 4.1% |
| Other services | 1,458 | 3.2% |
| Company management | 468 | 3.0% |
| Professional services | 2,827 | 2.7% |
| Waste services | 3,120 | 2.5% |
| Mining and oil extraction | 150 | 2.4% |
| Information | 455 | 2.1% |
| Accommodation and food services | 3,755 | 2.0% |
| Agriculture and forestry | 214 | 1.8% |
| Healthcare | 3,012 | 1.4% |
| Real estate and rental | 298 | 1.3% |
| Manufacturing | 2,080 | 0.8% |
| Wholesale trade | 440 | 0.6% |
| Arts and entertainment | 44 | 0.3% |
| Finance and insurance | 105 | 0.2% |
| Retail trade | -671 | -0.3% |
| Educational services | -279 | -1.4% |
| Utilities | -368 | -2.7% |
Average Weekly Wage by Sector
The sector that pays their employees the highest is Company management paying $1,834per week compared with the state average of $893. Weekly wages in this sector rose by $55 or 3.1%. Utilities ($1,832), rose by $194 or 11.8% and Mining and oil extraction ($1,535) declined by $13 or 0.8% round out the 3 largest sectors.Table: Sectors by Year-over-Year Weekly Wage Change %
| Sector | Wage Change | Change % |
|---|---|---|
| Utilities | $194 | 11.8% |
| Real estate and rental | $56 | 6.8% |
| Waste services | $33 | 6.0% |
| Arts and entertainment | $21 | 6.0% |
| Educational services | $39 | 5.6% |
| Construction | $55 | 5.5% |
| Wholesale trade | $50 | 4.1% |
| Accommodation and food services | $12 | 3.8% |
| Agriculture and forestry | $30 | 3.7% |
| Manufacturing | $38 | 3.6% |
| Transport and warehousing | $30 | 3.3% |
| Information | $34 | 3.1% |
| Company management | $55 | 3.1% |
| Retail trade | $16 | 3.0% |
| Finance and insurance | $40 | 2.9% |
| Healthcare | $22 | 2.5% |
| Professional services | $15 | 1.0% |
| Other services | $3 | 0.4% |
| Mining and oil extraction | $-13 | -0.8% |
Leading Industries
Businesses by Industry
Each broad sector is made up of specific industries. In Alabama. the industry with the most businesses is Restaurants and other eating places with 6.2% of the businesses in the state (with 8,037 employing 162,578 workers). The Restaurants and other eating places industry had 189 more businesses, an increase of 2.4% in the last year. Wholesale trade agents and brokers (4.4% of businesses) added 43 businesses, an increase of 0.8% and Private households (3.0% of businesses) added 687 businesses, an increase of 21.5% round out the 3 industries with the most businesses.Table: Top 7 Industries by Business Change %
| Industry | Business Chg | % Change |
|---|---|---|
| Trusts estates and agency accounts | 16 | 133.3% |
| Urban transit systems | 5 | 100.0% |
| All other food manufacturing | 9 | 64.3% |
| Other support activities for transportation | 5 | 55.6% |
| Other electrical equipment and component mfg. | 5 | 50.0% |
| Soybean farming | 2 | 50.0% |
| Carpet and rug mills | 3 | 37.5% |
Table: Top 7 Industries by Business Change #
| Industry | Business Chg | % Change |
|---|---|---|
| Private households | 687 | 21.5% |
| Restaurants and other eating places | 189 | 2.4% |
| Software publishers | 107 | 27.9% |
| Temporary help services | 94 | 6.0% |
| Management consulting services | 85 | 4.2% |
| Offices of real estate agents and brokers | 82 | 7.3% |
| Insurance agencies and brokerages | 81 | 3.4% |
Employees by Industry
Wholesale trade agents and brokers (4.4% of employees) added 43 employees, an increase of 0.8% and Private households (3.0% ofemployees) added 687 employees, an increase of 21.5% round out the 3 industries with the most employees.Table: Top 7 Industries by Employee Change %
| Industry | Emp Chg | % Change |
|---|---|---|
| Other support activities for transportation | 87 | 322.8% |
| Port and harbor operations | 47 | 180.4% |
| Power boiler and heat exchanger manufacturing | 221 | 142.0% |
| Materials recovery facilities | 46 | 110.5% |
| Software publishers | 1,219 | 87.3% |
| Document preparation services | 169 | 83.8% |
| Oil and gas pipeline construction | 563 | 65.6% |
Table: Top 7 Industries by Employee Change #
| Industry | Emp Chg | % Change |
|---|---|---|
| Restaurants and other eating places | 2,552 | 1.6% |
| Temporary help services | 1,358 | 2.5% |
| Software publishers | 1,219 | 87.3% |
| Aerospace product and parts manufacturing | 1,066 | 8.8% |
| Research and development in the physical engineering and life sciences | 998 | 15.6% |
| Electrical and wiring contractors | 759 | 6.1% |
| Commercial building construction | 755 | 9.1% |
Average Weekly Wage by Industry
The industry that pays their employees the most is Portfolio management, paying $3,808 compared with the state average of $893. Employees in the Portfolio management industry were paid $1,803 more per week, an increase of 89.9% in the last year. Investment banking and securities dealing ($3,345) and Coal and other mineral merchant wholesalers ($2,960) round out the top 3 industries. Employees in the Investment banking and securities dealing ($3,345 per week) were paid $161 less per week, a decline of 4.6% and Coal and other mineral merchant wholesalers ($2,960 per week) were paid $170 less per week, a decline of 5.4% round out the 3 industries that pay their employees the most.Table: Top 7 Industries by Wage Change %
| Industry | Wkly Chg | % Change |
|---|---|---|
| Portfolio management | $1,803 | 89.9% |
| Footwear merchant wholesalers | $415 | 82.3% |
| Industrial design services | $380 | 49.5% |
| Construction machinery manufacturing | $521 | 45.9% |
| Other basic organic chemical manufacturing | $708 | 37.4% |
| Amusement arcades | $54 | 35.8% |
| Spectator sports | $161 | 35.8% |
Table: Top 7 Industries by Wage Change $
| Industry | Wkly Chg | % Change |
|---|---|---|
| Portfolio management | $1,803 | 89.9% |
| Other basic organic chemical manufacturing | $708 | 37.4% |
| Construction machinery manufacturing | $521 | 45.9% |
| Footwear merchant wholesalers | $415 | 82.3% |
| Credit bureaus | $399 | 21.0% |
| Industrial design services | $380 | 49.5% |
| Home furnishing merchant wholesalers | $309 | 22.2% |
Company Size
Alabama Businesses by Size
The solopreneur company, has the most businesses in Alabama by far. 56.7% of all businesses in the state have fewer than 5 employees. The 117,510 small businesses in the state represent 95.5% of all private businesses. The national average is 92.4%. (Small businesses have fewer than 50 employees, Solopreneurs employ fewer than 5.) Alabama added 3,717 businesses in the last year, an increase of 3.1% as compared to the national average of 3.0%.Small businesses are defined as companies with fewer than 50 employees. These small businesses added 3,572 businesses in the last year, which is an increase of 3.1% as compared to the national average of 3.1%.
Mid-sized businesses are defined as companies with between 50 and 499 employees. These mid-sized businesses added 136 businesses in the last year, which is an increase of 2.6% as compared to the national average of 1.3%.
Large businesses are defined as companies with more than 500 employees. These large businesses added 9 businesses in the last year, which is an increase of 4.6% as compared to the national average of 2.1%.
Alabama Employees by Business Size
Alabama added 91,154 employees in the last year, an increase of 6.0% as compared to the national average of 5.2%. Small businesses are defined as companies with fewer than 50 employees. These small businesses added 29,526 businesses in the last year, which is an increase of 33.6% as compared to the national average of 4.2%.Mid-sized businesses are defined as companies with between 50 and 499 employees. Mid-sized businesses added 35,867 employees in the last year, which is an increase of 6.1% as compared to the national average of 4.7%.
Large businesses are defined as companies with more than 500 employees. Large businesses added 25,761 employees in the last year, which is an increase of 14.5% as compared to the national average of 9.2%.
Alabama Avg Weekly Wages by Business Size
Alabama workers in every size business are paid less than the national average. The smallest companies in Alabama (those with fewer than 5 employees) pay workers 7.0% less than the national average ($939 per week as compared to the national average of $1,005 per week). The largest companies in Alabama (those with more than 1,000 employees) pay 36.8% workers below the national average ($1,398 per week as compared to the national average of $1,913 per week).Average weekly wages in small businesses added $100 per week in the last year, which is an increase of 3.1% as compared to the national average of 3.1%. Employees of mid-sized businesses added $90 in wages per week in the last year, which is an increase of 3.2% as compared to the national average of 1.3%.
Employees of large businesses added $22 of weekly wages in the last year, which is an increase of 0.8% as compared to the national average of 2.1%.
Top Industries for Business and Employment
The table below illustrates the largest industries in the state, by number of businesses:Table: Top 10 Industries by # of Businesses
| Industry | # Businesses | % Change |
|---|---|---|
| Restaurants and other eating places | 8,037 | 2.4% |
| Wholesale trade agents and brokers | 5,695 | 0.8% |
| Private households | 3,880 | 21.5% |
| Gasoline stations with convenience stores | 3,305 | 1.7% |
| Offices of physicians | 3,250 | -0.7% |
| Computer systems design and related services | 2,589 | 2.2% |
| Offices of lawyers | 2,528 | -0.6% |
| Insurance agencies and brokerages | 2,455 | 3.4% |
| Management consulting services | 2,114 | 4.2% |
| Accounting and bookkeeping services | 1,978 | 2.0% |
The table below illustrates the largest industries in the state, by number of employees:
Table: Top 10 Industries by # of Employees
| Industry | # Employees | % Change |
|---|---|---|
| Restaurants and other eating places | 162,578 | 1.6% |
| Temporary help services | 55,377 | 2.5% |
| General merchandise stores including warehouse clubs and supercenters | 43,627 | 0.6% |
| General medical and surgical hospitals | 41,571 | 1.5% |
| Offices of physicians | 40,877 | 1.8% |
| Supermarkets and other grocery stores | 29,302 | -0.5% |
| Nursing care facilities skilled nursing | 27,434 | 1.0% |
| Commercial banking | 25,856 | -1.8% |
| Computer systems design and related services | 25,272 | 0.7% |
| Animal slaughtering and processing | 23,559 | 1.4% |
The table below illustrates the largest industries in the state, by highest wages:
Table: Top 10 Industries by Weekly Wage
| Industry | Wkly Wages | % Change |
|---|---|---|
| Portfolio management | $3,808 | 89.9% |
| Investment banking and securities dealing | $3,345 | -4.6% |
| Coal and other mineral merchant wholesalers | $2,960 | -5.4% |
| Computer and software merchant wholesalers | $2,935 | 7.6% |
| Securities brokerage | $2,874 | -10.1% |
| Other basic organic chemical manufacturing | $2,603 | 37.4% |
| Crude petroleum extraction | $2,323 | 3.3% |
| Credit bureaus | $2,299 | 21.0% |
| Petroleum refineries | $2,175 | 15.9% |
| Electric power generation | $2,007 | 9.4% |
Data Sources
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