Arizona Employment Statistics

  • 161,096 employers
  • 2,825,980 employees
  • $997 average weekly wage
  • The average weekly wage is 9.4% below the national average
  • The cost of living is 2.3% below the national average

Types of Employers (Private Sector vs Government Agency)

As an employer in Arizona, you are most likely to be running a private company rather than a government agency. 98.3% of employers run private companies in the state, BIGGER1.3% greater than the national average of 97.0. The remaining 1.7% of employers are government agencies: 0.5% work in a federal agency, 0.2% work for the state and 1.0% work for local government. The chart below illustrates the breakout of employers by type.
86.2% of employees work for a private company, this is 1.0% greater than the national average of 85.2%. Local government agencies employ 9.4% of the workers in the state, state government agencies employ 2.4% of the workers and the federal government employs 2.0%. The percentage of employees working for a government agency (13.8%) is 1.0% lower than the national average. The chart below illustrates the breakout of employees by type of employer.
The average weekly wage in Arizona is $997 per week, which is 9.4% greater than the national average of $1,101 per week. Arizona workers that are employed by private businesses earn $990 per week, 10.0% lower than the national average for private company employees. Employees of federal government agencies in Arizona earn $1,502 per week, a premium of 51.7% compared to what employees of private companies earn. The chart below illustrates the average weekly by type of employer.


Leading Sectors

Businesses by Sector

The sector with the greatest number of businesses in the state is Professional services with 15.2% of the businesses in the state. Retail trade (9.8%) and Healthcare (9.7%) round out the top 3 sectors.
Table: Sectors by # of Businesses
Sector# Businesses% of Bus.
Professional services24,49915.2%
Retail trade15,7409.8%
Healthcare15,5999.7%
Construction12,9028.0%
Wholesale trade12,4107.7%
Accommodation and food services11,6427.2%
Other services11,2327.0%
Waste services10,5626.6%
Finance and insurance9,2355.7%
Real estate and rental8,7685.4%
Unclassified7,0804.4%
Manufacturing4,9553.1%
Transport and warehousing3,4772.2%
Information3,1011.9%
Educational services2,5511.6%
Arts and entertainment2,0941.3%
Agriculture and forestry1,1060.7%
Company management9720.6%
Utilities2820.2%
Mining and oil extraction2300.1%


Employees by Sector

The sector with the greatest number of employees in the state is Healthcare with 13.3% of the employees in the state. Retail trade (11.6%) and Accommodation and food services (10.0%) round out the top 3 sectors.
Table: Sectors by # of Employees
Sector# Employees% of Emp'
Healthcare376,53013.3%
Retail trade326,69711.6%
Accommodation and food services281,43010.0%
Waste services248,1918.8%
Manufacturing169,7336.0%
Finance and insurance160,8955.7%
Construction158,1245.6%
Professional services153,2715.4%
Wholesale trade97,2213.4%
Transport and warehousing96,2753.4%
Other services75,2782.7%
Educational services63,9172.3%
Real estate and rental53,6981.9%
Information47,3251.7%
Arts and entertainment44,4271.6%
Company management28,8531.0%
Agriculture and forestry25,6340.9%
Mining and oil extraction13,0270.5%
Utilities12,1060.4%
Unclassified3,8430.1%


Average Weekly Wage by Sector

The sector that pays their employees the highest is Utilities paying $2,075per week compared with the state average of $990. Company management ($1,734) and Mining and oil extraction ($1,621) round out the top 3 sectors.
Table: Wages by Sector
SectorWkly Wagevs St Avg.
Utilities$2,075209.6%
Company management$1,734175.2%
Mining and oil extraction$1,621163.7%
Wholesale trade$1,517153.2%
Professional services$1,493150.8%
Finance and insurance$1,472148.7%
Manufacturing$1,464147.9%
Information$1,451146.6%
Unclassified$1,291130.4%
Construction$1,077108.8%
Real estate and rental$1,035104.5%
Healthcare$1,012102.2%
Transport and warehousing$96997.9%
Educational services$81181.9%
Waste services$76877.6%
Arts and entertainment$75876.6%
Other services$72573.2%
Agriculture and forestry$65165.8%
Retail trade$65065.7%
Accommodation and food services$42843.2%


Leading Industries

Businesses by Industry

Each broad sector is made up of specific industries. In Arizona. the industry with the most businesses is Restaurants and other eating places with 5.6% of the businesses in the state (with 9,060 employing 214,840 workers). Unclassified (4.4%) and Computer systems design and related services (3.3%) round out the top 3 industries. The Top 10 Industries in the state are:
Industry# BusinessesEmp/Biz
Restaurants and other eating places9,06023.7
Unclassified7,0800.5
Computer systems design and related services5,3276.8
Management consulting services4,9154.3
Offices of physicians4,68312.5
Offices of real estate agents and brokers4,1672.4
Accounting and bookkeeping services3,2305.9
Offices of lawyers3,1364.8
Insurance agencies and brokerages2,9658.2
Private households2,7131.0


Employees by Industry

The industry with the greatest number of employees in the state is Restaurants and other eating places with 7.6% of the businesses in the state. The industry employs 214,840 in 9,060 businesses, there are 23.7 employees on average in each of these businesses. General medical and surgical hospitals (3.2%) and Offices of physicians (2.1%) round out the top 3 industries.
Table: Industries by # of Employees
Industry# EmpEmp/Biz
Restaurants and other eating places214,84023.7
General medical and surgical hospitals90,926721.6
Offices of physicians58,51012.5
Supermarkets and other grocery stores54,51974.8
Professional employer organizations48,678105.8
Temporary help services48,16338.6
Hotels and motels except casino hotels43,98443.9
General merchandise stores including warehouse clubs and supercenters40,39360.7
Commercial banking36,61232.1
Computer systems design and related services36,3206.8


Average Weekly Wage by Industry

The industry that pays their employees the most is Commodity contracts dealing, paying $9,048 compared with the state average of $990. Reinsurance carriers ($3,860) and Spectator sports ($3,358) round out the top 3 industries.
Table: Wages by Industry
IndustryWkly Wage% of Avg
Commodity contracts dealing$9,048913.9
Reinsurance carriers$3,860389.9
Spectator sports$3,358339.2
Commodity contracts brokerage$2,723275.1
Semiconductor and electronic component mfg.$2,663269.0
Other financial vehicles$2,586261.2
Computer and software merchant wholesalers$2,566259.2
Medical equipment merchant wholesalers$2,481250.6
Industrial gas manufacturing$2,478250.3
Support activities for mining$2,453247.8


Company Size

Arizona Businesses by Size

The solopreneur company, has the most businesses in Arizona by far. 62.7% of all businesses in the state have fewer than 5 employees. The 151,278 small businesses in the state represent 94.8% of all private businesses. The national average is 92.6%. (Small businesses have fewer than 50 employees, Solopreneurs employ fewer than 5.) The pie chart below illustrates the ratio of business sizes.

Arizona Employees by Business Size

The largest companies in the state represent 230.3% of all employees, which is 91.8% higher than the national average of 138.4%. Smallest companies also employ a lower percentage of the states workforce than the largest companies. The solopreneur (those that employ fewer than 5) companies employ 84.7% of all workers, which is 6.8% lower than the national average of 91.5%. All small companies, those employing fewer than 50 people, represent 545.1% of the labor force in the state, 4.9% less than the national average of 550.0%.

Arizona Avg Weekly Wages by Business Size

The smallest companies in Arizona (those with fewer than 5 employees) pay workers 16.1% more than the national average ($1,162 per week as compared to the national average of $975 per week). The largest companies in Arizona (those with more than 1,000 employees) pay 33.8% workers below the national average ($1,407 per week as compared to the national average of $1,882 per week).



Data Sources




About the Writer

This page was created and is maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt is an executive, data scientist and software engineer who holds an MBA in Management Information Systems. In 2010, he partnered with scientists at Northwestern University to launch The Street Wire. This was one of the first mainstream uses of what would become “Narrative Science”, an artificial intelligence platform specializing in natural language generation. You can contact Kurt on LinkedIn here.