- 13,707 more businesses
- 171,219 more employees
- 34.4% increase in total wages
- $7,446 in additional annual wages per employee
- 19.8% increase in wages per employee
Since 2009, the number of businesses in Kentucky has grown by 13.4% (3.9% greater than the national average of 9.5%). Employment in Kentucky has grown by 12.2% (2.3% less than the national average of 14.4%). Wages have grown by 19.8% since the end of the Great Recession. This wage growth is 2.7% less than the national average of 22.5%.
The average weekly wage in Kentucky of $866 is 18.6% below the national average of $1,064. The gap between the national average has widened from 16.7% a widening of 1.9% since the end of the recession.
The Healthcare sector has the most businesses in the state of Kentucky . Since the end of the recession, the number of businesses has grown from 10,025 to 16,753, a gain of 67.1%. The table below illustrates the change in number of businesses in each sector:
|Accommodation and food services||8,564||7,366||16.3%|
|Finance and insurance||6,736||6,634||1.5%|
|Real estate and rental||4,109||3,915||5.0%|
|Transport and warehousing||3,464||3,499||-1.0%|
|Arts and entertainment||1,499||1,368||9.6%|
|Agriculture and forestry||1,096||929||18.0%|
|Mining and oil extraction||488||796||-38.7%|
Most of the sectors with the most businesses grew since 2009, with the exception of the Construction sector, which lost 7.6% of its businesses. Professional services and Other services grew 21.8% and 16.9% respectively, both in the top 5 sectors for number of businesses.
The Manufacturing sector employs the most workers in the state of Kentucky. The number of jobs has increased 17.3% since the end of the recession from 213,308 to 250,180. The table below illustrates the change in employment in each sector:
|Accommodation and food services||174,069||148,662||17.1%|
|Transport and warehousing||99,829||78,084||27.8%|
|Finance and insurance||73,603||69,009||6.7%|
|Arts and entertainment||22,778||19,325||17.9%|
|Real estate and rental||19,523||18,474||5.7%|
|Mining and oil extraction||9,964||23,291||-57.2%|
|Agriculture and forestry||8,342||7,921||5.3%|
There were 2 sectors in Kentucky that lost employees since 2009, the Information sector lost 16.2% of its workers (4400) and Mining and oil extraction lost 57.2% of its employees (13,327 employees). Waste services added a considerable number of employees growing 45.8% since 2009, Transport and warehousing grew by 27.8%. These two sectors added just under 60,000 jobs.
The sector with the highest wages is the Company management sector at $1,976. Prior to the recession, the sector’s average weekly wage was $1,568. This is an increase of $408 per week or 26.0%. The table below illustrates the change in average weekly wages in each sector:
|Finance and insurance||$1,376||$1,034||33.1%|
|Mining and oil extraction||$1,350||$1,216||11.0%|
|Transport and warehousing||$1,009||$864||16.8%|
|Real estate and rental||$773||$620||24.7%|
|Agriculture and forestry||$706||$582||21.3%|
|Arts and entertainment||$419||$370||13.2%|
|Accommodation and food services||$318||$259||22.8%|
Wage growth was about 2.7% below the national average at least partially due to its third highest paying sector, Mining and oil extraction, losing so many of its jobs and having pay increase by only 11.0%, well below the average for the state.
Each of the sectors in the previous section are made up of a number of detailed industries. The top industry that has experienced the most growth (as a percent) since the recession is Services for the elderly and disabled which has grown 2,580.6%. The top industry that has contracted the most is Offices of physicians which has contracted by 3.4% in the years since the recession. The table below illustrates the 10 largest industries and their change in the number of businesses since the recession:
|Services for the elderly and disabled||6,219||232||2,580.6%|
|Wholesale trade agents and brokers||3,685||3,117||18.2%|
|Computer systems design and related services||3,030||1,663||82.2%|
|Offices of physicians||2,973||3,077||-3.4%|
|Offices of lawyers||2,168||2,115||2.5%|
|Gasoline stations with convenience stores||1,996||1,975||1.1%|
|Insurance agencies and brokerages||1,962||1,841||6.6%|
|Management consulting services||1,817||1,227||48.1%|
|Accounting and bookkeeping services||1,763||1,631||8.1%|
The industry that has experienced the most growth in number of employees (as a percent) since the recession is General warehousing and storage which has grown 87.8%. The industry that has lost the most employees is Nursing care facilities, skilled nursing which has contracted by 5.8% in the years since the recession. The table below illustrates the 10 largest industries and their change in the number of employees since the recession:
|General medical and surgical hospitals||70,464||64,213||9.7%|
|Temporary help services||50,167||29,394||70.7%|
|Offices of physicians||37,195||32,761||13.5%|
|Supermarkets and other grocery stores||30,547||28,964||5.5%|
|Couriers and express delivery services||28,015||22,681||23.5%|
|General warehousing and storage||27,971||14,892||87.8%|
|Nursing care facilities, skilled nursing||27,875||29,584||-5.8%|
|Management of companies and enterprises||20,154||19,695||2.3%|
|Direct life and health insurance carriers||15,310||12,438||23.1%|
Since the recession ended, the industry that has experienced the greatest increase in average weekly pay per employee (as a percent) is Monetary authorities – central bank which has grown 125.7%. The average weekly wage in the Credit card issuing industry has grown by 12.0% since the recession. This is the industry with the lowest change in wages amonth the top industries in Kentucky . The table below illustrates the 10 largest industries and their change in the average weekly wages since the recession:
|Investment banking and securities dealing||$2,766||$2,001||38.2%|
|Monetary authorities – central bank||$2,338||$1,036||125.7%|
|Credit card issuing||$2,326||$2,644||-12.0%|
|All other financial investment activities||$2,173||$1,574||38.1%|
|Pipeline transportation of natural gas||$2,076||$1,609||29.0%|
|Druggists’ goods merchant wholesalers||$2,023||$1,666||21.4%|
|Management of companies and enterprises||$1,976||$1,568||26.0%|
|Printing and writing paper merch. whls.||$1,941||$862||125.2%|
Please note, during the comparison period the NAICS coding has had changes made to it. For proper comparisons we are only including industries that have NOT been affected by these changes.
The biggest percentage change in the number of businesses has been in businesses with 1,000 or more employees. The number of businesses with this number of employees has grown from 57 to 77, which is an increase of 35.1%.
The smallest percentage change in the number of businesses has been in businesses with 5 to 9 employees. The number of businesses with this number of employees has grown from 18,443 to 18,473, which is an increase of 0.2%.
Table: Change in the number of Businesses by Size of Business, since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||70,988||58,622||21.1%|
|More Than 1,000 Employees||77||57||35.1%|
The biggest percentage change in the number of employees has been in businesses with 1,000 or more employees. The number of employees in companies this size has grown from 111,065 to 162,394, which is an increase of 46.2%.
The smallest percentage change in the number of employees has been in businesses with 5 to 9 employees. The number of employees with this number of employees has grown from 119,761 to 120,842, which is an increase of 0.9%.
Table: Change in the number of Employees by Size of Business, since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||99,152||91,312||8.6%|
|More Than 1,000 Employees||162,394||111,065||46.2%|
The biggest percentage change in the average weekly wage has been in businesses with fewer than 5 employees. The average weekly wage in companies this size has grown from $665 to $900, which is an increase of 35.3%.
The smallest percentage change in the average weekly wage has been in businesses with 1,000 or more employees. The average weekly wage in companies this size has grown from $1,054 to $1,291, which is an increase of 22.5%.
Table: Change Average Weekly Wage by Size Since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||$900||$665||35.3%|
|More Than 1,000 Employees||$1,291||$1,054||22.5%|
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.