- 38,521 more businesses
- 394,580 more employees
- 42.8% increase in total wages
- $13,998 in additional annual wages per employee
- 24.7% increase in wages per employee
Since 2009, the number of businesses in Massachusetts has grown by 18.6% (9.1% greater than the national average of 9.5%). Employment in Massachusetts has grown by 14.5% (0.1% greater than the national average of 14.4%). Wages have grown by 24.7% since the end of the Great Recession. This wage growth is 2.2% greater than the national average of 22.5%.
The average weekly wage in Massachusetts of $1,359 is 27.7% above the national average of $1,064. The gap between the national average has widened from 25.6% a widening of 2.1% since the end of the recession.
The Healthcare sector has the most businesses in the state of Massachusetts. Since the end of the recession, the number of businesses has grown from 16,263 to 57,739, a gain of 255.0%. The table below illustrates the change in number of businesses in each sector:
|Accommodation and food services||16,999||15,431||10.2%|
|Finance and insurance||10,259||9,911||3.5%|
|Real estate and rental||7,011||6,532||7.3%|
|Transport and warehousing||4,303||3,702||16.2%|
|Arts and entertainment||3,696||3,037||21.7%|
|Agriculture and forestry||938||909||3.2%|
|Mining and oil extraction||92||101||-8.9%|
Outside of the Healthcare sector (see above) there has been growth in businesses in the Professional services sector (+18.3%), Waste services sector (+12.3%) and the Information sector (+30.1%). Two sectors that lost businesses are the Wholesale trade sector (-5.5%) and the Manufacturing sector (-10.0%).
The Healthcare sector employs the most workers in the state of Massachusetts. The number of jobs has increased 28.2% since the end of the recession from 489,827 to 627,830. The table below illustrates the change in employment in each sector:
|Accommodation and food services||308,631||252,310||22.3%|
|Finance and insurance||170,065||172,752||-1.6%|
|Transport and warehousing||84,953||67,240||26.3%|
|Arts and entertainment||60,719||47,492||27.9%|
|Real estate and rental||46,502||40,337||15.3%|
|Agriculture and forestry||8,290||6,487||27.8%|
|Mining and oil extraction||1,000||1,220||-18.0%|
The sector with the fifth most employees, Manufacturing, lost 14,300 (5.5%) of its jobs since the recession ended in 2009. The Construction sector expanded the most, adding nearly 41,000 jobs, which is growth of 36.7%.
The sector with the highest wages is the Finance and insurance sector at $2,928. Prior to the recession, the sector’s average weekly wage was $2,135. This is an increase of $793 per week or 37.1%. The table below illustrates the change in average weekly wages in each sector:
|Finance and insurance||$2,928||$2,135||37.1%|
|Real estate and rental||$1,476||$1,066||38.5%|
|Mining and oil extraction||$1,316||$1,022||28.8%|
|Agriculture and forestry||$1,162||$892||30.3%|
|Transport and warehousing||$936||$791||18.3%|
|Arts and entertainment||$754||$649||16.2%|
|Accommodation and food services||$468||$368||27.2%|
The sector with the largest employee base and added the most business and employees since the recession had, by far the lowest wage growth. The average wage in the Healthcare sector increased only 9.6%, which is 61% slower than the state average of 24.7%
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 12,193.0%. The top industry that has contracted the most is Private households which has contracted by 74.6% 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||40,321||328||12,193.0%|
|Computer systems design and related services||8,293||6,063||36.8%|
|Wholesale trade agents and brokers||7,746||9,004||-14.0%|
|Residential building construction||4,752||4,891||-2.8%|
|Management consulting services||4,685||4,859||-3.6%|
|Offices of lawyers||4,574||4,805||-4.8%|
|Hair, nail, and skin care services||3,404||2,831||20.2%|
|Offices of physicians||3,265||3,676||-11.2%|
The industry that has experienced the most growth in number of employees (as a percent) since the recession is Services for the elderly and disabled which has grown 555.4%. The industry that has lost the most employees is Nursing care facilities, skilled nursing which has contracted by 11.8% 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||169,355||155,208||9.1%|
|Colleges and universities||91,958||85,239||7.9%|
|Computer systems design and related services||81,586||55,218||47.8%|
|Supermarkets and other grocery stores||78,071||71,398||9.3%|
|Management of companies and enterprises||67,441||59,075||14.2%|
|Services for the elderly and disabled||66,201||10,101||555.4%|
|Research and development in the physical, engineering, and life sciences||59,220||40,729||45.4%|
|Offices of physicians||56,824||51,967||9.3%|
|Nursing care facilities, skilled nursing||52,274||59,253||-11.8%|
|Home health care services||47,243||26,953||75.3%|
Since the recession ended, the industry that has experienced the greatest increase in average weekly pay per employee (as a percent) is Securities and commodity exchanges which has grown 418.9%. The average weekly wage in the Open-end investment funds industry has grown by 26.6% since the recession. This is the industry with the lowest change in wages a month the top industries in Massachusetts . The table below illustrates the 10 largest industries and their change in the average weekly wages since the recession:
|Investment banking and securities dealing||$6,765||$4,674||44.7%|
|Open-end investment funds||$5,628||$7,667||-26.6%|
|Artificial fibers and filaments manufacturing||$3,651||$1,615||126.1%|
|Securities and commodity exchanges||$3,482||$671||418.9%|
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 fewer than 5 employees. The number of businesses with this number of employees has grown from 133,474 to 164,279, which is an increase of 23.1%.
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 32,427 to 34,201, which is an increase of 5.5%.
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||164,279||133,474||23.1%|
|More Than 1,000 Employees||176||151||16.6%|
The biggest percentage change in the number of employees has been in businesses with 50 to 99 employees. The number of employees in companies this size has grown from 321,645 to 397,456, which is an increase of 23.6%.
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 214,180 to 224,393, which is an increase of 4.8%.
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||228,210||193,744||17.8%|
|More Than 1,000 Employees||412,226||353,184||16.7%|
The biggest percentage change in the average weekly wage has been in businesses with 500 to 999 employees. The average weekly wage in companies this size has grown from $1,557 to $2,761, which is an increase of 77.3%.
The smallest 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 $838 to $1,079, which is an increase of 28.8%.
Table: Change Average Weekly Wage by Size Since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||$1,079||$838||28.8%|
|More Than 1,000 Employees||$2,162||$1,593||35.7%|
This page, created and maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt Tietjen has spent the bulk of his career working with and using data to grow businesses. As the SVP of Operations at TheStreet and the head of Audience & Product at Purch, data helped us create products and content strategies to grow the businesses. My LinkedIn Profile is here.