- 203 fewer businesses
- 276,904 more employees
- 27.0% increase in total wages
- $9,162 in additional annual wages per employee
- 16.8% increase in wages per employee
Since 2009, the number of businesses in New Jersey has declined by 0.1% (9.6% less than the national average of 9.5%). Employment in New Jersey has grown by 8.8% (5.7% less than the national average of 14.4%). Wages have grown by 16.8% since the end of the Great Recession. This wage growth is 5.8% less than the national average of 22.5%.
The average weekly wage in New Jersey of $1,225 is 15.1% above the national average of $1,064. The gap between the national average has widened from 20.9% a widening of 5.7% since the end of the recession.
The Professional services sector has the most businesses in the state of New Jersey . Since the end of the recession, the number of businesses has grown from 35,125 to 33,364, a gain of -5.0%. The table below illustrates the change in number of businesses in each sector:
|Accommodation and food services||19,814||18,760||5.6%|
|Finance and insurance||11,346||12,533||-9.5%|
|Real estate and rental||8,280||8,945||-7.4%|
|Transport and warehousing||6,962||6,768||2.9%|
|Arts and entertainment||3,687||3,634||1.5%|
|Agriculture and forestry||922||981||-6.0%|
|Mining and oil extraction||96||111||-13.5%|
A total of 10 of the 19 sectors declined in the number of businesses since the recession ended in 2009 including the top 2, 3 of the top 5, 4 of the top 7. Several high paying sectors had a contraction in the number of businesses in New Jersey. Retail trade (-9.0%), Construction (-12.7%), Wholesale trade (-12.8%), Finance and insurance (-9.5%) and Manufacturing (-11.9%) had some of the biggest declines.
The Healthcare sector employs the most workers in the state of New Jersey . The number of jobs has increased 16.4% since the end of the recession from 486,251 to 565,810. The table below illustrates the change in employment in each sector:
|Accommodation and food services||307,016||279,781||9.7%|
|Finance and insurance||182,643||189,941||-3.8%|
|Transport and warehousing||182,434||148,230||23.1%|
|Arts and entertainment||65,782||52,579||25.1%|
|Real estate and rental||58,383||55,431||5.3%|
|Agriculture and forestry||11,566||10,018||15.5%|
|Mining and oil extraction||1,287||1,486||-13.4%|
Several sectors had declines in overall employment including Manufacturing (-8.6%), Finance and insurance (-3.8%) and Information (-15.9%). The 5 sectors with the highest employment all added workers since 2009. These sectors (Healthcare, Retail trade, Accommodation and food services, Professional services and Waste services) accounted for 306,000 new jobs since 2009, which is more jobs than the state added during this time.
The sector with the highest wages is the Company management sector at $3,215. Prior to the recession, the sector’s average weekly wage was $2,400. This is an increase of $815 per week or 34.0%. The table below illustrates the change in average weekly wages in each sector:
|Finance and insurance||$2,445||$1,872||30.6%|
|Mining and oil extraction||$1,577||$1,237||27.5%|
|Real estate and rental||$1,234||$995||24.0%|
|Transport and warehousing||$1,026||$896||14.5%|
|Arts and entertainment||$663||$636||4.2%|
|Agriculture and forestry||$621||$518||19.9%|
|Accommodation and food services||$438||$387||13.2%|
While no sector suffered a decline in wage growth several of the largest employers in the state had growth that is well below the national average of 22.5%. Accommodation and food services grew by 13.2%, Healthcare grew by 11.3% and Retail trade grew by 14.0%.
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 Private households which has grown 18.1%. The top industry that has contracted the most is Wholesale trade agents and brokers which has contracted by 30.6% 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:
|Computer systems design and related services||8,754||8,423||3.9%|
|Offices of physicians||7,912||8,493||-6.8%|
|Hair, nail, and skin care services||5,792||5,372||7.8%|
|Management consulting services||5,729||6,098||-6.1%|
|Residential building construction||5,654||6,629||-14.7%|
|Offices of lawyers||5,358||6,157||-13.0%|
|Offices of dentists||4,529||4,535||-0.1%|
|Wholesale trade agents and brokers||4,329||6,242||-30.6%|
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 97.2%. The industry that has lost the most employees is Nursing care facilities, skilled nursing which has contracted by 2.4% 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||139,356||133,689||4.2%|
|Temporary help services||97,507||61,233||59.2%|
|Management of companies and enterprises||82,948||75,424||10.0%|
|Supermarkets and other grocery stores||79,401||80,081||-0.8%|
|Offices of physicians||78,961||69,698||13.3%|
|Computer systems design and related services||70,022||60,146||16.4%|
|Home health care services||50,182||32,617||53.9%|
|Nursing care facilities, skilled nursing||48,659||49,847||-2.4%|
|General warehousing and storage||43,440||22,028||97.2%|
|Management consulting services||40,878||29,726||37.5%|
Since the recession ended, the industry that has experienced the greatest increase in average weekly pay per employee (as a percent) is Other financial vehicles which has grown 427.8%. The average weekly wage in the Trusts, estates, and agency accounts industry has grown by 30.9% since the recession. This is the industry with the lowest change in wages a month the top industries in New Jersey. The table below illustrates the 10 largest industries and their change in the average weekly wages since the recession:
|Trusts, estates, and agency accounts||$9,817||$14,206||-30.9%|
|Other financial vehicles||$8,044||$1,524||427.8%|
|Commodity contracts dealing||$5,047||$6,123||-17.6%|
|Research and development in the physical, engineering, and life sciences||$4,091||$2,489||64.4%|
|Credit card issuing||$3,886||$1,529||154.2%|
|Investment banking and securities dealing||$3,667||$2,680||36.8%|
|Lessors of nonfinancial intangible assets||$3,656||$2,601||40.6%|
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 500 to 999 employees. The number of businesses with this number of employees has grown from 260 to 307, which is an increase of 18.1%.
The smallest 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 declined from 171,510 to 167,297, which is a decrease of 2.5%.
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||167,297||171,510||-2.5%|
|More Than 1,000 Employees||194||178||9.0%|
The biggest percentage change in the number of employees has been in businesses with 500 to 999 employees. The number of employees in companies this size has grown from 171,275 to 206,101, which is an increase of 20.3%.
The smallest percentage change in the number of employees has been in businesses with fewer than 5 employees. The number of employees with this number of employees has grown from 263,292 to 266,430, which is an increase of 1.2%.
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||266,430||263,292||1.2%|
|More Than 1,000 Employees||382,636||341,638||12.0%|
The biggest percentage change in the average weekly wage has been in businesses with 100 to 249 employees. The average weekly wage in companies this size has grown from $1,082 to $1,396, which is an increase of 29.0%.
The smallest 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 $1,873 to $2,230, which is an increase of 19.1%.
Table: Change Average Weekly Wage by Size Since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||$1,049||$821||27.8%|
|More Than 1,000 Employees||$2,173||$1,811||20.0%|
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.