- 2,483 more businesses
- 31,060 more employees
- 41.5% increase in total wages
- $9,506 in additional annual wages per employee
- 28.9% increase in wages per employee
Since 2009, the number of businesses in South Dakota has grown by 8.8% (0.8% less than the national average of 9.5%). Employment in South Dakota has grown by 9.8% (4.7% less than the national average of 14.4%). Wages have grown by 28.9% since the end of the Great Recession. This wage growth is 6.4% greater than the national average of 22.5%.
The average weekly wage in South Dakota of $814 is 23.5% below the national average of $1,064. The gap between the national average has decreased from 27.2% a reduction of 3.7% since the end of the recession.
The Construction sector has the most businesses in the state of South Dakota. Since the end of the recession, the number of businesses has grown from 3,702 to 3,883, a gain of 4.9%. The table below illustrates the change in number of businesses in each sector:
|Accommodation and food services||2,447||2,344||4.4%|
|Finance and insurance||2,157||2,039||5.8%|
|Transport and warehousing||1,366||1,239||10.3%|
|Real estate and rental||1,064||972||9.5%|
|Agriculture and forestry||961||574||67.4%|
|Arts and entertainment||662||667||-0.7%|
|Mining and oil extraction||66||64||3.1%|
There are a number of sectors in South Dakota that have lost businesses due to closures or consolidation. Retail trade, the sector with the 2nd most businesses declined by 1.3% and Manufacturing declined by 2.0% since 2009. There are a few sectors that experienced good expansion like Agriculture and forestry which expanded by 67.4% and Professional services which grew by 27.1% and Waste services which grew 17.1%
since the recession.
The Healthcare sector employs the most workers in the state of South Dakota . The number of jobs has increased 14.4% since the end of the recession from 54,959 to 62,885. The table below illustrates the change in employment in each sector:
|Accommodation and food services||40,274||36,451||10.5%|
|Finance and insurance||24,967||26,466||-5.7%|
|Transport and warehousing||10,444||9,492||10.0%|
|Arts and entertainment||6,694||6,454||3.7%|
|Agriculture and forestry||5,777||3,933||46.9%|
|Real estate and rental||3,794||3,579||6.0%|
|Mining and oil extraction||869||836||3.9%|
There are a number of sectors that lost workers; Finance and insurance employment declined by 5.7%, totaling about 1500 workers. The Information sector and Utilities sector declined by 14.6% and 15.6% respectively. The Utilities sector did have some business consolidation with a reduction in businesses of 4.5% (see above).
The sector with the highest wages is the Company management sector at $1,978. Prior to the recession, the sector’s average weekly wage was $1,399. This is an increase of $579 per week or 41.4%. The table below illustrates the change in average weekly wages in each sector:
|Finance and insurance||$1,170||$845||38.5%|
|Mining and oil extraction||$1,163||$897||29.7%|
|Transport and warehousing||$828||$672||23.2%|
|Agriculture and forestry||$742||$575||29.0%|
|Real estate and rental||$685||$495||38.4%|
|Arts and entertainment||$342||$306||11.8%|
|Accommodation and food services||$312||$235||32.8%|
Wage growth in South Dakota was pretty consistent across sectors with the exception of Educational services which only grew by 4.4% since the recession. While Company management experienced the best wage growth in the state, a number of other sectors had wages grow significantly above the state average, like Finance and insurance (+38.5%), Professional services (+32.8%) and Real estate and rental (38.4%).
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 Management consulting services which has grown 105.8%. The top industry that has contracted the most is Wholesale trade agents and brokers which has contracted by 23.0% 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:
|Residential building construction||912||925||-1.4%|
|Insurance agencies and brokerages||800||740||8.1%|
|Computer systems design and related services||588||396||48.5%|
|Wholesale trade agents and brokers||553||718||-23.0%|
|Gasoline stations with convenience stores||540||533||1.3%|
|Management consulting services||498||242||105.8%|
|Plumbing and hvac contractors||416||389||6.9%|
|Offices of lawyers||408||428||-4.7%|
|Hotels and motels, except casino hotels||406||403||0.7%|
The industry that has experienced the most growth in number of employees (as a percent) since the recession is Management of companies and enterprises which has grown 48.5%. The industry that has lost the most employees is Nursing care facilities, skilled nursing which has contracted by 16.3% 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||23,852||19,453||22.6%|
|Supermarkets and other grocery stores||8,280||7,690||7.7%|
|Offices of physicians||7,767||7,400||5.0%|
|Nursing care facilities, skilled nursing||6,868||8,210||-16.3%|
|Hotels and motels, except casino hotels||6,599||6,539||0.9%|
|Animal slaughtering and processing||6,550||4,945||32.5%|
|Gasoline stations with convenience stores||6,137||5,154||19.1%|
|Management of companies and enterprises||4,904||3,302||48.5%|
|New car dealers||4,323||3,280||31.8%|
Since the recession ended, the industry that has experienced the greatest increase in average weekly pay per employee (as a percent) is Investment advice which has grown 105.8%. The average weekly wage in the Oil and gas pipeline construction industry has grown by 39.2% since the recession. This is the industry with the lowest wage growth among top industries in South Dakota . The table below illustrates the 10 largest industries and their change in the average weekly wages since the recession:
|Business to business electronic markets||$3,662||$2,046||79.0%|
|Investment banking and securities dealing||$3,339||$1,856||79.9%|
|Meat and meat product merchant wholesalers||$2,344||$1,209||93.9%|
|Offices of physicians||$2,175||$1,544||40.9%|
|Management of companies and enterprises||$1,978||$1,399||41.4%|
|Oil and gas pipeline construction||$1,867||$1,341||39.2%|
|Computer and software merchant wholesalers||$1,865||$1,211||54.0%|
|Appliance and electronics merchant whls.||$1,821||$1,005||81.2%|
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 250 to 499 employees. The number of businesses with this number of employees has grown from 60 to 87, which is an increase of 45.0%.
The smallest 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 declined from 8 to 7, which is an decrease of 12.5%.
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||18,588||16,627||11.8%|
|More Than 1,000 Employees||7||8||-12.5%|
The biggest percentage change in the number of employees has been in businesses with 250 to 499 employees. The number of employees in companies this size has grown from 20,756 to 29,146, which is an increase of 40.4%.
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 34,221 to 35,258, which is an increase of 3.0%.
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||29,559||26,980||9.6%|
|More Than 1,000 Employees||22,474||21,128||6.4%|
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 $744 to $1,404, which is an increase of 88.7%.
The smallest 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 $693 to $886, which is an increase of 27.8%.
Table: Change Average Weekly Wage by Size Since the Recession:
|Company Size||Q1 2018||Q1 2010||% Change|
|Fewer than 5 Employees||$889||$634||40.2%|
|More Than 1,000 Employees||$1,096||$818||34.0%|
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.