Mountain-Plains Information Office

News Release Information

14-1218-KAN

Tuesday, July 1, 2014

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Kansas City Area Employment – May 2014

Total nonfarm employment for the Kansas City, Mo.-Kan., Metropolitan Statistical Area (MSA) stood at 1,017,000 in May 2014, up 1,900 or 0.2 percent, from May 2013, the U.S. Bureau of Labor Statistics reported today. During the same period, nonfarm employment nationwide rose 1.8 percent. Regional Commissioner Stanley W. Suchman noted that this was the 44th consecutive month of over-the-year job gains in the Kansas City metropolitan area.

Chart 1. Total nonfarm employment, over-the year net change in the Kansas City metropolitan area and its components, May 2011-May 2014

The Kansas City metropolitan area is comprised of two separately identifiable employment centers—the Missouri portion and the Kansas portion of the MSA. The Missouri portion, which accounted for 55 percent of the area’s workforce, was largely responsible for the MSA’s employment growth with the addition of 1,400 jobs (0.2 percent) from May 2013 to May 2014. The Kansas portion, with 45 percent of the area’s workforce, registered little change in employment over the year (0.1 percent). (See chart 1 and table 1; the Technical Note at the end of this release contains metropolitan area definitions. Data in this release are not seasonally adjusted; accordingly, analysis is based on over-the-year comparisons.)

Three supersectors in the Kansas City metropolitan area added 1,000 or more jobs from May 2013 to May 2014. Leisure and hospitality gained 1,400 jobs with all of the expansion occurring on the Missouri side of the MSA (3,500). Employment in this supersector grew at a slower pace locally than it did nationally (1.4 versus 2.7 percent). Professional and business services employment rose by 1,200 with the Kansas portion adding 3,000 jobs while the Missouri portion lost 1,800 jobs. This supersector’s rate of local job growth, at 0.8 percent, compared to the national rate of 3.5 percent. Education and health services added 1,000 jobs with both sides of the metropolitan area contributing to the expansion. The 0.7-percent rate of local job growth compared to a 1.8-percent pace nationally.

In contrast, one supersector in the Kansas City area experienced employment losses of more than 1,000 jobs over the year. Trade, transportation, and utilities shed 1,500 jobs, led by losses in the Kansas portion (-1,000) of the metropolitan area. Locally, trade, transportation, and utilities employment was down 0.7 percent while nationally it was up 2.2 percent.


Technical Note

This release presents nonfarm payroll employment estimates from the Current Employment Statistics (CES) program. The CES survey is a Federal-State cooperative endeavor between State employment security agencies and the Bureau of Labor Statistics.

Definitions. Employment data refer to persons on establishment payrolls who receive pay for any part of the pay period which includes the 12th of the month. Persons are counted at their place of work rather than at their place of residence; those appearing on more than one payroll are counted on each payroll. Industries are classified on the basis of their principal activity in accordance with the 2007 version of the North American Industry Classification System.

Method of estimation. The employment data are estimated using a "link relative" technique in which a ratio (link relative) of current-month employment to that of the previous month is computed from a sample of establishments reporting for both months. The estimates of employment for the current month are obtained by multiplying the estimates for the previous month by these ratios. Small-domain models are used as the official estimators for approximately 39 percent of CES published series which have insufficient sample for direct sample-based estimates.

Annual revisions. Employment estimates are adjusted annually to a complete count of jobs, called benchmarks, derived principally from tax reports which are submitted by employers who are covered under state unemployment insurance (UI) laws. The benchmark information is used to adjust the monthly estimates between the new benchmark and the preceding one and also to establish the level of employment for the new benchmark month. Thus, the benchmarking process establishes the level of employment, and the sample is used to measure the month-to-month changes in the level for the subsequent months.

Reliability of the estimates. The estimates presented in this release are based on sample survey, administrative data, and modeling and, thus, are subject to sampling and other types of errors. Sampling error is a measure of sampling variability--that is, variation that occurs by chance because a sample rather than the entire population is surveyed. Survey data are also subject to nonsampling errors, such as those which can be introduced into the data collection and processing operations. Estimates not directly derived from sample surveys are subject to additional errors resulting from the special estimation processes used. The sums of individual items may not always equal the totals shown in the same tables because of rounding.

Employment estimates. Measures of sampling error for state CES data at the supersector level are available on the BLS Web site at www.bls.gov/sae/790stderr.htm. Information on recent benchmark revisions for states is available at www.bls.gov/sae/.

Area definitions. The substate area data published in this release reflect the standards and definitions established by the U.S. Office of Management and Budget on December 1, 2009. A detailed list of the geographic definitions is available at www.bls.gov/lau/lausmsa.htm.

The Kansas City, Mo.-Kan., Metropolitan Statistical Area (MSA) includes Bates, Caldwell, Cass, Clay, Clinton, Jackson, Lafayette, Platte, and Ray Counties in Missouri; Franklin, Johnson, Leavenworth, Linn, Miami, and Wyandotte Counties in Kansas.


Additional information

More complete information on the technical procedures used to develop these estimates and additional data appear in Employment and Earnings, which is available on line at www.bls.gov/opub/ee/home.htm. Industry employment data for states and metropolitan areas from the Current Employment Statistics program are also available in the above mentioned news releases and from the Internet at www.bls.gov/sae/.

Table 1. Employees on nonfarm payrolls by industry supersector, the United States and the Kansas City metropolitan area and its components, not seasonally adjusted (numbers in thousands)
Area and Industry

May
2013
March
2014
April
2014
May
2014 (P)
Change from May. 2013
to May. 2014
Number Percent

United States

Total nonfarm

136,793 137,147 138,272 139,192 2,399 1.8

Mining and logging

859 884 895 904 45 5.2

Construction

5,855 5,656 5,869 6,049 194 3.3

Manufacturing

11,987 12,018 12,033 12,091 104 0.9

Trade, transportation, and utilities

25,697 25,883 26,063 26,266 569 2.2

Information

2,701 2,653 2,654 2,665 -36 -1.3

Financial activities

7,869 7,870 7,888 7,917 48 0.6

Professional and business services

18,510 18,832 19,066 19,153 643 3.5

Education and health services

21,127 21,481 21,539 21,504 377 1.8

Leisure and hospitality

14,453 14,143 14,462 14,845 392 2.7

Other services

5,487 5,464 5,501 5,535 48 0.9

Government

22,248 22,263 22,302 22,263 15 0.1

Kansas City, Mo.-Kan., MSA

Total nonfarm

1,015.1 1,002.2 1,011.3 1,017.0 1.9 0.2

Mining, logging, and construction

42.0 38.9 41.5 42.8 0.8 1.9

Manufacturing

72.5 73.2 73.8 72.3 -0.2 -0.3

Trade, transportation, and utilities

200.8 198.1 198.9 199.3 -1.5 -0.7

Information

29.5 29.6 29.5 29.4 -0.1 -0.3

Financial activities

74.2 72.9 72.5 73.3 -0.9 -1.2

Professional and business services

160.0 160.2 161.5 161.2 1.2 0.8

Education and health services

139.0 139.2 139.4 140.0 1.0 0.7

Leisure and hospitality

101.7 95.8 99.7 103.1 1.4 1.4

Other services

42.7 42.4 42.7 42.8 0.1 0.2

Government

152.7 151.9 151.8 152.8 0.1 0.1

Kansas City, Mo., portion

Total nonfarm

561.0 555.4 560.5 562.4 1.4 0.2

Mining, logging, and construction

24.1 21.1 23.2 23.5 -0.6 -2.5

Manufacturing

39.6 39.8 40.1 40.4 0.8 2.0

Trade, transportation, and utilities

105.0 103.4 103.7 104.5 -0.5 -0.5

Information

14.7 14.3 14.2 14.1 -0.6 -4.1

Financial activities

40.1 39.8 39.7 39.8 -0.3 -0.7

Professional and business services

79.3 78.7 77.6 77.5 -1.8 -2.3

Education and health services

77.6 77.3 77.9 78.2 0.6 0.8

Leisure and hospitality

61.7 62.3 64.6 65.2 3.5 5.7

Other services

26.5 26.3 26.4 26.4 -0.1 -0.4

Government

92.4 92.4 93.1 92.8 0.4 0.4

Kansas City, Kan., portion

Total nonfarm

454.1 446.8 450.8 454.6 0.5 0.1

Mining, logging, and construction

17.9 17.8 18.3 19.3 1.4 7.8

Manufacturing

32.9 33.4 33.7 31.9 -1.0 -3.0

Trade, transportation, and utilities

95.8 94.7 95.2 94.8 -1.0 -1.0

Information

14.8 15.3 15.3 15.3 0.5 3.4

Financial activities

34.1 33.1 32.8 33.5 -0.6 -1.8

Professional and business services

80.7 81.5 83.9 83.7 3.0 3.7

Education and health services

61.4 61.9 61.5 61.8 0.4 0.7

Leisure and hospitality

40.0 33.5 35.1 37.9 -2.1 -5.3

Other services

16.2 16.1 16.3 16.4 0.2 1.2

Government

60.3 59.5 58.7 60.0 -0.3 -0.5

Footnotes
(P) Preliminary