News Release Information 20-1626-ATL

Wednesday, September 02, 2020 PDF PDF version

Miami Area Employment – July 2020 Local Rate of Employment Loss Similar to the National Average

Total nonfarm employment for the Miami-Fort Lauderdale-West Palm Beach, FL Metropolitan Statistical Area stood at 2,476,400 in July 2020, down 202,500 over the year, the U.S. Bureau of Labor Statistics reported today. Miami’s rate of job loss, at 7.6 percent, was similar to the national decline of 7.7 percent. (See chart 1 and table 1.) Regional Commissioner Janet S. Rankin noted that Miami’s over-the-year employment loss in July was greater than the 191,000 jobs lost in June. (The Technical Note at the end of this release contains metropolitan area definitions. All data in this release are not seasonally adjusted; accordingly, over-the-year analysis is used throughout.)

The Miami area is made up of three metropolitan divisions—separately identifiable employment centers within the larger metropolitan area. All three divisions lost jobs over the year. Miami-Miami Beach-Kendall, the largest of the three divisions with 45 percent of the area’s employment, lost 75,900 jobs from July a year ago. The Fort Lauderdale-Pompano Beach-Deerfield Beach Division, which accounted for 32 percent of Miami area’s workforce, lost 69,300 jobs, while the West Palm Beach-Boca Raton-Delray Beach Division lost 57,300 jobs over the 12-month period.

Industry employment

Employment in Miami’s leisure and hospitality supersector fell sharply (-85,200) for the 12 months ending in July, the largest loss of jobs among local major industry sectors. In percentage terms, the leisure and hospitality supersector declined 26.1 percent in Miami; nationwide, the rate of job loss was 24.2 percent. (See chart 2.)

The trade, transportation, and utilities sector in the Miami area lost 32,600 jobs, a 5.3-percent decline over the year. Over half of the jobs lost in this sector were in the Miami metropolitan division (-17,800). Nationally, employment in trade, transportation, and utilities was down 5.7 percent over the year.

Two other supersectors in the Miami area lost over 25,000 jobs since last July. The professional and business services supersector in the local area lost 31,300 jobs, down 6.9 percent; nationwide, employment in professional and business services was down 6.7 percent. Miami’s education and health services industry lost 25,900 jobs over the year, down 6.4 percent; nationwide, employment in this supersector was down 5.1 percent.

Five other local area supersectors had job losses greater than 1,000, ranging from 9,900 in other services to 2,900 in construction.

Twelve largest metropolitan areas

Miami-Fort Lauderdale-West Palm Beach was 1 of the nation’s 12 largest metropolitan statistical areas in July 2020. All 12 areas had over-the-year job losses during the period, with the rates of job losses in 6 areas exceeding the national decrease of 7.7 percent. New York-Newark-Jersey City had the fastest rate of job loss (-13.6 percent), followed by Boston-Cambridge-Nashua (-12.1 percent). Phoenix-Mesa-Scottsdale (-3.5 percent) had the slowest rate of job loss. (See chart 3 and table 2.)

New York lost the largest number of jobs over the year (-1,354,700), followed by Los Angeles-Long Beach-Anaheim (-628,000). The smallest employment loss occurred in Phoenix (-74,000). Annual losses in the remaining nine metropolitan areas ranged from 396,000 in Chicago-Naperville-Elgin to 135,000 in Atlanta-Sandy Springs-Roswell.

Over the year, leisure and hospitality lost the most jobs in all 12 metropolitan areas. New York had the largest loss of jobs for this sector (-439,800), followed by Los Angeles (-242,500). Atlanta and Phoenix had the smallest job losses for the leisure and hospitality sector (-48,300 each). The remaining eight areas had job losses ranging from 138,000 in Chicago to 60,500 in Houston-The Woodlands-Sugar Land for this industry sector.

Phoenix had over-the-year employment gains in three industry sectors: trade, transportation, and utilities (5,900); education and health services (4,300); and other services (1,000). Dallas-Fort Worth-Arlington added 10,700 jobs in financial activities. No other area had job gains over 1,000.

Metropolitan area employment data for August 2020 are scheduled to be released on Friday, September 18, 2020.

Coronavirus (COVID-19) Pandemic Impact on July 2020 Establishment Survey Data BLS has continued to review all estimation and methodological procedures for the establishment survey, which included the review of data, estimation processes, the application of the birth-death model, and seasonal adjustment. Business births and deaths cannot be adequately captured by the establishment survey as they occur. Therefore, the Current Employment Statistics (CES) program uses a model to account for the relatively stable net employment change generated by business births and deaths. Due to the impact of COVID-19, the relationship between business births and deaths is no longer stable. Typically, reports with zero employment are not included in estimation. For the June final and July preliminary estimates, CES included a portion of these reports in the estimates and made modifications to the birth-death model. In addition for both months, the establishment survey included a portion of the reports that returned to reporting positive employment from reporting zero employment. For more information, see www.bls.gov/web/empsit/cesbd.htm. In the establishment survey, workers who are paid by their employer for all or any part of the pay period including the 12th of the month are counted as employed, even if they were not actually at their jobs. Workers who are temporarily or permanently absent from their jobs and are not being paid are not counted as employed, even if they are continuing to receive benefits. The length of the reference period does vary across the respondents in the establishment survey; one-third of businesses have a weekly pay period, slightly over 40 percent a bi-weekly, about 20 percent semi-monthly, and a small amount monthly.

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 2017 version of the North American Industry Classification System.

Method of estimation. CES State and Area employment data are produced using several estimation procedures. Where possible these data are produced using a "weighted link relative" estimation technique in which a ratio of current-month weighted employment to that of the previous-month weighted employment is computed from a sample of establishments reporting for both months. The estimates of employment for the current month are then obtained by multiplying these ratios by the previous month's employment estimates. The weighted link relative technique is utilized for data series where the sample size meets certain statistical criteria.

For some employment series, the sample of establishments is very small or highly variable. In these cases, a model-based approach is used in estimation. These models use the direct sample estimates (described above), combined with forecasts of historical (benchmarked) data to decrease volatility in estimation. Two different models (Fay-Herriot Model and Small Domain Model) are used depending on the industry level being estimated. For more detailed information about each model, refer to the BLS Handbook of Methods.

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 surveys, 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 the total nonfarm employment series are available for metropolitan areas and metropolitan divisions at www.bls.gov/sae/additional-resources/reliability-of-state-and-area-estimates.htm. Measures of sampling error for more detailed series at the area and division level are available upon request. Measures of sampling error for states at the supersector level and for the private service-providing, goods-producing, total private and total nonfarm levels are available on the BLS website at www.bls.gov/sae/additional-resources/reliability-of-state-and-area-estimates.htm. Information on recent benchmark revisions is available online at www.bls.gov/sae/publications/benchmark-article/annual-benchmark-article.pdf.

Area definitions. The substate area data published in this release reflect the delineations issued by the U.S. Office of Management and Budget on April 10, 2018. A detailed list of the geographic definitions is available at www.bls.gov/lau/lausmsa.htm.

The Miami-Fort Lauderdale-West Palm Beach, FL Metropolitan Statistical Area includes the counties of Broward, Miami-Dade, and Palm Beach in Florida.

The Fort Lauderdale-Pompano Beach-Deerfield Beach, FL Metropolitan Division includes Broward County in Florida.

Metropolitan Division includes Broward County in Florida. The Miami-Miami Beach-Kendall, FL Metropolitan Division includes Miami-Dade County in Florida

Metropolitan Division includes Miami-Dade County in Florida The West Palm Beach-Boca Raton-Delray Beach, FL Metropolitan Division includes Palm Beach County in Florida.

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 online 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/.

Information in this release will be made available to sensory impaired individuals upon request. Voice phone: (202) 691-5200; Federal Relay Service: (800) 877-8339.

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

2019 May

2020 June

2020 July

2020 July 2019 to July 2020 Net change Percent change United States Total nonfarm 150,699 133,432 138,509 139,100 -11,599 -7.7 Mining and logging 746 631 631 632 -114 -15.3 Construction 7,753 7,076 7,365 7,419 -334 -4.3 Manufacturing 12,919 11,697 12,163 12,185 -734 -5.7 Trade, transportation, and utilities 27,671 24,765 25,851 26,094 -1,577 -5.7 Information 2,883 2,562 2,585 2,578 -305 -10.6 Financial activities 8,836 8,564 8,648 8,697 -139 -1.6 Professional and business services 21,456 19,396 19,844 20,024 -1,432 -6.7 Education and health services 23,863 22,231 22,556 22,641 -1,222 -5.1 Leisure and hospitality 17,289 10,109 12,440 13,111 -4,178 -24.2 Other services 5,979 4,835 5,229 5,382 -597 -10.0 Government 21,304 21,566 21,197 20,337 -967 -4.5 Miami-Fort Lauderdale-West Palm Beach, FL Metropolitan Statistical Area Total nonfarm 2,678.9 2,427.8 2,493.0 2,476.4 -202.5 -7.6 Mining and logging 0.7 0.8 0.8 0.8 0.1 14.3 Construction 142.8 138.7 142.0 139.9 -2.9 -2.0 Manufacturing 91.4 83.2 84.5 85.6 -5.8 -6.3 Trade, transportation, and utilities 609.4 556.7 573.8 576.8 -32.6 -5.3 Information 50.5 47.8 48.0 47.0 -3.5 -6.9 Financial activities 189.1 187.3 189.2 189.9 0.8 0.4 Professional and business services 451.7 409.7 420.2 420.4 -31.3 -6.9 Education and health services 402.0 379.8 381.7 376.1 -25.9 -6.4 Leisure and hospitality 326.3 210.8 254.9 241.1 -85.2 -26.1 Other services 120.5 101.7 108.1 110.6 -9.9 -8.2 Government 294.5 311.3 289.8 288.2 -6.3 -2.1 Miami-Miami Beach-Kendall, FL Metropolitan Division Total nonfarm 1,197.2 1,089.1 1,129.0 1,121.3 -75.9 -6.3 Mining and logging 0.5 0.6 0.6 0.6 0.1 20.0 Construction 53.8 54.3 56.6 55.3 1.5 2.8 Manufacturing 42.4 36.3 38.1 39.5 -2.9 -6.8 Trade, transportation, and utilities 301.0 272.2 282.7 283.2 -17.8 -5.9 Information 20.3 20.4 20.5 20.0 -0.3 -1.5 Financial activities 81.4 81.1 82.4 82.8 1.4 1.7 Professional and business services 182.2 166.7 171.6 169.9 -12.3 -6.8 Education and health services 187.5 177.1 178.9 178.0 -9.5 -5.1 Leisure and hospitality 143.6 93.5 117.5 111.2 -32.4 -22.6 Other services 50.4 42.6 45.4 47.1 -3.3 -6.5 Government 134.1 144.3 134.7 133.7 -0.4 -0.3 Fort Lauderdale-Pompano Beach-Deerfield Beach, FL Metropolitan Division Total nonfarm 853.6 768.5 787.0 784.3 -69.3 -8.1 Construction 49.9 46.8 46.9 46.0 -3.9 -7.8 Manufacturing 29.0 27.4 26.9 26.7 -2.3 -7.9 Trade, transportation, and utilities 194.1 181.2 185.7 187.1 -7.0 -3.6 Information 20.0 18.2 18.2 17.9 -2.1 -10.5 Financial activities 64.6 64.1 64.2 64.6 0.0 0.0 Professional and business services 152.5 140.3 142.1 144.8 -7.7 -5.0 Education and health services 110.1 103.6 104.6 99.7 -10.4 -9.4 Leisure and hospitality 96.2 53.5 68.7 67.4 -28.8 -29.9 Other services 37.2 30.3 32.8 33.7 -3.5 -9.4 Government 99.9 103.0 96.8 96.3 -3.6 -3.6 West Palm Beach-Boca Raton-Delray Beach, FL Metropolitan Division Total nonfarm 628.1 570.2 577.0 570.8 -57.3 -9.1 Construction 39.1 37.6 38.5 38.6 -0.5 -1.3 Manufacturing 20.0 19.5 19.5 19.4 -0.6 -3.0 Trade, transportation, and utilities 114.3 103.3 105.4 106.5 -7.8 -6.8 Information 10.2 9.2 9.3 9.1 -1.1 -10.8 Financial activities 43.1 42.1 42.6 42.5 -0.6 -1.4 Professional and business services 117.0 102.7 106.5 105.7 -11.3 -9.7 Education and health services 104.4 99.1 98.2 98.4 -6.0 -5.7 Leisure and hospitality 86.5 63.8 68.7 62.5 -24.0 -27.7 Other services 32.9 28.8 29.9 29.8 -3.1 -9.4 Government 60.5 64.0 58.3 58.2 -2.3 -3.8