Information contained on this page is provided by an independent third-party content provider. WorldNow and this Station make no warranties or representations in connection therewith. If you have any questions or comments about this page please contact firstname.lastname@example.org.
CHICAGO, Jan. 30, 2014 /PRNewswire/ -- CareerBuilder and Economic Modeling Specialists Intl. (EMSI) released a new study that provides a window into the health of the business landscape in the U.S. The study explores net growth in private-sector business establishments from 2001 to 2012, ranking the best and worst states for new establishments post-recession and shedding light on national trends.
The analysis was based on data from the Bureau of Labor Statistics' Quarterly Census of Employment and Wages, which has been updated through 2012. A business establishment1 is defined as a single physical location that produces some form of economic activity. One company can have multiple establishments (e.g., each coffee shop in a large metro area is considered a single establishment even if it's part of a chain of coffee shops).
The U.S. produced between 115,000 to 210,000 net new private-sector establishments each year from 2001 to 2007. In subsequent years, net new establishment formation bottomed out during the recession and hasn't approached 100,000 per year since the downturn.
"Net new business establishments in the U.S. have tracked closely with the performance of the economy and labor market overall, showing a notable decline following the last recession," said Matt Ferguson, CEO of CareerBuilder and co-author of The Talent Equation. "The number of private-sector business establishments grew just 2 percent from 2009 to 2012 after growing 12 percent from 2001 to 2007. Growth patterns are poised to be stronger in 2014 and beyond as the economy becomes more energized, which will in turn help to influence the creation of new jobs."
Best States for Establishment Growth
Texas - From 2009 to 2012, Texas accounted for 22% of all net new business establishments in the U.S.
New York – From 2009 to 2012, New York accounted for 16% of all net new establishments in the U.S.
Illinois – From 2009 to 2012, Illinois accounted for 14% of all net new establishments in the U.S.
Florida – From 2009 to 2012, Florida accounted for 10% of all net new establishments in the U.S.
Washington – From 2009 to 2012, Washington accounted for 9% of all net new establishments in the U.S.
Worst States for Establishment Growth
1Business establishment data is different than numbers on business starts and closures. A firm can close an establishment and still have a presence in a metro area or state at other locations, or an existing business could expand its number of establishments by opening a new location.
2According to the Bureau of Labor Statistics, "other services, except public administration" is defined as "establishments engaged in providing services not specifically provided for elsewhere in the classification system. Establishments in this sector are primarily engaged in activities such as equipment and machinery repairing, promoting or administering religious activities, grantmaking, advocacy, and providing dry cleaning and laundry services, personal care services, death care services, pet care services, photofinishing services, temporary parking services, and dating services."
Economic Modeling Specialists Intl., a CareerBuilder company, turns labor market data into useful information that helps organizations understand the connection between economies, people, and work. Using sound economic principles and good data, EMSI builds user-friendly services that help educational institutions, workforce planners, and regional developers build a better workforce and improve the economic conditions in their regions. For more information, visit www.economicmodeling.com.
CareerBuilder is the global leader in human capital solutions, helping companies target and attract great talent. Its online career site, CareerBuilder.com®, is the largest in the United States with more than 24 million unique visitors and 1 million jobs. CareerBuilder works with the world's top employers, providing everything from labor market intelligence to talent management software and other recruitment solutions. Owned by Gannett Co., Inc. (NYSE:GCI), Tribune Company and The McClatchy Company (NYSE:MNI), CareerBuilder and its subsidiaries operate in the United States, Europe, South America, Canada and Asia. For more information, visit www.careerbuilder.com.
©2012 PR Newswire. All Rights Reserved.