Labor Market Information for Workforce Development Session Goals Introduce you to Labor Market Information and how it can help you in your job Demonstrate a variety of LMI resources Allow you to familiarize yourself with LMI tools What is Labor Market Information (LMI)? Data that describe and predict the relationship between labor supply and demand LMI provides data on a variety of subjects: Population and labor force trends Industry and occupational employment trends and projections Wage and benefit information Career information relating to skills and education Data are often available at different geographic levels e.g., State, county, metro area, workforce development region, etc. Who uses LMI? Individual Actors Policymakers & Planners Value-added Disseminators • Businesses and Entrepreneurs • Jobseekers and Students • Economic and Workforce Dev. Service Providers • Education and Training Providers • Researchers and Grant Writers • Federal, State, & Local Governments • Media • Commercial Data Vendors 4 How can LMI help me as a Workforce Development professional? Better understand the workers in my region, their availability and their capabilities Identify job opportunities, and match workers to those job opportunities Determine education and training resources and needs Analyze the economic trends affecting my workforce Enhance grant proposals Prioritize strategic goals Our Agenda for the day Who is my region’s workforce? What do my workers do? Education and skills-based data Where are my region’s jobs? Occupational data What can my workers do? Population and labor force data Industry data Pulling it all together Who is my region’s workforce? In this section, we will: Introduce you to several sources of demographic data US Census Bureau Alabama State Data Center Identify sources of key labor force data available through Alabama LMI Labor force data Unemployment data Common questions Is my region growing or declining and how will this affect my economy? Is my population aging? Will I have enough workers to meet my workforce needs? How many people are looking for work or are available to work? The Feds Decennial Census Population Estimates & Projections www.2010.census.gov Annual Estimates www.census.gov/popest/estimates.html American Community Survey Annual Estimates www.census.gov/acs/www/ US Census Bureau Resources Getting Census Data for your community Interactive maps for the 2010 Census http://2010.census.gov/2010census/popmap/ Alabama Quickfacts http://quickfacts.census.gov/qfd/states/01000.html http://quickfacts.census.gov/qfd/states/01000lk.html Population Estimates Program (Annually) Annual estimate of resident population Characteristics Included: Reference date is July 1 each year Age Sex Race Hispanic origin www.census.gov/popest/estimates.html American Community Survey (Annually) Essentially the same questions as the old Census long form Conducted throughout the year 21 questions about housing unit 48 questions about each person 2.9 million addresses/about 4.5 million persons Roughly 1.5% of the population each year Collected via mail, phone, & in-person www.census.gov/acs/www American Community Survey (Annually) ACS Data grouped in 4 Types of Characteristics Demographic: sex, age, race Hispanic origin, etc. Social: Educational attainment, marital status, citizenship, language, etc. Economic: Employment, occupation, industry, commute, household income, poverty, etc. Housing: Type of unit, own/rent, age of structure, housing value, etc. 2010 ACS Data Releases Population Threshold Most recently published 1-Year Estimates 65,000+ Sept. 2011 3-Year Estimates 20,000+ Oct. 2011 5-Year Estimates Less than 20,000 Dec. 2011 1-Year, 3-Year and 5-Year Public Use Microdata Sample (PUMS) 100,000+ 1-2 months after release Product The Alabama State Data Center The Alabama State Data Center is staffed through UA’s Center for Business and Economic Research Source of technical assistance Provide help with census, especially small area estimates http://cber.cba.ua.edu/asdc Population Exercise Using the sources we just demonstrated, find the following information for your county What was your county’s population in 2000 and 2010? How many people in your county were aged 65 and older? What percent of your population was aged 65+? What percent of your county’s population (aged 25+) have at least a Bachelors Degree? How does this compare to Alabama overall? How big is my labor force? The labor force includes: People aged 16 and older who are either in the labor force or actively seeking work The labor force does not include: People in the armed forces, retirees, stay-at-home parents, prisoners, discouraged workers, mentally ill, etc. How big is my labor force? The labor force participation rate is the number of people aged 16 and above participating in the labor force Around 64 percent for the US; 60 percent for Alabama Data based on Current Population Survey (CPS) The CPS is a joint program of the US Bureau of Labor Statistics and the US Census Bureau http://www.bls.gov/cps/ Who is considered employed? Employed persons are those who, during the week of the 12th each month: Worked at least one hour for pay or profit, or Were self-employed, or Worked at least 15 hours without pay on a family farm or business Had jobs but were temporarily absent Who is considered unemployed? The unemployed are persons who, during the reference week of the 12th each month: Were not employed, Were available for work during the week, and Actively looked for work within the last 4 weeks Also included as unemployed are persons who were waiting to be called back to a job from which they had been laid off Note: CPS does not ask about or use unemployment insurance data. Getting labor force and unemployment data for your county/region The unemployment rate is the percent of people without jobs in the labor force Provides an indication of the health of your economy Offers an estimate of the number of people actively seeking work Unemployment data available through Alabama LMI and US BLS Local Area Unemployment Statistics (LAUS) program. LAUS is the only official statistic based on an estimating model, and not a census or survey http://www2.dir.state.al.us/LAUS/default.aspx http://www.bls.gov/lau/ Unemployment data available through Alabama LMI Unemployment in the US, AL and Huntsville MSA 12.0% 10.0% Unemployment Rate 8.0% 6.0% 4.0% Huntsville Alabama USA 2.0% Source: US BLS LAUS 0.0% Unemployment Exercise Using the Alabama LMI website: What was your county’s unemployment rate in March 2012? How many people were considered unemployed? Using the BLS website: What was your county’s highest unemployment rate over the past 5 years? Hint: use http://www.bls.gov/lau/ Questions? What do my workers do? In this section, we will: Introduce you to the Standard Occupational Classification System (SOC). Show you how to access data on occupational employment and wage and projected future employment. Occupational Employment Statistics (OES) Occupational Projections Common questions What types of occupations/jobs are in my region and what do those jobs pay? What education and training is required for those occupations/jobs? What types of occupations are projected to be in demand in my region in the future? What area educational institutions could help support my region’s current and future workforce demands? Workers’ Occupations The Standard Occupational Classification (SOC) is a system designed to: Classify all occupations in the economy, including private, public, and military occupations Provide a means to compare occupational data across government agencies Revised 2010 revision Net new job count is 19; 2 of them “green” www.bls.gov/soc/soc_structure_2010.pdf Contains information on 840 detailed occupations periodically: Standard Occupational Classification (SOC) Structure Broad categories lead to unique 6-digit codes for each occupation: 22 Major groups ; divided into... 49-0000 Installation, Maintenance, and Repair 98 Minor groups; divided into... 49-9000 Other Installation, Maintenance, and Repair 450 Broad occupations; divided into... 49-9080 Wind Turbine Service Technicians 800+ Detailed occupations 49-9081 Wind Turbine Service Technicians Occupational Employment and Wage Estimates Occupational Employment Statistics (OES) OES collects detailed occupational and wage information by industry and area Semi-annual establishment survey Primarily a mail survey of employers All 50 states Data are published annually OES Survey Sample 1.2 million establishments QCEW is the sampling frame Includes establishments in 3-year collection cycle Nonfarm industries Agricultural services Federal, State, and Local governments The larger an establishment, the more likely it will be included in the 3 year OES sample 400,000 surveyed annually in two panels May and November What Estimates Are Included? Occupational Employment Occupational Wages (Hourly and/or Annual) “Mean” – Average wage “Median” - The point at which 50% of the employment was below this wage and 50% was above “Entry” – The average of the lowest third of reported wages for the occupation “Experience” – The average of the upper two-thirds of reported wages for the occupation *** BLS also produces 10th, 25th, 75th & 90th wage rate percentile estimates Sample OES Data for Alabama The average wage The average wage of the upper two-thirds The average wage of the lower two-thirds Alabama OES Estimates Geography Statewide Metros – 11 MSAs Balance of State Areas Counties not in a MSA Industries Cross-industry 2-digit NAICS www2.dir.state.al.us/OES/Wage/default.aspx *** Wage data is aged to current year using the latest quarterly Employment Cost Index (ECI) factors Geography and Industries of National OES Estimates Geography Nationwide State MSA www.bls.gov/oes/home.htm Cross-industry Example of Cross Industry: All Machinists (51-4041) www.bls.gov/oes/current/oes514041.htm By 3-, 4- and 5-digit NAICS 4-digit NAICS Example: Machinists working in the Motor Vehicle Parts Manufacturing Industry www.bls.gov/oes/current/naics4_336300.htm Demonstration of Alabama’s OES Data Website Cross-Industry OES Estimates www2.dir.state.al.us/OES/Wage/wagesbygrouparea.aspx Occupational Wages by Industry Sector www2.dir.state.al.us/OES/Wage/wagesbyindustrysector1.aspx OES Exercise 1. On the LMI website, look up what occupation in your region (Balance of State or MSA) for the manufacturing sector had the highest estimated employment. A. B. 2. What was its SOC Code? What was its Mean Hourly and Annual Wage? On the BLS website, look up that occupation/SOC Code. A. B. How does its Mean Hourly and Annual Wage compare to the region? What industries have the highest concentration of employment in this occupation? Occupational Projections Occupational Projections released every two years BLS develops national projections Cross-industry and by industry 2010-20 most current release www.bls.gov/emp/ States develop state projections Cross-industry 2008-18 most current release 2010-20 projects should be out in July www2.dir.state.al.us/Projections/default.aspx Occupational Projection Estimates Employment – Base year & 10 years forward Average Annual Growth – annual % change in employment Average Annual Job Openings Total Openings - Numeric change in employment Growth – Newly created jobs Replacement – Number of jobs that will arise due to workers who change occupations, retire, etc. **Employment may not be sufficient in an occupation to allow the development of projections or the data may be confidential Example of Occupational Projections Openings due to newly created jobs Openings projected due to workers leaving the occupation Demonstration of Alabama’s Projections Data Website Occupational Projections www2.dir.state.al.us/Projections/Occupational/Proj2018/Statewide/Summary.aspx Industry Projections www2.dir.state.al.us/Projections/default.aspx Education and Training Required for Occupations BLS assigns three categories of information to each detailed occupation: 1. 2. 3. Typical education needed for entry Commonly required work experience in a related occupation Typical on-the-job training needed to obtain competency in the occupation *** This classification system is new with the 2010-20 projections Typical Education Needed for Entry Less Than High School 1. janitors and cleaners or cashiers High School Diploma or Equivalent 2. food service manager or pharmacy technicians Some College, No Degree 3. nursing aides, emergency medical technicians (EMTs) and paramedics or hairstylists dietitian or civil engineers Associate’s Degree 6. mechanical drafters, respiratory therapists or dental hygienists Master’s Degree 7. transportation inspectors or computer support specialists Postsecondary NonDegree Award (certificate or other award) 4. Bachelor’s Degree 5. physician assistants or educational, vocational, and school counselors Doctoral or Professional degree 8. Lawyers, physicians and surgeons or dentists Commonly Required Work Experience No experience A. Nuclear engineer or dishwasher Less than 1 year of experience B. Meeting, convention and event planners or restaurant cooks 1 to 5 years of experience C. Human resources managers or locomotive engineers More than 5 years of experience D. Computer and information systems managers or financial managers Typical On-The-Job Training Needed to Attain Competency None 1. Long-Term OTJ 4. Geographers or pharmacists Short-Term OTJ 2. Floral designers or sewing machine operators Apprenticeships 5. Moderate-Term OTJ 3. School bus drivers or printing press operators Millwrights or tool and die makers Electricians or real estate appraisers Internship/residency 6. Landscape architects or orthodontist Occupations Projected With the Fastest Growth Projections Exercise Using the Employment Projections data on the BLS website, look up the occupation you had identified in the previous exercise and answer the following: A. B. C. D. E. What is the projected employment change from 2010 to 2020? What is the projected percentage change from 2010-2020? What is the typical entry-level education required for this occupation? What work experience in a related occupation is required? What is the typical on-the-job training is required? http://www.bls.gov/emp/ Questions? Where else can I find information about workers? In this section, we will: Introduce you to the Occupational Information Network (O*NET). O*NET OnLine Real-time LMI My Next Move Show you how to access basic post-secondary education data and K-12 education data. Alabama Commission on Higher Education National Center for Education Statistics Alabama Department of Education O*NET It is the primary source of U.S. occupational information. The O*NET Database contains information on hundreds of standardized and occupation-specific descriptors. The database is continually updated by surveying a broad range of workers from each occupation. O*NET OnLine is an interactive application for exploring and searching occupations. O*NET OnLine Find occupations by Key Words or SOC Code Find occupations by Career Cluster, Industry, Bright Outlook, Green Economy Sector or STEM Discipline Find occupations by required Abilities, Interests, Knowledge, Skills, Work Activities, Technologies, etc. O*Net Uses Educational and training curricula development Job descriptions and resumes Performance appraisal and management Compensation and reward Selection and placement decisions Recruitment efforts Vocational and career counseling O*NET MY NEXT MOVE Web-based tool for students and job seekers Also has MY NEXT MOVE FOR VETERANS Easy-to-use search and career overviews Search by keys words Search by industry Search by interest using O*NET Interest Profiler http://www.mynextmove.org/ O*NET Exercise On MyNextMove.org conduct a key word search for a career one of your clients has an interest in or that you are interested in. Find the following about that occupation: 1. 2. 3. 4. What type of knowledge, skills and abilities are required? What is the job outlook for the occupation? How do wages for this occupation in your area compare to national wages for the occupation? What training programs are near your community? Real-time Labor Market Information What is it? Emerging data source Aggregates online job postings into one database Gives comprehensive picture of current hiring Utilizes thousands of existing data sources Provides current analysis of hiring trends Prominent vendors Burning Glass Geographic Solutions Help Wanted Online 58 Employment opportunities Available Manufacturing Jobs by MSA (January 1 to April 30, 2012) Available MFG Jobs 20K 10K *Total Available Jobs: 470,309 59 Source: Burning Glass Labor Insight Center for Regional Economic Competitiveness In-Demand Occupations January 1-April 30, 2012 U.S. Advertised Manufacturing Jobs Openings All Manufacturing Openings Occupation Openings Sales Representatives, Wholesale & Manufacturing, Except Technical & Scientific Products 20,514 Engineers 18,847 Software Developers, Applications 18,571 Retail Salespersons 12,002 Computer Systems Analysts 9,560 Maintenance & Repair Workers, General 9,030 Executive Secretaries & Executive Administrative Assistants 8,571 General & Operations Managers 8,469 Software Developers, Systems Software 7,447 First-Line Supervisors of Production & Operating Workers 7,430 % of Mfg Openings http://www.creconline.org/mep/ 4.4% 4.0% 4.0% 2.6% 2.1% 1.9% Production Openings 1.8% 1.8% 1.6% 1.6% Occupation Openings First-Line Supervisors of Production & Operating Workers 7,430 Inspectors, Testers, Sorters, Samplers, & Weighers 5,163 Computer-Controlled Machine Tool Operators, Metal & Plastic 4,296 Production Workers, All Other 3,823 Assemblers & Fabricators, All Other 2,983 Machinists 2,297 Bakers 847 Welders, Cutters, & Welder Fitters 611 Cutting, Punching, & Press Machine Setters, Operators, & Tenders, Metal & Plastic 609 Computer Numerically Controlled Machine Tool Programmers, Metal & Plastic 576 % of Prod Openings 19.4% 13.5% 11.2% 10.0% 7.8% 6.0% 2.2% 1.6% 1.6% 1.5% Post-Secondary Education Data Alabama Commission on Higher Education Student Database http://www.ache.alabama.gov/StudentDB/Index.htm Economic Development Reports Potential Workforce by Institution Potential Workforce Development Region Undergraduate and Graduate enrollment by major Completions by major Academic major enrollment by students from the region Majors conferred to students from the region http://www.ache.alabama.gov/Workforce/ Potential Workforce by Workforce Development Region ALABAMA COMMISSION ON HIGHER EDUCATION Accounting Technology/Technician and Bookkeeping. Accounting. Administrative Assistant and Secretarial Science, General. Advertising. Agricultural Economics. American/United States Anthropology. Apparel and Textile Marketing Architectural Engineering. Architecture. Art/Art Studies, General. 1 36 1 1 8 22 2 1 1 1 2 1 2 8 1 1 * State Totals for these majors WDR 1 Total Doctoral Post-Master Master Post-Bachelor Bachelor Associate Less than 2 years MAJOR Less than 1 year SUMMER 2010 THRU SPRING 2011 COMPLETIONS OF STUDENTS FROM ALABAMA PUBLIC TWO-YEAR AND FOUR-YEAR INSTITUTIONS SORTED BY MAJOR WORKFORCE DEVELOPMENT REGION 1 1 44 97 993 24 3 1 1 1 2 2 2 8 636 79 33 13 56 35 106 27 209 Potential Workforce by Institution ALABAMA COMMISSION ON HIGHER EDUCATION Administrative Assistant and Secretarial Science, General. Autobody/Collision and Repair Technology/Technician. Automobile/Automotive Mechanics Child Care and Support Services Management. Computer and Information Sciences, General. Cosmetology and Related Personal Grooming Arts, Other. Cosmetology/Cosmetologist, General. Diesel Mechanics Technology/Technician. Drafting and Design Technology/Technician, General. Electrician. Emergency Medical Technology/Technician (EMT General Studies. Heating, Ventilation, Air Conditioning and Refrigeration Engineering Technology/Technician. 2 18 8 1 1 1 2 13 35 9 1 1 2 * State Totals for these majors 17 21 4 81 37 18 17 15 15 1 20 15 17 29 6 81 674 144 119 362 744 15 530 118 309 177 506 2,745 8 16 184 13 13 18 2 8 2 6 BEV Total Associate Less than 1 year MAJOR Less than 2 years SUMMER 2010 THRU SPRING 2011 COMPLETIONS OF STUDENTS FROM ALABAMA PUBLIC TWO-YEAR AND FOUR-YEAR INSTITUTIONS SORTED BY MAJOR BEVILL STATE COMMUNITY COLLEGE Post-Secondary Education Data National Center for Education Statistics Integrated Postsecondary Education Data System (IPEDS) Collects data from all primary providers of postsecondary education Tuition, fees and estimated student expenses Enrollment Completions by Programs/Majors College Navigator – Search for a specific school or schools with a radius of a zip code http://nces.ed.gov/collegenavigator/ K-12 Education Data Alabama Department of Education’s Public Data Reports Data on enrollment, high school graduates, dropouts http://www.alsde.edu/PublicDataReports/Default.aspx State of Alabama Department of Education Enrollment By System, School, Sex, and Race School Year 2011-2012 System Name 105 Anniston City 0010 Anniston High School 0015 Anniston Middle School 0025 Cob b Elementary School 0030 Constantine Elementary School 0060 Golden Springs Elementary School 0110 Randolph Park Elementary School 0130 Tenth Street Elementary School 0K 01 02 03 04 05 06 07 08 09 10 11 12 K12 PK 182 0 0 27 27 42 38 48 207 0 0 29 34 39 38 67 177 0 0 22 33 22 44 56 176 0 0 27 19 36 39 55 195 0 0 28 26 32 40 69 173 0 1 25 27 22 34 64 160 0 160 0 0 0 0 0 172 0 172 0 0 0 0 0 162 0 162 0 0 0 0 0 145 144 1 0 0 0 0 0 165 165 0 0 0 0 0 0 120 120 0 0 0 0 0 0 136 136 0 0 0 0 0 0 2,170 565 496 158 166 193 233 359 16 0 0 0 0 16 0 0 NCES Exercise Use the COLLEGENavigator tool on NCES website to answer the following questions: A. B. C. How many post-secondary institutions are within 20 miles of the zip code you live in? For the closest post-secondary institution, what was the its enrollment? For the closest post-secondary institution, what academic program/major has its largest number of graduates? Questions? Where are my region’s jobs? In this section, we will: Introduce you to the North American Industry Classification System (NAICS). Show you how to access simple industry data. Quarterly Census of Employment and Wages We need industry data to answer several relevant questions What industries employ the most people? What industries lost the most jobs? What industries are likely to create the most new employment opportunities? What industries pay the highest wages? Accessing industry data: The North American Industry Classification System (NAICS) Replaced the Standard Industrial Classification (SIC) codes Production-based: Economic units that use like processes to produce goods or services are grouped together Industries are classified according to what companies make Jointly developed across North America Economic Sectors in the North American Industry Classification System (NAICS) Agriculture, Forestry, Fishing Real Estate, Rental & Leasing Mining & Extraction Professional, Scientific & Technical Utilities Management of Companies Construction Admin., Waste & Remediation Manufacturing Education Wholesale Trade Health Care & Social Assistance Retail Trade Arts, Entertainment, & Recreation Transportation & Warehousing Accommodation & Food Information Other Services (Private) Finance & Insurance Public Administration North American Industry Classification System (NAICS) NAICS level Example #1 Example #2 NAICS code Description NAICS code Description Sector 31-33 Manufacturing 51 Information Subsector 311 Food Manufacturing 513 Broadcasting and telecommunications Industry group 3115 Dairy Product Manufacturing 5133 Telecommunications Industry 31151 Dairy Product (except Frozen) Manufacturing 51332 Wireless telecommunications carriers, except satellite U.S. Industry 311513 Cheese Manufacturing 513321 Paging Unique to country; standardization ends at 5-digit code. Quarterly Census of Employment and Wages (QCEW) QCEW are considered “universe,” not sample data Covers all employers subject to state Unemployment Insurance (UI) laws, as well as Federal employees Covers 98% of all nonfarm wage and salary workers and 45% of agricultural workers QCEW produces detailed geographic data on employment and wages. Cornerstone of most BLS programs Accessing Alabama LMI Exercise: NAICS data Look at the industry data handout, and consider: What industries are the biggest source of jobs? What industries might be the best source of new jobs? How would you describe the economy of this region? How has it performed relative to the state? What region do you think this is? The Bureau of Labor Statistics Website http://bls.gov/cew More from the BLS website http://beta.bls.gov/maps/cew/us Other BLS Sources of Information Wage information by industry at the national level is available through the Current Employment Statistics http://www.bls.gov/ces/ Earnings at the state and MSA level available through the State and Metro Area Employment, Hours, & Earnings Total private weekly and hourly earnings @ MSA and State level http://www.bls.gov/sae Need data from other states? Use the State LMI Directory www.lmiontheweb.org Other resources: Stats America: http://statsamerica.org/ Census County Business Patterns: http://www.census.gov/econ/cbp/ Questions? Pulling this all together Pulling it together Goal is to tell a story Grant proposals Data reports Marketing materials Woodworking machine setters, operators, and 17 35 26 101 Furniture Manufacturing Employment tenders, except sawing 200,000 0.0% 150,000 “Everyone is entitled to his own opinion, but not his own facts. “ ---D.P. Moynihan Develop an agreed upon set of facts/issues from which to make decisions 2010 170,060 Holland-Grand Haven, MI (4,876) Chicago-Naperville-Joliet, IL (8,787) Sewing machine operators 14 Labor Force Size and 100,000 Change in -10.0% Cabinetmakers and bench carpenters 12 Unifour 64,941 -15.0% 50,000 2002 36 9 Grand Rapids-Wyoming, MI (5,695) 84 141,690 -5.0% Number of Jobs (Top 50 Metro Areas, 2010) Los Angeles-Long Beach -Santa Ana, CA (16,963) -20.0% 0 Jasper, IN (6,017) 20 New York-Northern U.S.NJLong Island, NY-NJ-PA (10,780) 85 Unifour Annual Growth Rate 37,139 of the Furniture 27,531 Upholsterers 15 19 7 15 13,981 (2002Industry 2011) Tupelo, MS (8,974) Greensboro-High Point, NC (8,107) Hickory-Morganton-Lenoir, NC (13,981) Unifour Dallas-Fort WorthArlington, TX (10,599) Furniture & Related Product MFG -25.0% 19 Overall MFG Piedmont TriadFurniture MFG Jobs Charlotte Metro All Industries All Others in NC Source: EMSI US Furniture (2010): 359,416 14 11Employment 4 10 Cutters and*Total trimmers, hand MFG Annual New and Source: EMSI 20K 5K *Top 50 metro areas account for 53% (190,222 jobs) of Jobs Replacement total US furniture manufacturing employment for Key Furniture Occupations Source: EMSI 2011 Q2 Source: EMSI 0 50 100 150 200 Data Analysis and Research in the Planning Process Lead Analyze Prioritize Execute Consider using multiple data sources Secondary Data Primary Data Direct Business Input Industry Surveys “Real Time” Labor Market Information Short Term Economic,Workforce and Education Data Long Term Final thought The ‘make a friend’ strategy---Don’t be afraid to pick up the phone Alabama LMI Alabama State Data Center US Census Bureau, US Bureau of Labor Statistics All these agencies employ real people who are willing and able to help you Bonus final thought: Always source and date your data! Thank you! Mark C. White mwhite@crec.net Drew Conrad Andrew.conrad@uni.edu