Florida sees Solid Job Growth in 2014
For the past four years, the January edition of the monthly Florida TaxWatch Economic Commentary has analyzed the annual Florida employment figures for the previous year. Since the first such analysis in January 2011, Florida has gained approximately 710,200 nonfarm jobs, which equates to a 9.9 percent growth. The three industries that have added most jobs from December 2010 to December 2014 were: Professional and Business Services, Leisure and Hospitality, and Retail Trade, which have experienced 15.7 percent, 15.5 percent, and 12.4 percent employment growth, respectively. 1
| Top Job Creators in the past Five Years (December 2010-December 2014) |
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| December 2010* | December 2014 | Job Gains | |
| Total Nonfarm | 7,201,000 | 7,911,200 | 710,200 |
| Professional & Business Services | 1,022,800 | 1,183,500 | 160,700 |
| Leisure and Hospitality | 944,700 | 1,091,000 | 146,300 |
| Retail Trade | 943,300 | 1,059,800 | 116,500 |
| Source: Department of Labor, Bureau of Labor Statistics *The Bureau of Labor Statistics revised several of these figures. |
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This edition of Economic Commentary focuses on the growth from December 2013 to December 2014, which has been the state’s most successful year of job creation in the past four.
All Nonfarm Industries Created Jobs In 2014
"Florida sees Solid Job Growth in 2014"
In 2014, the Florida economy experienced job growth that had not been seen in several years, as all nonfarm industries created jobs. Approximately 230,600 nonfarm jobs were created from December 2013 to December 2014 (a 3 percent increase), nearly all of which (an estimated 225,700) were in the private sector.
In addition, Florida’s preliminary December 2014 unemployment rate is estimated at 5.6 percent, which is a statistically significant decrease from December 2013 rate (6.3 percent).2 Florida’s unemployment rate currently matches the nation’s, and is lower than most southeastern states, including those of bordering Alabama and Georgia.3 Florida also experienced the third largest over-the-year job increase in the nation after only Texas and California.4
1 Figures were estimated using Bureau of Labor Statistics revised employment data from 2010.
2 Department of Labor. Bureau of Labor Statistics. “Regional and State Employment and Unemployment Summary”. January 27, 2015.
3 Georgia, Mississippi, South Carolina, Alabama, Louisiana, and Tennessee all had higher unemployment rates
4 Department of Labor. Bureau of Labor Statistics. “Regional and State Employment and Unemployment Summary”. January 27, 2015.
» NEXT PAGE: Estimated job gains by industry
The three industries that added the largest quantity of jobs in Florida were Professional and Business Services, Leisure and Hospitality, and Construction. Retail Trade, which was the highest job creator in 2013, was the fourth-largest job creator in 2014. The public sector, which in past years has seen cuts, experienced an increase in 2014 as well. The three industries that added the largest quantity of jobs in Florida were Professional and Business Services, Leisure and Hospitality, and Construction. Retail Trade, which was the highest job creator in 2013, was the fourth-largest job creator in 2014. The public sector, which in past years has seen cuts, experienced an increase in 2014 as well.
Largest 2014 Gains
A closer look at the industry with the most job creation, Professional and Business Services, shows that most of the gain is attributed to jobs in Administrative and Support, Waste Management, and Remediation, followed by jobs in Professional, Scientific and Technical Services. A significant portion of jobs in these categories offer wages above the state median wage, showing that investments made by the state have been successful in attracting employers in these categories.
| Professional and Business Services | December 2013 | December 2014 | Gain |
| Professional, Scientific and Technical Services | 475,100 | 497,600 | 22,500 |
| Management of Companies and Enterprises | 92,300 | 92,500 | 200 |
| Administrative and Support, Waste Management, Remediation | 567,000 | 593,400 | 26,400 |
Within the Leisure and Hospitality sector, a major component of the Tourism industry, most of the job creation is attributed to gain in Accommodation and Food Services jobs.
| Manufacturing | December 2013 | December 2014 | Gain |
| Durable Goods | 219,700 | 226,700 | 7,000 |
| Non-Durable Goods | 107,400 | 104,700 | (2,700) |
In the Manufacturing sector, a key contributor to Florida’s exports, there were job gains for durable goods, but non-durable goods experienced a loss of nearly 3,000 jobs.
| Total Government | December 2013 | December 2014 | Gain |
| Federal Government | 132,100 | 133,900 | 1,800 |
| State Government | 206,300 | 209,100 | 2,800 |
| Local Government | 738,300 | 738,600 | 300 |
In the government sector, the largest gains were seen at the state level, followed by the federal level. In the 2013 Florida TaxWatch analysis, both categories showed a reduction in overall jobs.5
5 Florida TaxWatch. Economic Commentary. January 2013.
6 Florida TaxWatch. 2015 Economic Preview. January 2015.
» NEXT PAGE: Conclusion, and About Florida TaxWatch
Conclusion
Overall, Florida’s economy continues to experience robust growth in all sectors. This year, for the first time in four years, Florida experienced job gains in all nonfarm categories, including the public sector. In addition, Florida’s unemployment rate has fallen to 5.6 percent, a rate not seen since 2008. Florida continues to create high-skilled, high-paying jobs, which is reflected in the gains in the Professional and Business Services sector, specifically in the Professional, Scientific and Technical fields.
Florida has indeed come a long way since the end of the Great Recession. These achievements, coupled with job creation expectations in the coming year,6 give Floridians plenty of reasons to be optimistic about the labor market in 2015.
TAXWATCH CENTER FOR COMPETITIVE FLORIDA ADVISORY BOARD
BOARD CHAIRMAN
SENATOR GEORGE LEMIEUX
Chairman of the Board, Gunster
BOARD MEMBERS
MR. JOHN B. ZUMWALT III
President, Thezumwaltcompany
Florida TaxWatch Chairman & Immediate Past Chair, CCF Advisory Board
WILLIAM E. CARLSON, JR
President, Tucker/Hall
"Florida sees Solid Job Growth in 2014"
MR. MARSHALL CRISER, III
Chancellor, State University System
Immediate Past Chairman, Florida TaxWatch
MR. DOUG DAVIDSON
Market Executive, Bank of America Merrill Lynch
MR. J. CHARLES GRAY
Chairman, GrayRobinson Law Firm
MR. JON FERRANDO
Executive VP & General Counsel, AutoNation, Inc.
GOVERNOR BOB MARTINEZ
Sr. Policy Advisor, Holland & Knight
MR. DAVE MCINTOSH
Trustee, BlueField Ranch Mitigation Bank Trust
MS. SHARON MERCHANT
President, the Merchant Strategy
MR. JAMES M. REPP
Senior VP, AvMed Health Plans
MS. MICHELLE A ROBINSON
President, SouthEast Region, Verizon
MR. DAVID A. SMITH
Former Chairman, Florida TaxWatch
MR. MICHAEL SOLE
VP for State Governmental Affairs, Florida Power & Light
Mr. NATHAN WILSON
Vice President, The Walt Disney Company
Economic Commentary written by Jennifer Linares, MS, Research Analyst.
Robert Weissert, Chief Research Officer
Chris Barry, Director of Publications
John Zumwalt, III, Chair, Florida TaxWatch
Sen. George LeMieux Chair, Center for Competitive Florida
Dominic M. Calabro, President, CEO, Publisher, and Editor
Florida TaxWatch Research Institute, Inc.
www.floridataxwatch.org
Copyright © Florida TaxWatch, December 2014