Health Care and Social Assistance industry sector -- What does the future hold for South Dakota? Projections indicate the health care industry, thanks mostly to an aging population and longer life expectancies, will continue its strong employment growth in South Dakota's future. This growth will affect not only the Health Care and Social Assistance industry sector, but also industries outside of the sector. This analysis focuses on the subsectors within the Health Care and Social Assistance industry sector. The subsectors within this sector are all projected to show a relatively high rate of employment growth based on long-term employment projections data produced by LMIC. The projections data, which includes both industry and occupational data, is available on the Labor Market Information Center's (LMIC) website. This data is often referenced for planning future training needs related to the expected demand for workers, aiding in workforce recruiting efforts, and analyzing occupational supply/demand. This analysis also forecasts the economic impact related to the projected employment growth for the Health Care and Social Assistance sector. When industry sectors experience a significant increase or decrease in employment, the use of modeling software proves helpful in determining the related economic impact. This type of analysis identifies the primary, as well as the far reaching ripple effects of on other industries, which impact a local or regional economy. LMIC utilizes IMPLAN (economic impact analysis) software for research purposes. This software uses a model to estimate the impact of growth or expansion within industry sectors. A common use of IMPLAN is to measure the effects of an expected economic change in a regional or local economy. March 2015 Labor Market Information Center SD Department of Labor & Regulation Employment Projections for South Dakota's Health Care and Social Assistance Industry Sector 2012 to 2022 Industry 2012 Workers 2022 Workers Actual Change Percent Change Ambulatory Health Care Services 14,910 17,540 2,630 17.6% Hospitals 25,065 28,175 3,110 12.4% Nursing and Residential Care Facilities 12,900 14,465 1,565 12.1% Social Assistance 8,830 10,045 1,215 13.8% Total 61,705 70,225 8,520 13.8% South Dakota e-Labor Bulletin March 2015 1
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Health Care and Social Assistance industry sector -- What does the future hold for South Dakota?
Projections indicate the health care industry, thanks mostly to an aging population and longer life expectancies, will continue its strong employment growth in South Dakota's future. This growth will affect not only the Health Care and Social Assistance industry sector, but also industries outside of the sector.
This analysis focuses on the subsectors within the Health Care and Social Assistance industry sector. The subsectors within this sector are all projected to show a relatively high rate of employment growth based on long-term employment projections data produced by LMIC. The projections data, which includes both industry and occupational data, is available on the Labor Market Information Center's (LMIC) website. This data is often referenced for planning future training needs related to the expected demand for workers, aiding in workforce recruiting efforts, and analyzing occupational supply/demand.
This analysis also forecasts the economic impact related to the projected employment growth for the Health Care and Social Assistance sector. When industry sectors experience a significant increase or decrease inemployment, the use of modeling software proves helpful in determining the related economic impact. This type of analysis identifies the primary, as well as the far reaching ripple effects of on other industries, which impact a local or regional economy.
LMIC utilizes IMPLAN (economic impact analysis) software for research purposes. This software uses a model to estimate the impact of growth or expansion within industry sectors. A common use of IMPLAN is to measure the effects of an expected economic change in a regional or local economy.
March 2015
Labor Market Information Center SD Department of Labor & Regulation
Employment Projections forSouth Dakota's Health Care and Social Assistance Industry Sector
2012 to 2022
Industry2012
Workers2022
WorkersActual
ChangePercent Change
Ambulatory Health Care Services 14,910 17,540 2,630 17.6%
Hospitals 25,065 28,175 3,110 12.4%
Nursing and Residential Care Facilities 12,900 14,465 1,565 12.1%
Social Assistance 8,830 10,045 1,215 13.8%
Total 61,705 70,225 8,520 13.8%
South Dakota e-Labor Bulletin March 2015
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The IMPLAN model was used to forecast how this growth would impact growth in other related industries. IMPLAN aggregates industry sectors using its own unique taxonomy. LMIC crossed the North American Industrial Classification System (NAICS) industry code structure with IMPLAN's structure to accurately measure the impact. The industry sector information for this analysis is presented by the IMPLAN taxonomy.
Growth within one sector of industries branches out and impacts industries in other sectors. For example, if a hospital hires additional workers, these workers will have an impact on the local economy as they spend their income within the community for housing (real estate establishments), day care (child day care services), and restaurants (food services and drinking places), along with several other sectors.
The indirect effects of this impact are defined as "secondary impacts related to the direct impacts." This includes sectors affected as a result of additional hospital workers, but to a lesser extent than those affected directly. The impact in certain sectors may appear inherent, such as business support services, accounting and tax preparation services, legal services, postal services, insurance carriers, and radio and television broadcasting. Other sectors which generally might not be unexpected to be influenced by this growth includewarehousing and storage, spectator sport companies, cheese manufacturing, poultry processing, grain farming, and sign manufacturing. But they are indirectly affected.
The table below includes a summary of the top ten industries significantly impacted by the estimated projected growth within the Health Care and Social Assistance subsectors.
The IMPLAN model contains 432 total industry sectors. Based on projected employment in the Health Care and Social Assistance sector, indirect impacts will occur in 276 sectors. This illustrates the effects of a sector's growth reaches far beyond the boundaries of the sector itself.
Top 10 Industries Affected by Projected Employment Growth within the Health Care and Social Assistance Industry Subsectors
Note: Due to the methodology within the IMPLAN model, the percent change is the same for employment and wages, income and benefits.
South Dakota e-Labor Bulletin March 2015
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Overview of the labor market in February
Labor Supply
The number of South Dakotans who would be available to staff a new or expanding business, or SouthDakota's labor supply, was estimated at 50,875 in February 2015. Included in this labor supply are those whocurrently hold jobs (and would like to change) and those who, for a variety of reasons, do not have jobs.
South Dakota Labor SupplyFebruary 2015
Labor Force
This data is seasonally adjusted.
Preliminary estimates show the February 2015 South Dakota labor force up over the month, with the level of employed increasing by 900 (0.2 percent). The level of unemployed increased by 200 (1.3 percent).
South Dakota's February 2015 labor force of 450,300 increased compared to the February 2014 level of 447,300. The level of employed increased by 3,200 (0.7 percent); the level of unemployed decreased by 300 persons (1.9 percent).
South Dakota e-Labor Bulletin March 2015
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South Dakota Unemployment Rates by CountyNot seasonally adjusted
February 2015
Notes about labor force data
The unemployment rate represents the number of unemployed as a percent of the labor force. People are classified as unemployed if they do not have jobs, have actively looked for work in the prior four weeks and are currently available for work. People who were not working and were waiting to be recalled to jobs from which they were temporarily laid off are also included as unemployed.
Labor force estimates for South Dakota are produced by the Labor Market Information Center in cooperation with the U.S. Bureau of Labor Statistics. The concepts and definitions underlying the labor force data come from the Current Population Survey (CPS), the household survey which is the official measure of the labor force for the nation. The statewide estimate of the number of nonfarm jobs is a component of the model used to produce the labor force estimates. Other data used in this model include the number of continued unemployment insurance claims and survey data from the Current Population Survey (CPS) which is specific to the state.
Although state specific data is used in the production of the labor force estimates for South Dakota, the state monthly model estimates are controlled in "real time" to sum to national monthly labor force estimates fromthe CPS. Therefore, variation in the estimates of the employed and unemployed are somewhat controlled by what is happening nationally.
South Dakota e-Labor Bulletin March 2015
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South Dakota Nonfarm Wage & Salaried Workers by Industry
This data is not seasonally adjusted.
Over-the-month comparisons
Based on a monthly survey of South Dakota establishments where employment data is collected for the pay periods that occur during the 12th of the month, preliminary estimates show the total nonfarm wage and salaried worker level increased by 3,500 (or 0.8 percent) from January 2015 to February 2015.
There were numerous events that took place, such as the Mardi Gras Celebration, Dakota Territory Gun Collectors Association Show, Farm Show, Big Boy Toy Show, It's Your Party Bridal Show, Farm and Home Show, Counts of the Cobblestone Car Show, Ag Expo, Nemo 500 Outhouse Races and the Home Builder's Show.
Most sectors showed an increase over the month with data being unchanged. The sectors with the largest gains in workers were education and health services with an increase of 1,200 workers (1.8 percent) and leisure and hospitality with a gain of 800 workers (2.0 percent). Retail trade had a drop of 700 workers (1.4 percent).
Over-the-year comparisons
Based on a monthly survey of South Dakota establishments, preliminary estimates show total nonfarm wage and salaried workers increased by 5,000 (or 1.2 percent) from February 2014 to February 2015.
Professional and business services had an over-the-year decrease of 400 workers (1.4 percent). The February 2015 level was 29,100, compared to 29,500 in February 2014. During the time frame of January 2004 to December 2014, the industry as a whole has continued to trend upward.
Wholesale trade showed worker gains over the year with an added 1,000 workers (5.0 percent). The February 2014 level was 20,200, compared to 21,200 in February 2015. The wholesale trade industry has remained fairly stable from January 2004 to December 2014, slowly trending upward. Retail trade gained 800 workers (1.6 percent).
Manufacturing produced a gain of 1,700 workers (4.1 percent) over the year, from 41,300 in February 2014 to 43,000 in February 2015. In the last 10 years, manufacturing steadily trended upward until the recession. Manufacturing worker levels then hit a low in January 2010, but have been trending upward since.
Leisure and hospitality had a worker loss of 700 workers over the year (1.7 percent) to a level of 40,900 in February 2015. The February 2014 worker level was 41,600. This sector fluctuates due to seasonality and events during the year.
Education and health services increased over the year, from 68,100 in February 2014 to 69,700 in February 2015. The sector gained 1,600 workers (2.3 percent). This sector has continued to steadily trend upward since January 2004.
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South DakotaNonfarm Worker Levels
Not Seasonally Adjusted
IndustriesFebruary
2015January
2015February
2014
PercentChange
Last Month
LastYear
TOTAL 416,500 413,000 411,500 0.9% 1.2%
Total Private 338,100 336,000 333,300 0.6% 1.4%
Goods Producing 62,300 62,100 59,700 0.3% 4.4%
Service Providing 354,200 350,900 351,800 0.9% 0.7%
Private Service Providing 275,800 273,900 273,600 0.7% 0.8%