Workforce and Labor Market Information

Arizona’s total nonfarm employment was 2,630,000 in 2006. The state’s main economic sectors are services, trade, and construction. The single largest economic sector is services, employing more than 1,000,000 people in 2006. Wholesale and retail trade provided 428,400 jobs. Many of these jobs are directly related to the state’s tourism industry, which is estimated to be a $12 billion addition to the state’s economy each year.

In 2006, the construction sector accounted for 242,800 jobs, or approximately 9.2 percent of the state’s employment, a substantial increase over the past few years.

The manufacturing sector, also very important to Arizona’s economy, accounted for 183,100 jobs or 7.0 percent of the state’s employment in 2006. Arizona is one of the few states to experience increasing manufacturing employment.

2006 Arizona Nonfarm Employment Structure
	% of total	# of jobs
Trade, Transportation and Utilities	19.6%	509,300
Government	15.6%	410,400
Professional and Business Services	15.1%	397,200
Education and Health Services	10.9%	285,900
Leisure and Hospitality	10.2%	268,500
Construction	9.2%	242,800
Manufacturing	7.0%	183,100
Financial Activities	6.9%	181,200
Other Services	3.7%	97,000
Information	1.7%	44,000
Natural Resources and Mining	.4%	10,500
Source: AZ Dept of Economic Security, Research Administration (Benchmark year 2005, qtr 1) Totals may not add due to rounding to nearest hundred

Arizona Job Growth
Arizona ranked thirteenth in the nation in non-farm job growth, based on percent change October 2007 over October 2006 (+1.66%) (Table 1). The national average was 1.18% change. Among states in the West, Arizona is expected to generate the fourth highest rate of job growth, 2.9%, according to the Western Blue Chip Economic Forecast (Table 2).

Table 1

Arizona’s Top Growth Sectors
October 2007 over October 2006
Sector	AZ % Change	U.S. % Change	AZ Rank (based on % growth change)
TOTAL NON-FARM	1.66	1.18	13

Construction & Mining	-6.42	-0.96	49
Professional & Business Services	4.02	1.97	10
Goods Producing	-4.11	-1.28	48
Leisure/Hospitality	4.78	3.22	2
Financial Activities	-0.16	0.42	39
Educational & Health Services	3.11	3.22	12
Trade	3.44	0.74	4
Service Providing	2.83	1.66	4
Manufacturing	-0.85	-1.48	17
Transportation, Warehousing & Utilities	0.12	1.07	38
Government	1.60	1.07	11
Information	-3.17	1.12	49
Source: Blue Chip Job Growth Update (October 2007)

Table 2

Projected Job Growth for 2008

Annual Percent Change, 2008 from 2007

Nevada
3.6%

Utah

3.4%

Wyoming

3.0%

Arizona

2.9%

Montana

2.5%

Idaho

2.4%

Washington

2.0%

Texas

1.9%

Colorado

1.8%

New Mexico

1.6%

Oregon

1.5%

California

1.1%

Source: Western Blue Chip Economic Forcast (December 2007)

See also Subjects A-Z, Workforce and Labor Market Information