Manufacturing and Logistics Sector Department of Employment, - - PowerPoint PPT Presentation

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Manufacturing and Logistics Sector Department of Employment, - - PowerPoint PPT Presentation

Manufacturing and Logistics Sector Department of Employment, Training & Rehabilitation Bill Anderson, Chief Economist Christopher Robison, Supervising Economist Dionny McDonnell, Economist Prepared by the Research and Analysis Bureau The


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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Department of Employment, Training & Rehabilitation

Bill Anderson, Chief Economist Christopher Robison, Supervising Economist Dionny McDonnell, Economist Prepared by the Research and Analysis Bureau

Manufacturing and Logistics Sector

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Unemployment Rate at 6.4 % in June; Underlying Trends Still Remain Positive

NV vs. the U.S. unemployment rate (SA)

0% 2% 4% 6% 8% 10% 12% 14% 16% '07 '08 '09 '10 '11 '12 '13 '14 '15 '16

Nevada U.S.

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Initial Claims Down 2,000 Y-T-D During First Half of Year; At Pre-Recession Levels

initial claims for unemployment insurance

5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16

Claims 12-Month Moving Average

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Job Growth Rebounds Strongly in June; Employment Just Barely Below All-Time High

nonfarm jobs in Nevada (SA)

1,000,000 1,050,000 1,100,000 1,150,000 1,200,000 1,250,000 1,300,000 1,350,000 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Job Growth Picks up to Nearly 35K Over the Year; Second-Strongest Gain Since Last Oct.

job growth (SA; year-over-year)

0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 55,000 J A S O N D J F M A M J J A S O N D J F M A M J '14 '15 '16 percent change jobs Jobs

  • Pct. Change

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Trade, Construction, Healthcare, and PBS Lead the Way in Job Gains

YTD job growth by sector (year-over-year)

  • 2,000

2,000 4,000 6,000 8,000 10,000 Mining/Logging Other Services Manufacturing Financial Activities Leisure/Hospitality Government Professional/Business Services Education/Health Services Construction Trade/Transportation/Utilities

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Total Employment Levels Approach Peak; At Record High When Construction is Excluded

Nevada jobs with and without construction

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Nevada Job Growth Exceeds Nation in 47 Straight Months; 2.7% vs. 1.7% in June

job growth (year-over-year)

  • 12%
  • 10%
  • 8%
  • 6%
  • 4%
  • 2%

0% 2% 4% 6% '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 Nevada U.S.

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Silver State Job Growth #3 in the Nation

2015 job growth rankings (# of states with slower private sector job growth than NV)

50 46 14 2 14 24 38 49 48 10 20 30 40 50 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Job Gains Across all Size Groups; Est. With < 100 Workers add 20,000 Jobs in 2015

2014-2015 job growth by establishment size

2,000 4,000 6,000 8,000 10,000 12,000 5-9 0-4 250-499 50-99 1000+ 500-999 10-19 20-49 100-249 Job Growth Establishment Size (Employment)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Small Business Accounts for 98% of Nevada’s 77K Private Sector Worksites

number of establishments by employment size

10,000 20,000 30,000 40,000 50,000 1000+ 500-999 250-499 100-249 50-99 20-49 10-19 5-9 0-4 Establishments Establishment Size (Employment)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

The Silver State’s GDP Growth Exceeded the Nation’s in Eight of the Past Nine Quarters

gross domestic product

$112,000 $114,000 $116,000 $118,000 $120,000 $122,000 $124,000 $126,000 $128,000 $130,000

  • 3%
  • 2%
  • 1%

0% 1% 2% 3% 4% 5% IQ IIQ IIIQ IVQ IQ IIQ IIIQ IVQ IQ IIQ IIIQ IVQ 2013 2014 2015 Millions of 2009$ Year-Over-Year Growth Nevada U.S. Nevada GDP

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Manufacturing and Logistics Sector

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Employment Projection

116,000 jobs in 2016; 124,000 jobs projected by 2024

Source: Economic Modeling Specialists Intl. (EMSI) Page 13

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Largest Manufacturing Industries

2016 employment

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Regional Competitive Advantage

manufacturing industries

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Logistics and Operations Industries

2016 employment

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Regional Competitive Advantage

logistics and operations industries

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Industries vs. Occupations

Although the sector councils are designed to address employment needs in specific industries, this work can only be accomplished by examining and training individuals at the occupational level.

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Manufacturing and Logistics Occupations

2016 employment and projected growth by 2024

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Regional Competitive Advantage

manufacturing and logistics occupations

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

2016 Average Hourly Wages

Source: Economic Modeling Specialists Intl. (EMSI)

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

O-NET Occupational Skills and Attributes Reports

Source: Occupational Information Network (O-NET) Tools Skills Work Context (Environment)

Dollies Not available Face-to-face discussions Forklifts

Knowledge

Work with work group or team Hammers Not available Spend time using hands to handle, control, or feel objects Hand truck or accessories Wear common protective or safety equipment Hoists Time pressure

Technologies Abilities Work Activities

Computer aided design CAD software Static Strength Performing general physical activities Data base user interface and query software Multilimb coordination Handling and moving objects Enterprise resource planning ERP software Trunk strength Indentifying objects, actions, and events Industrial control software Control precision Controlling machines and processes Inventory management software Manual dexterity Operating vehicles, mechanized devices or equipment

O*NET Occupation Profile - Hand Laborers for Freight/Stock/Material Movers

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Manufacturing and Logistics Occupations

skills specified in online job ads

Source: Labor Insight/Burning Glass Technologies

Baseline Skills Specialized Skills Data Software Skills

Problem Solving Customer Contact Computer Aided Drafting/Design (CAD) Planning Forklift Operation C++ programming language Microsoft Office Mathematics Structured Query Language (SQL) Organizational Skills Supervisory Skills Enterprise Resource Planning (ERP) Computer Skills Inspection Microsoft Outlook Customer Service Budgeting SAP (Systems, Applications, and Products) Microsoft Excel Repair Microsoft Powerpoint Writing Scheduling Microsoft Word Physical Demand Sales Microsoft Office Communication Skills Customer Service Microsoft Excel Page 23

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

Aligning Economic and Workforce Development

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A consensus ranking of high demand

  • ccupations that align with economic

development priorities specific to manufacturing and logistics

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency  Location Quotients (LQs) are used to identify potential sources of competitive advantage, or areas of regional specialization. LQs measure the relative concentration of a given industry or

  • ccupation in a state relative to the nation.

 LQs are calculated by dividing the proportion of the state’s economic activity in an industry or in an occupation, by the proportion of the nation’s economic activity in that same industry or

  • ccupation.

 LQs of 1.2 or higher indicate some degree of specialization. LQs of 0.8 to 1.2 indicate normal distribution of industry within the region. LQs of less than 0.8 may indicate that the region may be deficient.  Limitations of on-line job postings:  Jobs requiring low skills/low wages tend to use alternative methods of attracting job seekers and are under represented in online ads.  Internal company hiring and union hiring are often not captured by online ads.  Online job posting volume does not necessarily correlate with the level of job openings or hiring.  The percentage of job postings that specify a certification is small limiting how representative the data is.  Algorithmic ad parsing can lead to miscoding occupations and skills due to similarities between abbreviations and other letter combinations, etc.

Clarifications and Limitations

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency  In online job postings Burning Glass reports licenses and certifications together.  The mean salary data in job postings reflects the salary listed by employers in job postings, adjusted to be equivalent to a full-time, annual wage. If a salary range is specified, the median

  • f the range used.

 High ad volume often occurs for occupations/industries that are having difficulty finding qualified candidates, high turnover positions/recurring openings, or when companies are building large candidate pools.  Online job postings should only be used with caution when developing/analyzing time series trends due to the constant changes in the rate of online advertising usage and in the methods used for collecting the data.

Clarifications and Limitations

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The Nevada Department of Employment, Training and Rehabilitation is a proactive workforce & rehabilitation agency

For Additional Information, Please Contact

Department of Employment, Training and Rehabilitation Research and Analysis Bureau Bill Anderson Chief Economist wdanderson@nvdetr.org Christopher Robison Supervising Economist c-robison@nvdetr.org (775) 684-0450 http://www.nevadaworkforce.com follow us on Twitter @nvlabormarket

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