Texas Workforce: Texas Workforce Commission's Labor Market & Career Information
Texas Workforce: Texas Workforce Commission's Labor Market & Career Information
Workforce
Report
2019 to 2020
Texas Workforce Commission’s
Labor Market & Career Information
I. Introduction
The 2019 Texas Annual Economic Report provides a detailed analysis of the state’s
demographics, labor market, job market, and occupational employment trends.
The Labor Market and Career Information Department of the Texas Workforce
Commission (TWC) has produced this report to fulfill its commitment to providing
the past year’s statistical information to the Employment and Training
Administration (ETA).
1
II. Executive Summary – State of the
Workforce
Texas was not alone as it faced the worldwide pandemic known as Coronavirus. The
unprecedented scope of the virus and measures taken to curb its spread caused
precipitous declines in economic output and employment. Still, the Texas economy
was in good shape going into the nationwide efforts to slow the spread of COVID-
19. Texas had positive monthly growth for 31 consecutive periods, adding 42,900
jobs in February 2020. Annually, employment improved year-over-year for 119
consecutive months, while the unemployment rate reached and remained at historic
lows for much of 2019 and early 2020.
All industries were initially affected by job losses in either March or April 2020, with
all but Mining and Logging bouncing back on a monthly basis almost immediately
afterwards in May as state and local leaders, public health officials, as well as
business owners collaborated to safely reopen the Texas economy.
In June 2020, hopes of a rebound continued as the unemployment rate fell to 8.0
percent, four months after a series high 13.5 percent in April. Total Nonfarm
employment grew by a combined 482,600 jobs over May and June after a joint loss
of 1.4 million was recorded in March and April.
The long-term outlook for Texas economy remains bright however, as employment
is expected to grow by 1.7 million jobs by 2028. This positive outlook assumes the
continued training and availability of a workforce highly skilled in the ever-evolving
technologies growing more present in the global marketplace. Of the 1.7 million
new jobs added by 2028, just over 40 percent will require some form of
postsecondary education and training.
2
III. Demographics
General population trends
Between 2018 and 2019, the Texas population grew at a faster rate than the
national population, increasing by 1.3 percent as compared to 0.5 percent,
respectively. Texas ranked fifth in percentage growth over the year and increased
its population more than any other state, adding 367,215 people as noted in the
table below.
Table 1: Population Growth in Top Five States and the U.S., 2018 to
2019
Data Source: U.S. Census Bureau, Annual Estimates of Resident Population, July 1,
2018 to July 1, 2019
3
Figure 1 shows the historical population trends in Texas since 1990. The U.S.
Census Bureau estimates Texas population at 28,995,881 persons in 2019. That
represents an increase of 4.2 million persons or 16.9 percent over the last decade.
29,000,000
27,000,000
25,000,000
23,000,000
21,000,000
19,000,000
17,000,000
15,000,000
1990 2000 2010
4
Population growth among metropolitan areas in Texas continues to increase.
According to the Census Bureau, Texas metro areas held the first, third, and fifth
rankings in actual growth among Metropolitan Statistical Areas in the United States
and Puerto Rico from July 1, 2018 to July 1, 2019. The Dallas-Fort Worth-Arlington
MSA added the most people of any MSA nationally from 2018 to 2019. The
Houston-The Woodlands-Sugar Land and Austin Round-Rock MSAs ranked third and
fifth, respectively for number of people added from 2018 to 2019, with Austin
ranking sixth nationally in percentage growth from 2018 to 2019. All six of Texas’
largest metropolitan areas experienced growth over the year as shown in Figure 2.
The figure below also contains percentages of population with a high school diploma
or higher and a bachelor’s degree or higher for the largest MSAs. Educational
attainment is closely watched since it is highly correlated with high-wage jobs.
5
Minority Business Ownership
As Texas becomes more diverse, so do our businesses. According to the US Census
Bureau’s 2017 American Business Survey, 51,915 Texas firms are Hispanic-owned,
with a payroll of $18.7 billion and 617,271 employees. In 2017, 9,343 Texas firms
are owned by non-Hispanic African-Americans, with a payroll of $3.2 billion and
120,154 employees. According to the 2012 Census Bureau Survey of Business
Owners, 48,596 Texas firms were Hispanic-owned, with a payroll of $15.3 billion
and 546,523 employees. In 2012, 9,042 Texas firms were owned by non-Hispanic
African-Americans with a payroll of $2.1 billion and 88,175 employees.
800,000
700,000
600,000
500,000
400,000
300,000
200,000
100,000
0
2012 2017
6
County Population Growth
Population growth rates varied considerably across counties from 2018 to 2019,
ranging from a low of -7.6 percent in Kenedy to a high of 14.2 percent in Loving
County as shown in Figure 4 below. Twenty-two counties had a population growth
rate of 3.0 percent or higher. From 2018 to 2019, 160 counties experienced
positive population growth rates over the month, while 89 counties experienced a
negative growth rate and 5 experienced no change. The top ten counties that
experienced the most population growth were also located within Metropolitan
Statistical Areas. This suggests that in Texas, metropolitan areas continue to be a
target for population growth.
7
Figure 4: Annual Population Growth Rates for Counties in Texas,
2018-2019
Data Sources: U.S. Census Bureau, Annual Estimates of Resident Population for
Counties in Texas, July 1, 2018 to July 1, 2019
8
IV. Local Area Unemployment Statistics
Unemployment & Labor Force Participation Rates
Due to the impact of the novel coronavirus (COVID-19), labor forces across the
United States and the world have been heavily impacted by government mandated
closures of many industries, causing both labor force participation rates to drop and
unemployment rates to rise to unprecedented levels. Since peaking during April
2020 (at 13.5 percent), the unemployment rate for Texas has dropped
considerably. Texas, for a variety of economic and demographic reasons, has
weathered COVID-19 better thus far than many other states. More recently, the
unemployment rate in June 2020 dropped to 8.4 percent, considerably lower than
that of the United States as is shown in Figure 5.
12.0%
10.0%
8.0%
6.0%
4.0%
2.0%
0.0%
Jun‐11 Jun‐12 Jun‐13 Jun‐14 Jun‐15 Jun‐16 Jun‐17 Jun‐18 Jun‐19 Jun‐20
Texas United States
Data Source: Local Area Unemployment Statistics
9
Figure 6 shows LFPR for both Texas and the United States since 1978. In June
2020, 61.9 percent of Texas’ civilian non-institutional population participated in the
labor force. The United States had a 61.5 percent participation rate during the
same period. As can be seen in figure 6, participation rates have been declining
over time for both Texas and the United States. This decline can be attributed to a
variety of factors including: an aging population, an increase in disability, and an
increase in young people delaying work to pursue higher education.
72.0%
70.0%
68.0%
66.0%
64.0%
62.0%
60.0%
58.0%
56.0%
54.0%
52.0%
Texas United States
10
Educational Attainment
Figure 7 displays the average LFPR by educational attainment as of June 2019 and
2020. A clear trend is displayed, showing that those with more education have a
higher likelihood of participating in the labor force. The fact that the estimates do
not change severely from year to year indicates they accurately depict the behavior
of the state’s population.
40.0%
30.0%
20.0%
10.0%
0.0%
Less than a High school High school graduates, no Some college or associate Bachelor's degree and
diploma college 1 degree higher 2
2019 2020
Data Source: Local Area Unemployment Statistics & Current Population Survey,
12-month rolling average July 2019 to June 2020 (Based on CPS)
11
Table 2 lists the June 2020 LFPR, Employment to Population Ratio (EP), and
Unemployment Rate (U Rate), including a comparison to what the estimate was a
year ago. The table shows those with more education have a higher tendency both
of participating in the labor force and being employed. Those with some college or
an associate degree have an unemployment rate of less than six percent, while the
unemployment rate of those with less than a high school diploma is higher.
Data Source: Local Area Unemployment Statistics & Current Population Survey,
12-month rolling average July 2019 to June 2020 (Based on CPS)
12
Veterans
Figure 8 compares unemployment rates for veterans and nonveterans, including the
rates for veterans of Gulf War I and II. The comparison shows that over the last
two years veterans in Texas have largely had a lower unemployment rate than that
of nonveterans. There is also a notable contrast between the unemployment rate
for Gulf War I veterans when compared to the more recent war in the gulf. A likely
cause is the longer time frame that Gulf War I veterans have had to work and gain
experience, when compared to that of their Gulf War II counterparts.
6.0% 5.7%
5.5%
5.0% 4.8%
4.3%
4.0% 3.6%
3.4% 3.5%
3.0%
3.0%
2.4% 2.3%
2.0%
1.0%
0.0%
Veterans Gulf War era I and Gulf War I era Gulf War II era Nonveterans
II veterans veterans veterans
2019 2020
Data Source: Local Area Unemployment Statistics & Current Population Survey,
12-month rolling average July 2019 to June 2020 (Based on CPS)
13
Age Groups
Unemployment rates in Texas vary noticeably by age group. Figure 9 below shows
higher unemployment rates among younger age groups. A significant decrease is
experienced by those age 25 or above, with all these age groups having a rate of
5.7 percent or below.
18.0% 17.0%
16.0%
14.0%
12.0%
9.7%
10.0%
8.0%
5.7%
6.0% 4.6%
4.0% 4.1% 4.3%
4.0%
2.0%
0.0%
Age 16‐19 Age 20‐24 Age 25‐34 Age 35‐44 Age 45‐54 Age 55‐64 Age 65+
Data Source: Local Area Unemployment Statistics & Current Population Survey,
12-month rolling average July 2019 to June 2020 (Based on CPS)
14
Figure 10 lists the LFPR for all available age groups 16 and above. LFPRs are on the
lower ends for both the younger and older age ranges. This is to be expected, as
those on the lower end of the age spectrum often forgo working to pursue
education, and those on the upper end have a higher likelihood of being retired.
The age ranges from 25 to 54 have the highest LFPRs, all of which are at or above
81 percent.
90.0%
81.0% 81.0% 81.5%
80.0%
68.4%
70.0% 65.0%
Age 16‐19
60.0% Age 20‐24
50.0% Age 25‐34
40.0% Age 35‐44
28.6% Age 45‐54
30.0%
21.4% Age 55‐64
20.0% Age 65+
10.0%
0.0%
Age Group
Data Source: Local Area Unemployment Statistics & Current Population Survey,
12-month rolling average July 2019 to June 2020 (Based on CPS)
15
Gender
Figure 11 illustrates the unemployment rates for Males and Females age 16 and up
for 2019 and 2020 in Texas. Over this two-year period, males tended to have a
lower unemployment rate than females.
7.0%
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
0.0%
Male Female
2019 2020
Data Source: Local Area Unemployment Statistics & Current Population Survey,
12-month rolling average July 2019 to June 2020 (Based on CPS)
16
V. Current Employment Statistics
Statewide Payroll Employment
Texas Total Nonagricultural Employment grew 1.9 percent from June 2015 to June
2020. This growth rate exceeded that of the whole United States, which contracted
by 2.7 percent over five years. However, employment in both areas declined
considerably beginning in March 2020 when the economy reflected changes due to
COVID-19 and efforts to slow its spread. Financial Activities led all major industries
in Texas with 11.6 percent growth over the five-year period. Texas’ five-year Mining
and Logging employment declined by 29.8 percent, which was highly responsive to
price shocks in West Texas Intermediate crude over this time frame. The latest of
which occurred in 2020 as a result of price wars outside the United States and the
worldwide outbreak of COVID-19. The industry has experienced negative annual
growth since August 2019. Four other major industries in Texas contracted over
five years, all of which had enjoyed relatively long periods of annual growth prior to
when COVID-19 impacts were being felt by economies across the state and nation.
Private Sector employment expanded at 2.3 percent over five years.
17
The Mining and Logging and Construction industries each comprise a larger share of
Texas employment than they do at the national level. Combined, the two industries
account for 7.7 percent of Texas employment, while accounting for 5.7 percent of
all jobs at the national level. Texas has a lower share of Education and Health
Services jobs compared to the United States (13.8 percent to 16.5 percent). From
June 2015 to June 2020, the Financial Activities industry in Texas grew 11.6
percent, the highest five-year growth rate among major industries. Mining and
Logging declined over a five-year period at both the state (-29.8 percent) and
national (-23.0 percent) levels.
18
Statewide Payroll Employment Growth, the Price
of Oil, and COVID-19
Two major adversities confronted the Mining and Logging industry in Texas
beginning early in 2020. Figure 12 below shows the last five years of growth and
decline for West Texas Intermediate (WTI) crude oil prices compared to Mining and
Logging and Total Nonfarm annual employment growth rates. WTI fluctuated
sporadically, while and Mining and Logging employment followed going into 2020.
Then March 2020 saw the beginning of the oil price war between Russia and Saudi
Arabia, precipitating a sharp drop in WTI. Shortly thereafter the world became
gripped by COVID-19, drastically decreasing the demand for travel, and thereby
fuel. This naturally led to sharp declines in production in the Texas’ Mining and
Logging industry which affected employment in the industry and contributed to an
overall decline in the state. As of June 2020, Total Nonfarm employment and WTI
have shown some improvement. WTI was approaching $40 a barrel after bottoming
out in April at an average of $16.55 per barrel. Texas’ annual growth rate improved
in June to -5.3 percent after dipping to -8.8 percent in April. But Mining and
Logging has continued to decline with no monthly improvement.
15% $80
10% $70
5%
$60
0%
$50
‐5%
$40
‐10%
$30
‐15%
$20
‐20%
‐25% $10
‐30% $0
19
Payroll Employment Growth in Largest Metro
Areas
Houston-The Woodlands-Sugarland MSA
For the first time since the series began in 1990, the Houston-The Woodlands-
Sugar Land MSA, reported in 2020 that its employment declined over a five-year
period. As of June, the MSA remains in negative territory at -0.8 percent
employment change over five years. From June 2015 to June 2020 the Mining and
Logging industry contracted more than any other industry, with an employment
change of -38.4 percent. Six of the 11 major industries in the Houston MSA
contracted over that period. Some of the industries that managed to maintain
positive growth over five-years were Education and Health Services (32,900 jobs
added) and Professional and Business Services (25,600 added).
Leisure and Hospitality contracted by 7.3 percent from June 2015 to June 2020.
Prior to COVID-19, the industry reported positive growth year-over-year for 115
consecutive months.
10%
5%
0%
‐5%
‐10%
‐15%
‐20%
‐25%
‐30%
‐35%
‐40%
Total Nonfarm Employment Education and Health Services
Professional and Business Services Leisure and Hospitality
20
Austin-Round Rock MSA
The Austin-Round Rock MSA had the highest five-year growth rate among Texas'
four largest MSAs, though at 10.0 percent it declined by more than half since June
2019. Eight of the MSA's 10 major industries maintained positive five-year growth.
Big contributors included employers in Professional and Business Services (35,600
added), Financial Activities (19,900 jobs added), Trade, Transportation, and Utilities
(18,500 added), and Mining, Logging and Construction (18,000 added).
Leisure and Hospitality contracted by 11.1 percent over five years. Prior to COVID-
19, the industry posted positive annual growth for 123 consecutive months ending
February 2020.
15%
10%
5%
0%
‐5%
‐10%
‐15%
Austin Total Nonfarm Financial Activities
Mining and Logging and Construction Professional and Business Services
21
Dallas-Fort Worth-Arlington MSA
The Dallas-Fort Worth-Arlington MSA added 228,200 jobs from June 2015 through
June 2020 with seven of 10 major industries growing during this time span. In
percentage terms, the Financial Activities industry led with an employment gain of
19.9 percent or 54,600 jobs. Mining, Logging, and Construction employment
expanded by 14.4 percent adding 28,900 positions, while Professional and Business
Services grew at 12.1 percent with 67,800 positions added.
8%
6%
4%
2%
0%
‐2%
‐4%
‐6%
‐8%
‐10%
Total Nonfarm Employment Financial Activities
Mining, Logging, and Construction Professional and Business Services
22
Leisure and Hospitality contracted by 7.2 percent from June 2015 to June 2020.
Prior to COVID-19, the five-year average annual change for June was an increase of
12,200 jobs compared to a loss of 71,100 jobs in 2020. Figure 16 measures over-
the-month employment changes for Leisure and Hospitality in the MSA going back
to 2015.
100,000
50,000
‐50,000
‐100,000
‐150,000
‐200,000
23
San Antonio-New Braunfels MSA
The San Antonio-New Braunfels MSA dipped into negative five-year employment
change in April 2020, but immediately returned to positive five-year growth the
following month. From June 2015 to June 2020 the MSA added 42,700 jobs.
Construction, Financial Activities, and Professional and Business Services expanded
at the fastest percentage rates. Construction added 7,100 jobs over five years,
Financial Activities 7,400, and Professional and Business Services added 10,800.
Trade, Transportation, and Utilities also added over 10,000 jobs from June 2015 to
June 2020.
10%
8%
6%
4%
2%
0%
‐2%
‐4%
‐6%
‐8%
‐10%
Total Nonfarm Employment Construction
Financial Activities Professional and Business Services
24
Leisure and Hospitality contracted by 600 jobs over five years. The average year-
to-date employment gain in this industry from 2015 to 2019 was 14,400 jobs. In
2020, the industry lost 9,900 jobs since January. Figure 18 measures year-to-date
employment changes for Leisure and Hospitality in the MSA going back to 2015.
20,000
10,000
0
‐10,000
‐20,000
‐30,000
‐40,000
‐50,000
‐60,000
‐70,000
25
VI. Quarterly Census of Employment and
Wages
Industry Composition
The predominant industry across Texas is Health Care and Social Assistance. It is
the largest industry in 21 of 28 Workforce Development Areas in the state, as
shown in Figure 19. The industry increased by slightly over 40,000 jobs from the
first quarter of 2019 to the first quarter of 2020. Generally, this industry has shown
to be resilient in Texas during slower economic times, because the population
includes aging residents, including retirees. However, claims filed indicate that this
industry was heavily affected by layoffs related to elective procedures as the state
battled COVID-19. At the time of this writing, second quarter data was not available
to determine the scope of job loss. With that being stated, the population of Texas
continues to increase, with Health Care displaying long-term employment growth
through early 2020.
Manufacturing continues to dominate the Panhandle and South East Texas WDAs.
Often very closely connected with the Oil and Gas industry, Manufacturing still
picked up an additional 6,000 jobs over the year from first quarter 2019 to first
quarter 2020. The Retail Trade industry dominates North Central Texas and Rural
Capital workforce development areas, each of which surround large metro urban
counties. The industry has changed considerably over the last two years as Retail
shifts from brick and mortar stores to online retail, but the industry was down
overall losing 1,000 jobs from first quarter 2019 to first quarter 2020. Because of
Texas A&M University, Educational Services continues to dominate the Brazos
Valley Workforce Development Area. Finally, Professional and Technical Services
continues to dominate the Capital Area driven by Computer Systems Design and
Related Services, attracting more and more tech companies over the last few years.
With substantial job numbers in metropolitan areas in Texas, Professional,
Scientific, and Technical Services showed a job gain of slightly over 38,000 jobs
from first quarter 2019 quarter to first quarter 2020.
26
Figure 19: Top Industry by Employment, 1990 to 2019
27
Total Wages
The Quarterly Census of Employment and Wages (QCEW) provides insight into
wages paid by industry as well as ownership type that identifies public and private
employers. From second quarter 2019 to first quarter 2020, 13.7 percent of all
wages in Texas were paid to government employees while 86.3 percent of wages
were paid to private sector employees. The nation, on the other hand, paid a
slightly larger share of wages to government employees: 14.7 percent vs. 85.3
percent to private.
In the private sector, the highest percentage of Texas wages in the year ending
with first quarter 2020 were paid to Professional and Business Services (18.4
percent), followed by Trade, Transportation, and Utilities (18.0 percent), Education
and Health Services (11.1 percent), Manufacturing (9.5 percent) and Financial
Activities (9.0 percent). Furthermore, the two private industries of Trade,
Transportation and Utilities and Natural Resources and Mining paid a significantly
higher percent of wages in Texas than nationwide (18.0 percent and 4.6 percent for
the respective industries in Texas vs. 15.4 percent and 1.3 percent in the United
States).
28
Table 5: Total Wages by Major Industry, Second Quarter 2019 to
First Quarter 2020
Industry Texas Total Wages Texas Total U.S. Total
Wages % Wages %
Share Share
Total, All Industries $720,784,144,187 100% 100%
Government $99,616,357,198 13.7% 14.7%
Federal $16,040,984,707 2.2% 2.7%
State $21,666,143,628 3.0% 3.3%
Local $61,909,228,863 8.5% 8.6%
Total Private $621,167,786,989 86.3% 85.3%
Natural Resources and $34,354,081,622 4.6% 1.3%
Mining
Construction $49,324,869,392 6.9% 5.5%
Manufacturing $69,197,061,600 9.5% 10.1%
Trade, Transportation $130,843,393,689 18.0% 15.4%
and Utilities
Information $18,024,524,475 2.5% 3.9%
Financial Activities $63,965,031,086 9.0% 9.4%
Professional and $131,554,377,263 18.4% 19.0%
Business Services
Education and Health $79,824,839,194 11.1% 13.7%
Services
Leisure and Hospitality $30,049,492,967 4.2% 4.7%
Other Services $13,369,266,884 1.9% 2.1%
Unclassified $660,837,480 0.1% 0.1%
29
Average Weekly Wages
Table 6 compares the average weekly wages by major industry in Texas and the
United States. Texas’ private sector weekly earnings in several industries are above
the national average, while others are below over the year ending in First Quarter
2020. For example, in the Information and Financial Services industries, Texas
workers receive 22.5 percent and 10.5 percent less than employees of the same
industries nationwide on average. It is important to note here though that Texas
has no state income tax and the wages from the QCEW are pre-tax.
In all private sector industries, the wages in Texas were $50 or 4.4 percent higher
than those nationwide. The wage gap was particularly significant in Natural
Resources and Mining, where Texas’ employees earned 90.5 percent more than
their national counterparts ($2,265 versus $1,189).
The Projections program examines more than 800 occupations, segmenting them
for specific industries. Employment in Texas is projected to grow by 12.7 percent
from 2018 to 2028, which represents approximately 1.7 million jobs. On an annual
basis, Texas is projected to have about 1.8 million job openings due to exits from
the labor force, transfers from occupations, and growth. In this section, we will
examine more closely projected growth in key industries and in-demand
occupations in Texas over the 10-year period.
31
Health Care and Social Assistance
The Health Care and Social Assistance industry grew to 1,721,630 positions in First
Quarter 2020. Even with COVID-19, the industry has shown strong economic
performance in Texas. According to not seasonally adjusted Current Employment
Statistics data, industry employment in June 2020 is 80,800 jobs above where it
was in June 2015. In the current year, industry employment is 50,500 below where
it was in June 2019, but as the economy reopens and more elective medical
procedures occur, employment in the industry is expected to rebound. According to
long-term industry projections, Health Care and Social Assistance employment is
expected to grow to approximately 1,898,313 jobs by 2028, with 20.8 percent
projected from growth 2018 to 2028.
Ambulatory Health Care Services, which consists of doctors’ and dentists’ offices,
outpatient care centers and medical and diagnostic laboratories, comprises about
45 percent of employment in the Health Care and Social Assistance industry.
Employment in this subset of health care and social assistance has increased by
64,200 jobs from June 2015 to June 2020. During the past year, employment
decreased by 9,700 from June 2019 to June 2020.
Employment in Health Care and Social Assistance increased by 5.8 percent from
June 2015 to June 2020, while Ambulatory Health Care employment increased by
9.4 percent during the same five-year period.
Data from The Conference Board’s Help Wanted OnLine database continues to show
strong demand for nursing. Registered Nurses ranks sixth among occupations in the
HWOL database for June 2020 with 4,756 postings although in June 2019 this
occupation ranked first with 6,417 job postings.
32
Table 7: Health Care and Social Assistance Industry Long-Term
Occupational Projections
Occupational Title Employment Employment Change % Mean
2018 2028 Growth Annual
Wage
2019
Registered Nurses 185,291 217,668 32,377 17.5 $74,338
Dental Assistants 28,563 39,302 10,739 37.6 $38,682
Licensed Practical 62,952 69,583 6,631 10.5 $47,434
and Licensed
Vocational Nurses
Medical and Health 25,466 31,047 5,581 21.9 $104,303
Services Managers
Dental Hygienists 12,670 17,459 4,789 37.8 $76,791*
Physicians and 19,197 22,935 3,738 19.5 $216,701*
Surgeons, All Other
Nurse Practitioners 10,567 14,290 3,723 35.2 $116,842
Speech-Language 8,884 12,299 3,415 38.4 $78,518
Pathologists
Respiratory 10,951 14,164 3,213 29.3 $60,456
Therapists
Dentists, General 7,817 10,739 2,922 37.4 $186,246
Ranked by employment change for occupations with mean wages higher than
Texas median annual wage of $38,013
33
Educational Services
Demand for Educational Services will continue to grow in Texas due to an ever-
expanding population. From 2010 to 2019, Texas added 3,753,910 people—more
than any other state in the nation. According to the U.S. Census Bureau’s American
Community Survey, school enrollment for the Texas population three years of age
and over increased by 537,800 from 2010 to 2018, a 7.5 percent increase.
QCEW data shows Educational Services employment added 99,303 jobs over five
years beginning first quarter 2015, an 8.6 percent gain that puts industry
employment at 1,259,679 jobs for First Quarter 2020. The industry is expected to
expand by another 10.2 percent from 2018 to 2028 according to TWC’s long-term
industry projections. The Conference Board’s Help Wanted OnLine job posting data
shows 15.2 percent growth in job postings from 2019 to 2020, demonstrating
continuing demand for labor in this industry.
34
Table 8: Educational Services Industry Long-Term Occupational
Projections
Occupational Title Employment Employment Change % Mean
2018 2028 Growth Annual
Wage
2019
Secondary School 107,782 119,583 11,801 10.9 $58,017
Teachers, Except
Special and
Career/Technical
Education
Self-Enrichment 9,179 13,545 4,366 47.6 $46,809
Education Teachers
Coaches and Scouts 10,912 14,669 3,757 34.4 $50,930
Health Specialties 13,185 16,465 3,280 24.9 $145,421
Teachers,
Postsecondary
Education 27,574 30,739 3,165 11.5 $86,356
Administrators,
Elementary and
Secondary School
Educational, 22,523 25,371 2,848 12.6 $60,895
Guidance, School, and
Vocational
Counselors
Instructional 12,785 14,332 1,547 12.1 $66,241
Coordinators
Preschool Teachers, 9,132 10,492 1,360 14.9 $52,804
Except Special
Education
Business Operations 12,041 13,130 1,089 9.0 $69,035
Specialists, All Other
Vocational Education 9,458 10,543 1,085 11.5 $57,759
Teachers,
Postsecondary
Ranked by employment change for occupations with mean wages higher than
Texas median annual wage of $38,013
35
Retail Trade
Retail Trade is a large and changing industry. Texas’ expanding economy and
population have increased demand for retail goods.
Not seasonally adjusted Current Employment Statistics data for June 2020 indicates
the industry represents 10.4 percent of Total Nonfarm employment in Texas at
1,264,500 jobs. According to industry projections, Retail Trade will add nearly
122,777 jobs by 2028, growing to 1,450,882 jobs total. COVID-19 sent the industry
into negative five-year change starting in April 2020 after a long period of
expansion. From June 2015 to June 2020, the industry saw a change rate of -2.4
percent. Technological advances like personalized shopper experiences and online
ordering capabilities were already changing the industry when COVID-19 hit.
Retail Trade occupations projected to add the most jobs in the long term that pay a
wage above the state median are listed below. For this Texas industry, the median
wage is $26,288 while the state median wage for all industries is $38,013.
36
Table 9: Retail Trade Industry Long-Term Occupational Projections
Ranked by employment change for occupations with mean wages higher than
Texas median wage of $38,013
37
Construction
The construction industry is projected to grow by 16.1 percent from 2018 to 2028,
creating the need for 118,909 more workers over 10 years. Occupational
projections also indicate that some of the highest demand will be for construction
laborers, supervisors of construction and extraction workers, followed by specialty
trade workers to fill positions such as plumbers, electricians, and carpenters.
According to first quarter 2020 Quarterly Census of Employment and Wages report,
employment with the Construction industry reached 802,876 workers and has
grown 2.0 percent over the last year. Demand for construction workers continues to
rise. The average price of a home in Texas was $289,801 in 2019, an annual
increase of $8,510 over the 2018 average price according to Texas A&M’s Real
Estate Center. For the month of July 2020, the housing inventory is the lowest (2.8
months) in the series that dates back to 1990 published by Teas A&M Real Estate
Center. This indicates a high demand for and a shortage of residential housing in
Texas. The year-over-year average home price has increased consistently since
2012 as reported by the Real Estate Center at Texas A&M University. These trends
indicate strong demand for residential building projects.
Construction occupations projected to add the most jobs long-term and pay above
the Texas median wage of $38,013 are listed below in Table 10.
38
Table 10: Construction Industry Long-Term Occupational Projections
Ranked by employment change for occupations with mean wages higher than
Texas median wage of $38,013
39
Professional, Scientific, and Technical Services
From 2018 to 2028, the Professional, Scientific, and Technical Services industry is
projected to grow by 23.6 percent, resulting in 184,615 jobs added. Establishments
in this industry employ workers in many different occupations. Software
Developers, Applications are projected to be the most in-demand through 2028
with an estimated employment of 42,808 jobs. Projections indicate other highly
skilled jobs will be for Accountants and Auditors and General and Operations
Managers.
40
Table 11: Professional, Scientific, & Technical Services Industry
Long-Term Occupational Projections
Occupational Title Employment Employment Change % Mean
2018 2028 Growth Annual
Wage
2019
Software 30,459 42,808 12,349 40.5 $105,358*
Developers,
Applications
Accountants and 42,448 54,243 11,795 27.8 $80,804
Auditors
General and 22,539 29,725 7,186 31.9 $149,562
Operations
Managers
Sales 18,938 24,922 5,984 31.6 $70,588*
Representatives,
Services, All Other
Lawyers 28,739 34,607 5,868 20.4 $148,253
Computer Systems 20,014 25,802 5,788 28.9 $105,891*
Analysts
Management 12,724 18,381 5,657 44.5 $97,938
Analysts
Paralegals and 19,429 24,806 5,377 27.7 $53,069
Legal Assistants
Computer User 18,138 23,410 5,272 29.1 $54,502*
Support Specialists
Office Clerks, 33,591 37,999 4,408 13.1 $39,041
General
Data Source: Texas Statewide Projections 2018 to 2028
Ranked by employment change for occupations with mean wages higher than
Texas median annual wage of $38,013
41
Transportation and Warehousing
According to long term industry projections, Transportation and Warehousing
employment is expected to grow to approximately 615,744 positions by 2028. From
2018 to 2028 the Transportation and Warehousing industry is projected to grow by
11.9 percent resulting in 65,277 jobs added. Heavy and Tractor-Trailer Truck
Drivers are expected to be the most in-demand through 2028 with an estimated
employment of 120,894 jobs. Light Truck or Delivery Services Drivers is projected
to hit an estimated employment of 27,169 jobs by 2028.
Transportation and Warehousing occupations projected to add the most jobs in the
long term pay a wage above the state median are listed in Table 12.
42
Table 12: Transportation and Warehousing
Industry Long-Term Occupational Projections
Occupational Title Employment Employment Change % Mean
2018 2028 Growth Annual
Wage
2019
Heavy and Tractor- 102,488 120,894 18,406 17.9 $47,145
Trailer Truck Drivers
Light Truck or 23,336 27,169 16.4
Delivery Services 3,833 $50,717
Drivers
First-line Supervisors 13,614 15,638 2,024 14.8 $60,329*
of Transportation and
Material Moving
Workers, Except
Aircraft Cargo
Handling Supervisors
Flight Attendants 15,468 17,230 1,762 11.4 N/A**
Bus and Truck 7,982 9,258 1,276 15.9 $49,740
Mechanics and Diesel
Engine Specialists
General and 6,536 7,676 1,140 17.4 $117,295
Operations Managers
Aircraft Mechanics 10,654 11,612 958 8.9 $73,038
and Service
Technicians
Sales 5,523 6,416 893 16.2 $63,958*
Representatives,
Services, All Other
Dispatchers, Except 8,788 9,677 889 10.1 $43,675
Police, Fire, and
Ambulance
Reservation and 12,605 13,452 847 6.7 $51,943
Transportation Ticket
Agents and Travel
Clerks
Data Source: Texas Statewide Projections 2018 to 2028
Ranked by employment change for occupations with mean wages higher than
Texas median annual wage of $38,013
43
Manufacturing
According to the Federal Reserve Bank of Dallas, in 2019 Texas produced 10.4
percent of the total manufactured goods in the United States as cited in the August
edition of Your Texas Economy. According to the Federal Reserve Bank of Dallas
monthly Manufacturing survey, “Texas factory activity expanded in August for the
third consecutive month following a record contraction in the spring after the onset
of the COVID-19 pandemic, according to business executives responding to the
Texas Manufacturing Outlook Survey. The production index, a key measure of state
manufacturing conditions, came in at 13.1, down slightly from July but still
indicative of moderate growth.” In 2018, Texas Manufacturing produced 12.98
percent of the gross state product, $230.45 billion in manufacturing output
according to the National Association of Manufacturing (NAM).
With increased automation and robotics, the Manufacturing industry has changed in
recent years with increased computerization, driving up manufacturing wages. This
continues a demand increase for higher-skilled employees. Manufacturing industry
employment is expected to increase by 5,678 jobs or 0.6 percent from 2018 to
2028. This increase includes a broad range of occupations including Welders,
Cutters, Solderers and Brazers, Machinists, and Industrial Engineers, as well as
some occupations with high employment levels such as Electromechanical and
Equipment Assemblers, and Chemical Equipment Operators and Tenderers, among
others as shown in Table 13 below.
44
Table 13: Manufacturing Industry Long-Term Occupational
Projections
Mean
Employment Employment %
Occupational Title Change Annual
2018 2028 Growth
Wage 2019
Supervisors of 32,965 34,138 1,173 3.6 $69,002
Production and
Operating
Workers
Welders, Cutters, 26,530 29,471 2,941 11.1 $43,198
Solderers, and
Brazers
Inspectors, 22,264 18,824 -3,440 -15.5 $42,167
Testers, Sorters,
Samplers, and
Weighers
Machinists 18,778 20,557 1,779 9.5 $46,133
Sales Rep., 17,904 18,866 962 5.4 $71,783
Wholesale &
Manufacturing
General and 16,831 17,491 660 3.9 $135,110
Operations
Managers
Electromechanical 16,642 17,336 694 4.2 $39,012
Equipment
Assembers
Heavy and 16,614 16,203 -411 -2.5 $43,156
Tractor-Trailer
Truck Drivers
Office Clerks, 14,742 13,924 -818 -5.5 $40,593
General
Chemical 13,218 10,768 -2,450 -18.5 $60,291
Equipment
Operators and
Tenders
Ranked by 2018 base year employment for occupations with wages above the
Texas 2019 median wage of $38,013.
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Agriculture and Forestry
The Agriculture and Forestry industry in Texas is one of the most robust in the
country. Approximately 248,400 farms, 97 percent family owned, cover over 127
million acres across the state. According to the 2017 Census of Agriculture Texas
ranks third in the nation for market value of agricultural products sold. Texas tops
the lists for cotton and cattle.
The industry followed a trend of positive growth over the last five years. From First
Quarter 2015 to First Quarter 2020 the Agriculture and Forestry industry grew by
2.1 percent, adding 1,188 jobs. Despite this recent growth, the industry is
projected to lose 2,776 jobs by 2028, shrinking to 57,078 jobs total.
Agriculture and Forestry industry jobs projected to be the most in-demand over the
long term that pay a wage above the state median are listed below. Note: Many
agriculture workers are considered self-employed and are therefore not included in
the table below.
46
Table 14: Agriculture and Forestry Industry Long-Term Occupational
Projections
Occupational Title Employment Employment Change % Mean
2018 2028 Growth Annual
Wage
2019
Animal Breeders 436 474 38 8.716 $38,870
Animal Trainers 261 288 27 10.345 $57,832
Human Resources 53 52 -1 -1.887 $73,274
Specialists
First-Line Supervisors 70 60 -10 -14.3% $53,361
of Production and
Operating Workers
Bus and Truck 115 101 -14 -12.2% $54,267
Mechanics and Diesel
Engine Specialists
First-Line Supervisors 209 178 -31 -14.8% $59,838
of Office and
Administrative Support
Workers
Fallers 186 147 -39 -21.0% $54,451
Logging Equipment 655 580 -75 -11.5% $43,309
Operators
Ranked by employment change for occupations with mean wages higher than
Texas median annual wage of $38,013
47
Mining, Quarrying, and Oil and Gas Extraction
The Mining, Quarrying, and Oil and Gas Extraction industry is projected to grow by
12.9 percent from 2018 to 2028, resulting in 31,483 jobs added. By 2028 the
industry is projected to have 275,893 jobs. Service Unit Operators, Roustabouts
and Heavy and Tractor-Trailer Truck Drivers are the top projected occupations for
the industry.
Mining, Quarrying, and Oil and Gas Extraction occupations projected to add the
most jobs in the long term that pay a wage above the state median are listed
below.
48
Table 15: Mining, Quarrying, and Oil and Gas Extraction Industry
Long-Term Occupational Projections
Occupational Title Employment Employment Change % Mean
2018 2028 Growth Annual
Wage
2019
Service Unit 21,924 26,273 4,349 19.8 $48,136
Operators, Oil,
Gas, and Mining
Roustabouts, Oil 22,478 26,801 4,323 19.2 $39,909
and Gas
Heavy and Tractor- 13,593 16,055 2,462 18.1 $45,498
Trailer Truck
Drivers
Rotary Drill 6,839 8,224 1,385 20.3 $56,916
Operators, Oil and
Gas
Derrick Operators, 5,847 7,052 1,205 20.6 $45,510
Oil and Gas
Petroleum 8,855 9,520 665 7.5 $163,749
Engineers
Geological and 3,803 4,220 417 11.0 $61,990*
Petroleum
Technicians
Wellhead Pumpers 6,608 6,900 292 4.4 $54,803
Extraction 1,205 1,472 267 22.2 $51,851*
Workers, All Other
Bus and Truck 1,166 1,421 255 21.9 $48,477
Mechanics and
Diesel Engine
Specialists
Data Sources: Texas Statewide Projections 2018 to 2028 and Bureau of Labor
Statistics, U.S. Department of Labor, Occupational Employment Statistics
Occupations are ranked by employment change for occupations with mean wages
higher than Texas median annual wage of $38,013.
49
VIII. Glossary
Local Area Unemployment Statistics (LAUS)
This Federal/State cooperative program produces employment and unemployment
estimates by place of residence.
Employed - All persons 16 years and over who, during the reference week, (a) did
any work at all (at least 1 hour) as paid employees, worked on their own business,
profession, or on their own farm, or worked 15 hours or more as unpaid family
workers, or (b) were not working but who had jobs from which they were
temporarily absent. Each employed person is counted only once, even if the person
holds more than one job.
Labor Force Participation Rate (LFPR) - Represents the proportion of the non-
institutional population that is in the labor force. In the Current Population Survey
(CPS), the participation rates are usually published for sex-age groups, often cross
classified by other demographic characteristics.
Unemployed - All persons aged 16 years and over who had no employment, were
available for work, and had made specific efforts to find employment. Includes
persons who were waiting to be recalled to jobs from which they had been laid off.
Unemployment Rate - The unemployed number divided by the civilian labor force
number.
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Actual or Not Seasonally Adjusted - Describes the data series not subject to the
seasonal adjustment process. In other words, the effects of regular, or seasonal,
patterns have not been removed from these series.
Average Weekly Wages (AWW) - Average weekly wage values are calculated by
dividing quarterly total wages by the average of the three-monthly employment
levels (all employees) and dividing the result by 13, for the 13 weeks in the
quarter.
Hybrid Wage- OES estimates are calculated using data collected from six survey
panels over three years. Because data will be collected under two different
Standard Occupational Classification (SOC) systems, estimates for May 2019 will be
based on a hybrid of the two classification systems. During the transition to the
2018 SOC system, OES estimates will be based on a “hybrid” structure that is a
combination of the 2010 SOC and 2018 SOC.
51
Projections
The Texas Workforce Commission’s Labor Market and Career Information
Department produces industry and occupation employment projections. The
program is funded by the Employment and Training Administration, U. S.
Department of Labor. Projections are generated every two years for a 10-year
period. The process of making employment projections depends on two main
ingredients: industry employment and occupation employment within each industry
(staffing patterns).
Miscellaneous
Help Wanted OnLine - The Conference Board's data series provides monthly
measures of labor demand (advertised vacancies) at the national, regional, state,
and metropolitan area levels.
52
Texas Geography
Metropolitan Division (MD) - A Metropolitan Statistical Area with a population of
2.5 million which is subdivided into smaller groupings is referred to as Metropolitan
Divisions (MDs). An MD in Texas is made up of one or more counties.
53