WORKFORCE LOCAL AREA EMPLOYMENT STATISTICS (LAUS)

AUGUST 2016

WORKFORCE LOCAL AREA EMPLOYMENT STATISTICS (LAUS)

1,150,000 1,100,000 1,050,000 1,000,000 950,000 900,000 850,000 800,000 750,000 700,000 Labor Force Employment June 2015 to June 2016: 36,504 (3.4%) added to labor force 37,746 (3.6%) added to employment 1,242 (-3.2%) subtracted from unemployed 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission, LAUS.

80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 Unemployed Unemployment Rate 8% 7% 6% 5% 4% 3% 2% 1% 0 2000 2002 2004 2006 2008 2010 2012 2014 2016 0% Source: Texas Workforce Commission, LAUS.

80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 Unemployed Unemployment Rate NSA Unemployment Rate SA 8% 7% 6% 5% 4% 3% 2% 1% 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 0% Source: Texas Workforce Commission & Federal Reserve Bank of Dallas, LAUS.

6% Austin MSA NSA Texas NSA United States NSA Austin MSA SA Texas SA United States SA 5% 4% 3% 2% 2015 May 2015 Jun 2015 Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 Dec 2016 Jan 2016 Feb 2016 Mar 2016 Apr 2016 May 2016 Jun Source: Texas Workforce Commission & Federal Reserve Bank of Dallas, LAUS.

Austin Texas United States 11% 10% 9% 8% 7% 6% 5% 4% 3% 2% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission, LAUS.

Unemployment Rate Difference Rank June 2015 June 2016 Austin MSA 3.6% 3.3% -0.2 1 San Francisco MDiv 3.6 3.4-0.1 2 Silver Spring MDiv 4.4 3.7-0.7 3 Minneapolis MSA 3.6 3.7 0.1 4 Nassau County MDiv 4.5 3.8-0.8 5 Denver MSA 3.9 3.8-0.1 6 Boston NECTADiv 4.6 3.8-0.8 7 Dallas MDiv 4.2 3.9-0.3 8 San Antonio MSA 4.1 4.0-0.1 9 Washington MDiv 4.7 4.0-0.8 10 Source: U.S. Bureau of Labor Statistics, LAUS.

Austin MSA Texas United States 4% 3% 3.3% 3.4% 2% 1% 2.1% 0.4% 0.8% 1.5% 1.6% 1.1% 1.2% 1.0% 0.4% 0.8% 0% 2014-2015 YTD 2015-2016 Jun'15-Jun '16 May '16-Jun '16 Source: Texas Workforce Commission, LAUS.

Austin MSA Texas United States 4% 3.6% 3.6% 3% 3.0% 2% 1% 0% -1% 1.7% 1.8% 1.5% 1.5% 1.6% 1.1% 0.5% 0.3% -0.2% 2014-2015 YTD 2015-2016 Jun'15-Jun '16 May '16-Jun '16 Source: Texas Workforce Commission, LAUS.

WORKFORCE CURRENT EMPLOYMENT STATISTICS (CES)

1,025,000 1,000,000 975,000 950,000 925,000 900,000 875,000 850,000 825,000 800,000 775,000 750,000 725,000 Not Seasonally Adjusted Seasonally Adjusted Austin added 38,400 jobs (4.0%) in the last 12 months. 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission, CES.

Millions 1,050,000 1,000,000 950,000 900,000 850,000 800,000 750,000 700,000 650,000 600,000 550,000 500,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission, CES. Austin MSA United States 160 156 152 148 144 140 136 132 128 124 120

Millions 50,000 40,000 30,000 20,000 10,000 0 (10,000) (20,000) (30,000) (40,000) Austin MSA United States '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 10 8 6 4 2 - (2) (4) (6) (8) Source: Texas Workforce Commission & U.S. Bureau of Labor Statistics, CES.

Thousands 50,000 40,000 30,000 20,000 10,000 0 (10,000) (20,000) (30,000) (40,000) (50,000) Austin MSA Texas '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 500 400 300 200 100 - (100) (200) (300) (400) (500) Source: Texas Workforce Commission & U.S. Bureau of Labor Statistics, CES.

5.0% 4.0% 4.6% Austin MSA Texas United States 4.2% 4.0% 3.0% 2.0% 2.4% 2.1% 1.8% 1.8% 1.5% 1.5% 1.0% 0.0% 0.8% 0.5% 0.2% 2014-2015 YTD 2015-2016 Jun'15-Jun '16 May '16-Jun '16 Source: Texas Workforce Commission & U.S. Bureau of Labor Statistics, CES.

Nonfarm payroll jobs June 2016 June 2015-June 2016 Difference Percent Ch. Fort Lauderdale MDiv 825,300 35,900 4.5% 1 Orlando MSA 1,199,400 51,600 4.5 2 Dallas MDiv 2,508,300 99,600 4.1 3 Austin MSA 1,000,800 38,400 4.0 4 San Jose MSA 1,085,800 41,200 3.9 5 Richmond MSA 676,100 24,400 3.7 6 Phoenix MSA 1,936,200 67,300 3.6 7 Jacksonville MSA 666,100 23,100 3.6 8 Seattle MDiv 1,663,300 57,000 3.5 9 Tampa MSA 1,282,300 43,400 3.5 10 Source: U.S. Bureau of Labor Statistics, CES. Rank

10,000 8,000 6,000 4,000 2,000 - (2,000) (4,000) (6,000) 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission, CES.

11,000 9,000 7,000 5,000 3,000 1,000 (1,000) (3,000) (5,000) (7,000) (9,000) 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Federal Reserve Bank of Dallas, CES. The Dallas Fed s SA series differs from the SA series from TWC/ BLS due to the Dallas Fed s adoption of a quarterly revision cycle. The TWC/BLS data is benchmarked only annually.

15,000 Private Goods Producing Private Service Providing Government 10,000 5,000 - (5,000) (10,000) Net job creation for the 12 months ending June 2016: +3,600 private goods producing jobs +32,100 private service providing jobs +2,700 government jobs (15,000) Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Source: Texas Workforce Commission, CES.

Construction & nat res Manufacturing Wholesale trade Retail trade Transp, warehousing, & utilties Information Financial activities Prof & business services Education & health services Leisure & hospitality Other services Government Source: Texas Workforce Commission, CES. 61,300 55,700 52,700 16,400 27,800 55,800 42,800 103,800 116,900 123,900 168,900 174,800

June 2015 June 2016 Construction & nat res Manufacturing Wholesale trade Retail trade Transp, warehousing, & utilties Information Financial activities Prof & business services Education & health services Leisure & hospitality Other services Government 55,300 61,300 58,100 55,700 47,800 52,700 16,100 16,400 27,400 27,800 53,900 55,800 41,000 42,800 99,800 103,800 111,700 116,900 118,200 123,900 161,000 168,900 172,100 174,800 Source: Texas Workforce Commission, CES.

Construction & nat res Manufacturing Wholesale trade Retail trade Transp, warehousing, & utilties Information Financial activities Prof & business services Education & health services Leisure & hospitality Other services Government 9,000 7,000 5,000 3,000 1,000-1,000-3,000 Difference Percent Change 12% 9% 6% 3% 0% -3% -6% Source: Texas Workforce Commission, CES.

Construction & nat res Manufacturing Wholesale trade Retail trade Transp, warehousing, & utilties Information Financial activities Prof & business services Education & health services Leisure & hospitality Other services Government 8,000 6,000 4,000 2,000 0-2,000-4,000 Difference Austin % Ch. Austin % Ch. Texas % Ch. U.S. 12% 9% 6% 3% 0% -3% -6% Source: Texas Workforce Commission, CES.

Const & natural resources Manufacturing Wholesale trade Retail trade Transp & utilties Information Financial activities Prof & business services Education & health services Leisure & hospitality Other services Government 12% 9% 6% 3% 0% -3% -6% Austin MSA Texas United States Source: Texas Workforce Commission, CES.

WORKFORCE Local Area Unemployment Statistics (LAUS) & Current Employment Statistics (CES)

1,100,000 1,050,000 1,000,000 950,000 900,000 850,000 800,000 750,000 700,000 650,000 600,000 Employees on Nonfarm Payrolls (CES) Employment (LAUS) 2000 2002 2004 2006 2008 2010 2012 2014 2016 Source: Texas Workforce Commission.

Index, Jan. 2000=100 160 Employees on Nonfarm Payrolls (CES) Employment (LAUS) 150 140 130 120 110 100 2000 2002 2004 2006 2008 2010 2012 2014 2016 Source: Texas Workforce Commission.

Employees on Nonfarm Payrolls (CES) Employment (LAUS) 60,000 50,000 40,000 30,000 20,000 10,000 - (10,000) (20,000) (30,000) 2000 2002 2004 2006 2008 2010 2012 2014 2016 Source: Texas Workforce Commission.

WORKFORCE Current Employment Statistics (CES) & Quarterly Census of Employment & Wages (QCEW)

1,050,000 1,000,000 950,000 CES QCEW QCEW data lag CES estimate by several months, however QCEW data is based universe counts rather than sample based survey estimates. Preliminary CES data is revised annually based on QCEW data and other adjustments. 900,000 850,000 800,000 750,000 700,000 650,000 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission.

50,000 40,000 30,000 20,000 10,000 - (10,000) (20,000) CES QCEW (30,000) 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Workforce Commission.

1,020,000 1,000,000 980,000 960,000 940,000 920,000 900,000 880,000 860,000 840,000 820,000 800,000 780,000 Not Seasonally Adj. Seasonally Adj. (TWC) Seasonally Adj (Dallas Fed) The Dallas Fed revises their series quarterly based on QCEW releases, while BLS/TWC benchmark CES data to QCEW only annually. 2012 2013 2014 2015 2016 Sources: Texas Workforce Commission & Federal Reserve Bank of Dallas (CES).

WORKFORCE AVERAGE WEEKLY HOURS AND AVERAGE HOURLY EARNINGS

Austin MSA Texas United States 37.5 37.0 36.5 36.0 35.5 35.0 34.5 34.0 33.5 33.0 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: U.S. Bureau of Labor Statistics, CES.

$28 Austin MSA Texas United States $27 $26 $25 $24 $23 $22 $21 $20 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: U.S. Bureau of Labor Statistics, CES.

BUSINESS CYCLE INDEX

Index, Oct. 1980=100 900 800 700 600 The index summarizes movements in: Nonagricultural employment The unemployment rate Inflation-adjusted wages Inflation-adjusted retail sales 500 400 300 200 June 2016: The index is 6.4% above the same month last year and monthly percent change has been positive since Oct. 2009. Source: Federal Reserve Bank of Dallas.

1.0% 0.8% 0.6% 0.4% 0.2% 0.0% -0.2% -0.4% -0.6% Source: Federal Reserve Bank of Dallas.

1.2% 1.0% 0.8% 0.6% 0.4% 0.2% 0.0% -0.2% -0.4% -0.6% -0.8% Austin MSA Texas Source: Federal Reserve Bank of Dallas.

Austin Dallas Ft.Worth Houston San Antonio 1.0% 0.8% 0.6% 0.4% 0.2% 0.0% -0.2% -0.4% -0.6% -0.8% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Federal Reserve Bank of Dallas

10% Austin Dallas Ft.Worth Houston San Antonio 8% 6% 4% 2% 0% -2% 2014-2015 YTD 2015-2016 Jun '15-Jun '16 May '16-Jun '16 Source: Federal Reserve Bank of Dallas.

Index, 1987=100 135 130 125 120 115 110 105 100 Index % Ch. 8% 6% 4% 2% 0% -2% -4% -6% 95 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Federal Reserve Bank of Dallas. -8%

HOUSING MARKET PERMITS

4,000 3,500 3,000 2,500 2,000 1,500 Monthly average 2007 1,659 2008 983 2009 730 2010 732 2011 853 2012 1,630 2013 1,738 2014 1,662 2015 1,843 YTD 16 1,859 Single Family Multifamily 1,000 500 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: U.S. Census Bureau.

Austin MSA United States 20% 15% 10% 5% 0% 10.9% 12.4% 4.2% 0.2% 16.5% 6.2% -5% -1.5% -10% -15% -20% Source: U.S. Census Bureau. -14.7% 2014-2015 YTD 2015-2016 Jun 15-Jun 16 May 16-Jun 16

25% 20% 15% 10% 5% 0% -5% Austin MSA United States -10% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: U.S. Census Bureau.

Millions $550 $500 $450 $400 $350 $300 $250 $200 $150 $100 $50 $0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: U.S. Census Bureau. Monthly average 2007 $237M 2008 154M 2009 104M 2010 107M 2011 114M 2012 195M 2013 236M 2014 270M 2015 303M YTD 16 333M Single Family Multifamily

20% Austin MSA United States 19.7% 18.5% 15% 12.3% 15.1% 10% 5% 5.2% 5.2% 7.3% 0% -5% -10% Source: U.S. Census Bureau. -6.4% 2014-2015 YTD 2015-2016 Jun 15-Jun 16 May 16-Jun 16

HOUSING MARKET HOME SALES & PRICES

3,500 3,000 2,500 2012-2013: +18.9% 2013-2014: +0.6% 2014-2015: +4.6% YTD 15-16: +6.6% 2,000 1,500 1,000 500 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Real Estate Center at Texas A&M University.

60% Austin MSA Texas United States 40% 20% 0% -20% -40% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Real Estate Center at Texas A&M University.

14 Austin Texas United States 12 10 8 6 4 2 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Real Estate Center at Texas A&M University & National Association of Realtors.

$310,000 $290,000 $270,000 $250,000 $230,000 $210,000 $190,000 Austin MSA United States $170,000 2015 May 2015 Jun 2015 Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 Dec 2016 Jan 2016 Feb 2016 Mar 2016 Apr 2016 May 2016 Jun Source: Real Estate Center at Texas A&M University & National Association of Realtors.

10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% Austin MSA United States 8.3% 8.1% 6.8% 4.8% 3.7% 2.6% 2014-2015 Jun 15-Jun 16 May 16-Jun 16 Source: Real Estate Center at Texas A&M University & National Association of Realtors.

90% 80% 70% Austin MSA United States 60% 50% 40% 30% The HOI is a measure of the % of homes sold in a given area during the quarter that are affordable to households earning that area s median family income. 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: National Association of Home Builders.

COMMERCIAL REAL ESTATE

16% Vacancy Rate Lease Rate $33 14% $31 12% $29 10% $27 8% $25 6% 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: CoStar. $23

Vacancy Rate Lease Rate 13% 12% 11% 10% 9% 8% 7% 6% 5% 4% 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: CoStar. $10.00 $9.50 $9.00 $8.50 $8.00 $7.50 $7.00 $6.50 $6.00 $5.50

7.5% 7.0% 6.5% 6.0% 5.5% 5.0% 4.5% 4.0% Vacancy Rate Lease Rate $20.50 $20.00 $19.50 $19.00 $18.50 $18.00 $17.50 $17.00 3.5% 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: CoStar. $16.50

SALES TAX & RETAIL SALES

Millions 25 City of Austin Austin MTA City of Round Rock City of San Marcos 20 15 10 5 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Texas Comptroller of Public Accounts.

Billions $9 $8 $7 $6 $5 $4 $3 $2 $1 $0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Texas Comptroller of Public Accounts.

Millions of 2016 Q1 Dollars $11,000 $10,000 $9,000 $8,000 $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 20022003200420052006200720082009201020112012201320142015 Source: Federal Reserve Bank of Dallas.

VENTURE CAPITAL

Austin MSA United States $450 $400 $350 $300 $250 $200 $150 $100 $50 $0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: PricewaterhouseCoopers/Thompson Reuters/NVCA MoneyTree Survey. $18,000 $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $0

Millions Austin MSA United States $20 $18 $16 $14 $12 $10 $8 $6 $4 $2 $0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: PricewaterhouseCoopers/Thompson Reuters/NVCA MoneyTree Survey.

Millions $900 $800 $700 $600 $500 $400 $300 $200 $100 $0 VC Investment in Austin 20052006200720082009201020112012201320142015 20152016 YTD YTD Source: PricewaterhouseCoopers/Thompson Reuters/NVCA MoneyTree Survey. Austin as a % of Total U.S. VC Investment 4.0% 3.5% 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0.0%

PATENT ACTIVITY

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 Source: U.S. Patent & Trademark Office.

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 40% 35% 30% 25% 20% 15% 10% 5% 0% Source: U.S. Patent & Trademark Office.

450 400 350 300 250 200 150 100 50 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: U.S. Patent & Trademark Office.

AIR SERVICE

1,200,000 1,100,000 1,000,000 900,000 800,000 700,000 600,000 500,000 Passengers 2011-2012: +3.8% 2012-2013: +6.2% 2013-2014: +7.0% 2014-2015: +11.0% YTD 15-16: +7.7% Passengers, 12-Mo. Moving Avg. 400,000 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Austin-Bergstrom International Airport.

1,200,000 2016 2015 2014 2013 2012 2011 2010 1,100,000 1,000,000 900,000 800,000 700,000 600,000 500,000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Source: Austin-Bergstrom International Airport.

Thousands Millions ABIA United States 600 110 550 100 500 90 450 80 400 70 350 60 300 50 250 40 200 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Austin-Bergstrom International Airport & U.S. Bureau of Transportation Statistics. 30

Weight (lbs.) 25,000,000 20,000,000 2011-2012: +1.5% 2012-2013: +1.9% 2013-2014: -2.0% 2014-2015: +1.3% YTD 15-16: +1.3% 15,000,000 10,000,000 5,000,000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Austin-Bergstrom International Airport.

Beverly Kerr, Vice President, Research bkerr@ 512.322.5641 Chris Ramser, Director, Research cramser@ 512.322.5662 This file & latest monthly report/spreadsheets: www./economic-development/business-climate/the-economy Bi-monthly Central Texas Economy in Perspective articles: www./economic-development/business-climate/economic-perspective