During the last 5 years (2001–2006), overall
annual average employment declined in the
auto manufacturing industry.
q Annual average employment within Michigan’s auto manufacturing
industry declined by 31,300 employees—from 90,300 to 59,000.
q Annual average employment within Kentucky’s auto manufacturing
industry lost 4,000 employees (20 percent decline).
q In 2006, annual average employment within Indiana’s motor
vehicle body and trailer
manufacturing was 10
times more concentrated
than the national
average.
A location quotient is a statistic
used to compare the percentage
of employment in any given
industry in one geographic area,
or analysis area, with that of
another geographic area, or base
area. The formula used to compute
a location quotient follows:
Number of employees in
Industry A in analysis area/
Total number of employees
in analysis area
divided by
Number of employees in
Industry A in base area /
Total number of employees
in base area
A location quotient of 1.0 indicates
a local industry employment
concentration that is identical
to the national average.
15
CHART
State auto manufacturing employment location
quotients, 2001 and 2006
Location quotient
11
10
2001
2006
9
8
7
6
5
4
3
Michigan
automobile
manufacturing
Kentucky
automobile
manufacturing
Indiana
motor vehicle
body and trailer
U.S. Bureau of Labor Statistics — Employment and Wages Annual Averages, 2006
Iowa
motor vehicle
body and trailer
• 29
Michigan
motor vehicle parts
manufacturing
Indiana
motor vehicle parts
manufacturing
www.bls.gov/cew