California Business & Employment Growth Since 2009

  • 220,227 more businesses
  • 2,724,249 more employees
  • 18.6% increase in total wages
  • $16,915 increase in annual wages per employee
  • 32.8% increase in wages per employee

Since 2009, the number of businesses in California has grown by 16.5% (5.0% greater than the national average of 11.4%). Employment in California has grown by 18.6% (5.0% greater than the national average of 13.6%). Wages have grown by 32.8% since the end of the Great Recession. This wage growth is 7.1% greater than the national average of 25.7%.
The average weekly wage in California of $1,317 is 16.4% above the national average of $1,101. The gap between the national average has widened from 11.7% a widening of 4.7% since the end of the recession.

Sector Growth

Business Sector Growth

The Healthcare sector has the most businesses in the state of California. Since the end of the recession, the number of businesses has grown from 89,324 to 603,114, a gain of 575.2%. The table below illustrates the change in number of businesses in each sector.
Sector20182009Pct Chg
Healthcare603,11489,324575.2%
Professional services147,338116,51026.5%
Retail trade104,50799,0665.5%
Other services92,183479,639-80.8%
Accommodation and food services85,37868,31025.0%
Construction79,98673,0569.5%
Wholesale trade63,07959,0096.9%
Real estate and rental54,24242,23328.4%
Waste services52,48143,42320.9%
Finance and insurance51,34746,37710.7%
Manufacturing44,31542,6853.8%
Information25,48819,24632.4%
Arts and entertainment24,73618,16436.2%
Transport and warehousing24,66118,58632.7%
Agriculture and forestry16,65817,344-4.0%
Educational services14,92210,52541.8%
Company management4,6994,17512.6%
Utilities1,2831,13313.2%
Mining and oil extraction7857484.9%

The sector that has had the strongest growth [in number of businesses] is the Healthcare sector, which has increased by 575.2% since 2009. The sector that has has the largest decline is the Other services sector, which has declined by 80.8% since the recession.

Employment Sector Growth

The Healthcare sector has the most employees in the state of California. Since the end of the recession, the number of employees has grown from 1,435,436 to 2,323,278, a gain of 61.9%. The table below illustrates the change in number of employees in each sector.
Sector20182009Pct Chg
Healthcare2,323,2781,435,43661.9%
Retail trade1,682,5501,513,76711.1%
Accommodation and food services1,671,7101,250,57933.7%
Manufacturing1,319,5181,275,7523.4%
Professional services1,282,7291,012,53326.7%
Waste services1,126,675838,96134.3%
Construction859,194618,06839.0%
Wholesale trade699,109645,9598.2%
Transport and warehousing591,067399,25948.0%
Finance and insurance540,866539,7530.2%
Other services538,591740,659-27.3%
Information524,786438,64019.6%
Agriculture and forestry422,898373,60313.2%
Educational services324,129279,12416.1%
Arts and entertainment315,378243,20329.7%
Real estate and rental293,584254,86315.2%
Company management252,969197,75227.9%
Utilities56,41459,705-5.5%
Mining and oil extraction20,27123,865-15.1%

The sector that has had the strongest employment growth [in number of employees] is the Healthcare sector, which has increased by 61.9% since 2009. The sector that has has the largest employment decline in number of employees is the Other services sector, which has declined by 27.3% since the recession.

Weekly Wage Growth By Sector

The Information sector has the highest average weekly wage in the state of California. Since the end of the recession, the average wage has grown from $1,786 to $3,621, a gain of 102.7%. The table below illustrates the change in weekly wage in each sector.
Sector20182009Pct Chg
Information$3,621$1,786102.7%
Company management$2,594$1,68653.9%
Utilities$2,538$1,88234.9%
Finance and insurance$2,464$1,68146.6%
Mining and oil extraction$2,378$2,1838.9%
Professional services$2,356$1,63544.1%
Manufacturing$1,838$1,31240.1%
Wholesale trade$1,506$1,20325.2%
Construction$1,348$1,05927.3%
Real estate and rental$1,325$91245.3%
Arts and entertainment$1,142$93322.4%
Transport and warehousing$1,096$86227.1%
Educational services$1,058$81130.5%
Healthcare$996$9930.3%
Waste services$874$68228.2%
Other services$783$48063.1%
Retail trade$705$58021.6%
Agriculture and forestry$665$46941.8%
Accommodation and food services$481$35834.4%

The sector that has had the strongest wage growth is the Information sector, which has increased by 102.7% since 2009. The sector that has has the smallest wage growth is the Healthcare sector, which has declined by 0.3% since the recession.


Industry Growth

Business Industry Growth

The Services for the elderly and disabled industry has the greatest number of businesses in the state of California. Since the end of the recession, the number of businesses has grown from 1,756 to 495,810, a gain of 28,135.2%. The table below illustrates the change in the number of businesses in the top industries.

Industry20182009Pct Chg
Services for the elderly and disabled495,8101,75628,135.2%
Offices of physicians32,50828,96912.2%
Unclassified30,95156,454-45.2%
Computer systems design and related services27,33519,27041.9%
Private households25,778424,684-93.9%
Management consulting services22,65711,95189.6%

The top industry that has had the largest increase in the number of businesses is the Services for the elderly and disabled industry, which has increased by 28,135.2% since 2009. The top industry that has has the largest decline in the number of businesses is the Private households industry, which has declined by 93.9% since the recession.

Employment Industry Growth

The Restaurants and other eating places industry has the greatest number of employees in the state of California. This industry currently has 1,335,615 employees in it. There is no direct comparison back to the total at the end of the recession and is not included in the table below.

Industry20182009Pct Chg
Services for the elderly and disabled586,52544,9541,204.7%
Temporary help services391,309220,96177.1%
General medical and surgical hospitals376,410390,658-3.6%
Computer systems design and related services322,832194,76865.8%
Supermarkets and other grocery stores296,255271,4619.1%
Management of companies and enterprises252,969197,75227.9%

The top industry that has had the largest increase in the number of employees is the Services for the elderly and disabled industry, which has increased by 1,204.7% since 2009. The top industry that has has the largest decline in the number of employees is the General medical and surgical hospitals industry, which has declined by 3.6% since the recession.

Weekly Wage Growth By Industry

The All other information services industry has the highest average weekly wage in the state of California. Since the end of the recession, the average wage has grown from $1,283 to $8,173, a gain of 537.0%. The table below illustrates the change in weekly wage in each sector.
Industry20182009Pct Chg
All other information services$8,173$1,283537.0%
Internet publishing and web search portals$6,615$3,018119.2%
Portfolio management$6,330$4,41743.3%
Credit card issuing$6,147$3,28487.2%
Independent artists writers and performers$5,977$4,43834.7%
Investment banking and securities dealing$5,739$3,49364.3%
Computer and peripheral equipment mfg.$5,434$2,709100.6%

The top industry that has had the strongest wage growth is the All other information services industry, which has increased by 537.0% since 2009. The top industry that has has the largest wage decline is the Independent artists writers and performers industry, which has declined by 34.7% since the recession.


Company Size

Business Growth By Company Size

The biggest percentage change in the number of businesses has been in businesses with 1,000 or more employees. The number of businesses with this number of employees has grown from 531 to 741, which is an increase of 39.5%.

The smallest percentage change in the number of businesses has been in businesses with 5 to 9 employees. The number of businesses with this number of employees has grown from 146,068 to 166,623, which is an increase of 14.1%.

Table: Change in the number of Businesses by Size of Business, since the Recession:

Company SizeQ1 2018Q1 2010% Change
Fewer than 5 Employees1,093,038911,78419.9%
5-9 Employees166,623146,06814.1%
10-19 Employees119,04899,38519.8%
20-49 Employees84,12868,73422.4%
50-99 Employees28,86123,92520.6%
100-249 Employees15,18712,83618.3%
250-499 Employees3,6572,91525.5%
500-999 Employees1,2921,05722.2%
More Than 1,000 Employees74153139.5%


Employment Growth by Company Size

The biggest percentage change in the number of employees has been in businesses with 1,000 or more employees. The number of employees in companies this size has grown from 1,075,551 to 1,624,374, which is an increase of 51.0%.

The smallest percentage change in the number of employees has been in businesses with 5 to 9 employees. The number of employees with this number of employees has grown from 954,852 to 1,093,945, which is an increase of 14.6%.

Table: Change in the number of Employees by Size of Business, since the Recession:

Company SizeQ1 2018Q1 2010% Change
Fewer than 5 Employees1,426,2211,116,14527.8%
5-9 Employees1,093,945954,85214.6%
10-19 Employees1,602,6781,338,36019.7%
20-49 Employees2,506,8142,056,57021.9%
50-99 Employees1,974,4401,633,13320.9%
100-249 Employees2,256,9071,897,31319.0%
250-499 Employees1,238,685986,00425.6%
500-999 Employees873,909715,76322.1%
More Than 1,000 Employees1,624,3741,075,55151.0%


Weekly Wage Growth by Company Size

The biggest percentage change in the average weekly wage has been in businesses with 1,000 or more employees. The average weekly wage in companies this size has grown from $1,745 to $2,511, which is an increase of 43.9%.

The smallest percentage change in the average weekly wage has been in businesses with fewer than 5 employees. The average weekly wage in companies this size has grown from $718 to $825, which is an increase of 14.9%.

Table: Change Average Weekly Wage by Size Since the Recession:

Company SizeQ1 2018Q1 2010% Change
Fewer than 5 Employees$825$71814.9%
5-9 Employees$962$74529.1%
10-19 Employees$975$76427.6%
20-49 Employees$1,057$82528.1%
50-99 Employees$1,187$89233.1%
100-249 Employees$1,372$1,01235.6%
250-499 Employees$1,681$1,17942.6%
500-999 Employees$1,898$1,37538.0%
More Than 1,000 Employees$2,511$1,74543.9%



Data Sources




About the Writer

This page was created and is maintained by Kurt Tietjen, Founder of Stavera, High Peak Media & HomeGearWorks.com. Kurt is an executive, data scientist and software engineer who holds an MBA in Management Information Systems. In 2010, he partnered with scientists at Northwestern University to launch The Street Wire. This was one of the first mainstream uses of what would become “Narrative Science”, an artificial intelligence platform specializing in natural language generation. You can contact Kurt on LinkedIn here.