Massachusetts Employment Statistics
88.0% of employees work for a private company, this is 2.8% greater than the national average of 85.2%. Local government agencies employ 7.5% of the workers in the state, state government agencies employ 3.2% of the workers and the federal government employs 1.3%. The percentage of employees working for a government agency (12.0%) is 2.8% lower than the national average. The chart below illustrates the breakout of employees by type of employer.
- 258,393 employers
- 3,581,813 employees
- $1,397 average weekly wage
- The average weekly wage is 26.9% above the national average
- The cost of living is 33.8% above the national average
Types of Employers (Private Sector vs Government Agency)
As an employer in Massachusetts, you are most likely to be running a private company rather than a government agency. 97.1% of employers run private companies in the state, BIGGER0.1% greater than the national average of 97.0. The remaining 2.9% of employers are government agencies: 0.4% work in a federal agency, 0.9% work for the state and 1.7% work for local government. The chart below illustrates the breakout of employers by type.
The average weekly wage in Massachusetts is $1,397 per week, which is 26.9% less than the national average of $1,101 per week. Massachusetts workers that are employed by private businesses earn $1,412 per week, 28.4% greater than the national average for private company employees. Employees of federal government agencies in Massachusetts earn $1,598 per week, a premium of 13.2% compared to what employees of private companies earn. The chart below illustrates the average weekly by type of employer.
Businesses by SectorThe sector with the greatest number of businesses in the state is Healthcare with 24.2% of the businesses in the state. Professional services (12.9%) and Retail trade (9.1%) round out the top 3 sectors.
Table: Sectors by # of Businesses
|Sector||# Businesses||% of Bus.|
|Accommodation and food services||16,932||6.6%|
|Finance and insurance||10,339||4.0%|
|Real estate and rental||7,228||2.8%|
|Transport and warehousing||4,267||1.7%|
|Arts and entertainment||3,763||1.5%|
|Agriculture and forestry||901||0.3%|
|Mining and oil extraction||88||0.0%|
Employees by Sector
The sector with the greatest number of employees in the state is Healthcare
with 17.5% of the employees in the state. Retail trade
(9.9%) and Professional services
(9.1%) round out the top 3 sectors.
Table: Sectors by # of Employees
|Sector||# Employees||% of Emp'|
|Accommodation and food services||312,377||8.7%|
|Finance and insurance||169,570||4.7%|
|Transport and warehousing||87,838||2.5%|
|Arts and entertainment||63,010||1.8%|
|Real estate and rental||47,406||1.3%|
|Agriculture and forestry||8,621||0.2%|
|Mining and oil extraction||984||0.0%|
Average Weekly Wage by Sector
The sector that pays their employees the highest is Finance and insurance
paying $3,130per week compared with the state average of $1,412. Professional services
($2,599) and Company management
($2,595) round out the top 3 sectors.
Table: Wages by Sector
|Sector||Wkly Wage||vs St Avg.|
|Finance and insurance||$3,130||221.7%|
|Real estate and rental||$1,534||108.6%|
|Mining and oil extraction||$1,329||94.1%|
|Agriculture and forestry||$1,162||82.3%|
|Transport and warehousing||$982||69.5%|
|Arts and entertainment||$786||55.7%|
|Accommodation and food services||$483||34.2%|
Businesses by Industry
Each broad sector is made up of specific industries. In Massachusetts. the industry with the most businesses is Services for the elderly and disabled
with 17.4% of the businesses in the state (with 44,896 employing 67,873 workers). Restaurants and other eating places
(5.3%) and Computer systems design and related services
(3.2%) round out the top 3 industries. The Top 10 Industries in the state are:
|Services for the elderly and disabled||44,896||1.5|
|Restaurants and other eating places||13,727||17.9|
|Computer systems design and related services||8,333||10.0|
|Residential building construction||4,821||3.4|
|Management consulting services||4,710||8.1|
|Offices of lawyers||4,513||6.2|
|Wholesale trade agents and brokers||4,429||3.3|
|Hair nail and skin care services||3,454||5.9|
Employees by Industry
The industry with the greatest number of employees in the state is Restaurants and other eating places
with 6.9% of the businesses in the state. The industry employs 246,272 in 13,727 businesses, there are 17.9 employees on average in each of these businesses. General medical and surgical hospitals
(4.6%) and Colleges and universities
(2.6%) round out the top 3 industries.
Table: Industries by # of Employees
|Restaurants and other eating places||246,272||17.9|
|General medical and surgical hospitals||164,978||993.8|
|Colleges and universities||94,912||330.7|
|Computer systems design and related services||83,410||10.0|
|Supermarkets and other grocery stores||77,926||77.2|
|Management of companies and enterprises||74,111||49.8|
|Services for the elderly and disabled||67,873||1.5|
|Research and development in the physical engineering and life sciences||65,680||30.9|
|Offices of physicians||57,216||18.0|
|Temporary help services||55,184||35.8|
Average Weekly Wage by Industry
The industry that pays their employees the most is Trusts estates and agency accounts
, paying $82,977 compared with the state average of $1,412. Portfolio management
($7,434) and Investment banking and securities dealing
($6,794) round out the top 3 industries.
Table: Wages by Industry
|Industry||Wkly Wage||% of Avg|
|Trusts estates and agency accounts||$82,977||5,876.6|
|Investment banking and securities dealing||$6,794||481.2|
|Open-end investment funds||$5,384||381.3|
|Securities and commodity exchanges||$3,617||256.2|
Massachusetts Businesses by Size
company, has the most businesses in Massachusetts by far. 65.8% of all businesses in the state have fewer than 5 employees. The 239,060 small businesses in the state represent 95.8% of all private businesses. The national average is 92.6%. (Small businesses have fewer than 50 employees, Solopreneurs employ fewer than 5.) The pie chart below illustrates the ratio of business sizes.
Massachusetts Employees by Business Size
The largest companies in the state represent 165.2% of all employees, which is 26.7% higher than the national average of 138.4%. Smallest companies also employ a lower percentage of the states workforce than the largest companies. The solopreneur
(those that employ fewer than 5) companies employ 91.4% of all workers, which is 0.1% lower than the national average of 91.5%. All small companies, those employing fewer than 50 people, represent 511.8% of the labor force in the state, 38.2% less than the national average of 550.0%.
Massachusetts Avg Weekly Wages by Business Size
The smallest companies in Massachusetts (those with fewer than 5 employees) pay workers 9.6% more than the national average ($1,079 per week as compared to the national average of $975 per week). The largest companies in Massachusetts (those with more than 1,000 employees) pay 13.0% workers above the national average ($2,162 per week as compared to the national average of $1,882 per week).
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.