1. Sussex Demographic and Labor Market Trends
Ed Simon
(302)
October 2018

2. 25 Years of Change Impressive growth in Sussex Population up 90%
Sharp gains for age 55+ population
Employment up 54%
Major growth in Health Care, Retail Trade,
and Leisure and Hospitality during past 25 years.
Lowest unemployment rate 3.3% in Highest rate was in 2010 at 8.5%

3. Recent Trends
The economy and job market in Sussex has shown improvement in recent years. With low taxes and a favorable climate, Sussex has continued to be a popular county for both tourists and retirees. Our demographics have spurred job growth in many service industries. Overall our industry and occupational patterns are more diverse than what many people think. Sussex does have some industries and occupations that pay well above the average.

4. Sussex Overview Sussex job growth continues to rise Unemployment
Growth rate has been faster than DE and US
Since 2011 – Sussex had a net gain of 12,300 jobs, about 18.1% growth.
Job gains have been broad based with gains in most major sectors
Unemployment
Continued improvement in recent years
Sussex Unemployment rate: 2010, 8.5%; 2018, 4.0%
Tourism – Continues to grow
$1,934.4 (Millions of $) Sussex Expenditures; 42% of the State total

5. Overview (Continued) Real Estate
Existing home sales have been rising in Sussex County. For 2015 sales were 4,603; 2016, 4,823 and in 2017, they were 5,580. More than 3,700 homes were sold during the first half of 2018.
Thus far in 2018 building permits for single family homes in Sussex are ahead of what occurred in 2017.
Sussex leads Kent and New Castle in Building permits.
Agriculture - Market Value (Sussex) $921 Million
Sussex #1 broiler producing county in U.S. This is a long-term trend.

6. Introduction Statistical Update Focus
Differences between Sussex and other areas
Demographic, economic and labor market update
How is Sussex doing?
Review of industry, job trends and wages
Focus
Review of major industry sectors
What drives the Sussex economy
Exploring critical labor market issues

7. Unemployment Trends Year Sussex DE US 2010 8.5% 8.4% 9.6% 2011 7.7%
7.5%
8.9%
2012
7.2%
8.1%
2013
6.8%
6.7%
7.4%
2014
5.8%
5.7%
6.2%
2015
4.9%
5.3%
2016
4.5%
2017
4.6%
4.4%
2018
4.0%
4.2%
Source: U.S. Dept. of Labor, Bureau of Labor Statistics

8. Sussex Labor Force Data
Total Sussex Population = 223,000
Employed = 95,400
Not in the labor force, 16 years+ = 84,400 (retired, in school, or not looking for work)
Persons under age 16 years = 38,500
Unemployed/actively seeking work = 4,700
Source: U.S. Dept. of Labor, Bureau of Labor Stat.; and U.S. Census Bureau

9. Sussex Jobs Are Increasing
2002 Base Year
Sussex Trends: Jobs grew faster at first and then declined more slowly. During the past seven years Sussex has had modest job growth.
Source: U.S. Dept. of Labor, Bureau of Labor Statistics

10. Housing Production – Number of Units*
*These numbers represent new housing units authorized by building permits.
Source: U.S. Bureau of the Census

11. People
Demographic Trends

12. In an Average Month in Sussex . . .
192 Persons are born
219 Persons die
459 Persons move here from another area
Source: U.S. Census Bureau (7/16 to 7/17)

13. Sussex Population Growth is Steady (Annual Change)
Source: U.S. Census Bureau

14. Sussex Population Continues to Increase
Source: Delaware Population Consortium

15. Long Term Population Trends – Sussex
55+: 28% in to 44% in 2035
Source: Delaware Population Consortium

16. Population/Age Impact on County
Increased School Population
Expanded opportunities and need for education/training
Working age population will not experience much growth
Focus on retention of young persons
Aging Population will impact:
Health Care
Eldercare
Transportation
Social Services
More Affordable Homes needed for Young Adults and Retirees
More Planned Communities (Adult Communities) – with services
Pop. Change
2015 to 2035
Age
Group

17. Highest Growth in Youngest & Oldest
Sussex 2015 and 2035
Source: Delaware Population Consortium

18. Median Age Source: American Fact Finder Area Median Age Sussex County
47.6
Kent County
37.2
New Castle County
37.6
Delaware
39.6
U.S.
37.7
Source: American Fact Finder

19. Median Household income
Area
Median Household Income ($)
Sussex County
54,218
Kent County
55,184
New Castle County
66,283
Delaware
61,017
U.S.
55,322 .
Source: U.S. Census Bureau

20. Sussex Employment Trends
Jobs/Industry
Sussex Employment Trends

21. Major Sussex Industry Groups
(2017 Employment)
Source: Del. Dept of Labor, OOLMI

22. Where Sussex Works (2017 - Jobs)
Source: Del. Dept of Labor, OOLMI

23. Avg. Annual Wage – Total All Industries
Delaware
$ 55,872
New Castle
$ 62,913
Kent
$ 42,537
Sussex
$ 39,504
2017 Annual Avg.

24. Average Annual Wage by Ind. Sussex (2017)

25. Agriculture in Sussex
Sussex has more acres of farm land than New Castle and Kent combined.
The market value of total Agr. Products sold was $921 million: Crops, $249 Million – Livestock, Poultry $672 Million.
Sussex County is the number one broiler producing county in the U.S.
Poultry and eggs is our #1 farm commodity representing about 71% of Sussex Market value of Agr. Products sold.
In the Delmarva Peninsula, Sussex remains as a key leader in the production of Soybeans, corn and wheat.

26. Nonemployer data in Sussex (2016)
Businesses with employees
Source DE Dept. of Labor
Part of the Unemployment Insurance system
Establishments with no employees (Self-Employed and Entrepreneurs)
Source: U.S. Census Bureau – “Nonemployer Statistics”
Most recent data is for 2016
How are they obtained?
How are they different from other data?
Why is this source important
We’ll refer to this information as “Establishments with no employees”.

27. Establishments with No Employees, 2016
Receipts
Avg. Ann. Receipts Per Firm
Delaware
63,121
$3,951,900,000
$62,608
New Castle
36,809 (58.3%)
$2,423,756,000
$65,847
Kent
10,088
(16.0%)
$ 638,016,000
$63,245
Sussex
16,224
(25.7%)
$ 890,128,000
$54,865
Source: U.S. Census Bureau – Non-employer Statistics

28. Establishments With No Employees, 2016 - Sussex
Source: U.S. Census Bureau – Non-employer Statistics

29. Average Annual Gross Receipts, Establishments With No Employees, Sussex, 2016

30. Average Annual Gross Receipts,
Establishments With No Employees, Sussex, 2016
Industry
Avg. Ann. Receipts
Construction
Finance. Ins. Real Estate
Information
Wholesale & Retail Trade
Transportation
Manufacturing
Professional & Bus. Serv.
Health & Social Assistance
Leisure & Hospitality
$80,559
$76,504
$74,194
$58,865
$53,896
$49,149
$44,922
$35,782
$22,471

31. Turnover Rates (%) – Sussex and DE
Source: U.S. Census Bureau, LEHD

32. Turnover Rates by Industry, Sussex (2016)
Industries with highest turnover rates:
Administrative Services, 19.6
Accommodations, Food Serv., 19.3
Arts, Entertainment, 17.4
Retail Trade, 12.0
Industries with lowest turnover rates:
Education, 6.0
Information, 6.8
Finance, 7.4
Wholesale Trade, 7.6
Transportation, 9.0
Source: U.S. Census Bureau, LEHD

33. Turnover Rates by Age – Sussex (2015)

34. Industries with the largest number of older workers
Industry
55+ workers
% of Tot. Ind.
Health Care and Social Assistance
2,913
27.4
Retail Trade
3,106
27.0
Manufacturing
2,404
23.9
Education
1,666
29.8
Accommodation and Food Service
1,237
12.5
Construction
1,196
25.2
Other Services
642
26.5
Real Estate and Rental and Leasing
533
39.9 .

35. Largest Occupational Groups Sussex 2017
Employment
Annual Avg. Wage
Food Preparation and Serving Related
10,700
$24,509
Office and Administrative Support
10,450
$34,161
Sales and Related
10,100
$33,698
Production
7,530
$30,488
Healthcare Practitioners and Technical
5,530
$79,331
Transportation and Material Moving
5,400
$33,468
Education, Training, and Library
4,640
$46,390
Building and Grounds Cleaning and Maintenance
4,000
$28,659
Installation, Maintenance, and Repair
3,200
$43,458
Construction and Extraction
$42,537
Personal Care &Service
2,680
$27,656
Healthcare Support
2,420
$31,149
Management
2,290
$117,711
Business and Financial Operations
1,730
$67,649
U.S. Dept. of Labor, Bureau of Labor Statistics, (BLS)

36. Largest Specific Occupations – Sussex 2017.
Source: U.S. Dept. of Labor, Bureau of Labor Statistics

37. Ann. Wages for Selected Occupations – Sussex 2017
Source: U.S. Dept. of Labor, Bureau of Labor Statistics

38. Demographic Summary
In the past forty years Sussex (population) has grown rapidly. The growth trend is expected to continue although at a slightly slower rate. The growth rate will be influenced by the improving real estate sector and the continuation of the influx of retirees.
The largest increase in our population will come from persons age 65+.
This will continue to increase the demand for healthcare services and the need for jobs in the field.
We will continue to focus on the need to attract and retain younger workers to replace “Baby-Boomers” during the next several years. But at the same time we will need to find ways to extend careers and introduce encore careers to our senior population.
We must continue to improve the quality of our workforce. This is a must for ensuring retention of existing businesses and attraction of new ones. We need to continue to improve our educational attainment results and job training programs.

39. Jobs - Summary
Since 2002, a large portion of total Sussex job growth has occurred in four sectors: Healthcare; Leisure & Hospitality; Education; and Professional & Bus. Services.
Leisure & Hospitality and Wholesale & Retail Trade are very large but relatively low paying industries. These two major groups represent 36% of jobs and 24% of total payroll.
In 2017, job growth in Sussex was led by Professional & Bus. Services, Healthcare, Leisure & Hospitality, Construction, and Wholesale & Retail Trade.

40. Jobs Summary (Continued)
Since 2002 job growth in Sussex has been faster than both Delaware’s rate and the U.S. growth rate.
In Sussex, there has been job growth for the past six consecutive years.
Education and training are the keys to our long term success and ability to support entrepreneurial efforts.
Wages and salaries are lower in Sussex ($38,600, Sussex vs. $53,800, Del.)
Industries that have above average annual wages include: Information, $56,810; Finance, Insurance & Real Estate, $53,519; Healthcare, $52,660; Transportation/Utilities, $49,865; Construction,$47,632; Government, $46,262; Professional & Bus. Services, $45,072, Manufacturing, $43,728.

41. Conclusion
Small businesses are critical to the success of Sussex; Support the efforts of small businesses and entrepreneurs.
Economy – expect continued job creation with low unemployment rates.
The real estate market continues to show very positive trends. This is a good sign for our near-term economic success.
Economic diversification – Workforce training and preparation is the key.
Aging population - impact on healthcare services and job growth. What will be the impact on the economy and occupational trends?

42. Conclusion(Cont.)
Our labor market continues to face major challenges. The need to attract high-wage and high-skilled jobs is our primary goal. But we’ll need to continue to improve and expand the knowledge and skills of our residents.
The current economy has led to improved job creation results.
Key issue remains: Attracting and retaining an experienced workforce.
Sussex continues to be an attractive tourist and retirement destination. Sussex has successfully been able to attract retirees. This trend is expected to continue.
Sussex is facing the challenges of an aging population. A positive outcome will be the creation of careers to support the aging population. This will have a continuing impact on healthcare services and job growth (need for younger workers). Will we be able to have enough younger workers?
So more emphasis is needed for attracting and retaining younger workers and families. The future of our economic development depends on this.
But we will still need to utilize the experience and abilities of our senior population. Our senior workforce is an asset that needs to be utilized.