This directory contains analysis of New Jersey's key industry clusters. Industry clusters are the engines that drive job expansion and attract new businesses in New Jersey. Analysis of New Jersey's industry clusters is provided below in a more accessible and usable format to help keep New Jersey's industry clusters in focus. New Jersey Department of Labor and Workforce Development's team of labor market analysts will produce written analytical articles, reports and presentations using the latest economic and demographic data available from the NJLWD.
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A Staff of Local Labor Market Analysts to Serve You
New Jersey Key Industry Cluster Fact Sheet
New Jersey Labor Market Views Articles About Key IndustryClusters
Industry Cluster Definitions by NAICS Codes (Excel)
Health Care Study: Winter 2016-2017
The overall health, both of New Jersey's economy and its people, is
clearly tied to the capabilities of the evolving health care industry.
The health care industry contributed aver $36 billion to New Jersey's
Real Gross Domestic Product (GDP) in 2014, or roughly 7 percent of all
state output (latest available from the U.S. Bureau of Economic
From 1990 through 2015, the health care sector has added
205,600new jobs, while all other industries combined
had a net gain of only 144,000.
Health care is the only industry that has added jobs in the state every
year from 1990 through 2015 while increasing its share of jobholding
from 7.5 percent in 1990 to 11.9 percent in 2015.
Bio Pharma Life Science Study: Winter 2016-2017
The vitality of the biopharmaceutical and life-sciences cluster in New
Jersey is fundamental to the state's economic health with its well-paying jobs.
New Jersey's life sciences employment totaled over 116,700 in 2015,
or 3.5 percent of the state's private sector workforce. Nationally, the
proportion was just 1.9 percent.
Establishments totaled over 3,100 in 2015. Despite recent reorganizations by
pharmaceutical firms, the drug and pharmaceutical component's establishment
count increased between 2010 and 2015 by 8.2 percent, slightly slower than the
nation (+13.7%) over the same period.
Transportation, Logistics & Distribution
TLD Study: Winter 2016-2017
The real estate ideal of "location, location, location" aptly describes New Jersey's
transportation, logistics and distribution industry.
In 2015, transportation. logistics and distribution (TLD) employed 370,260
workers in New Jersey. The cluster employed 11.2 percent of the state's
private sector workers, a higher percentage than for the nation (8.8%).
TLD contributed $56.8 billion to the state's Real Gross Domestic Product
(GDP-chained 2009 dollars) in 2015.
According to 2014 figures (latest available) from the U.S. Army Corps of
Engineers, Waterborne Commerce Statistics Center, New Jersey's shipping
activity accounts for 11.5 percent of the nation's tonnage of total cargo
Leisure, Hospitality & Retail
LHR Study: Winter 2016-2017
New Jersey has a well-earned reputation as a place for great entertainment,
vacations and shopping which is why the LHR industry continues to thrive
throughout the state.
LHR jobholding totaled 814,979 in 2015, or 24.6 percent of the state's
private sector workers, a lower percentage than for the natiion (26.0%).
Many of the businesses within LHR are involved in New Jersey's travel
and tourism and directly support 318,330 jobs in 2015.
- According to the NJ Division of Travel and Tourism, the state again set
a record in 2015, with the tourism industry accounting for $43.4 billion
in economic impact — an increase of more than 3 percent over the
Financial Services Study: Winter 2016-2017
New Jersey's close proximity to New York City, highly competitive corporate
real estate rates and an unmatched talent pool make New Jersey a prime
location for financial services firms.
- Despite a relatively small employment base (5.3% of New Jersey's
total private sector employment in 2015) finance and insurance
contributed almost $30 billion or roughly 6.5 percent to the state's Real
Gross Domestic Product in 2015.
- According to the NJ Business and Industry Association, 17 of the state's
top 100 employers are finance and insurance firms whose combined
employment represents approximately 42.5 percent of jobholding in
the finance and insurance industry sector.
Advanced Manufacturing Study: Winter 2016-2017
The term "advanced manufacturing" is often used to describe products or processes
that utilize technological advances to enhance the way we make the things that we make.
In 2015, there were more than 156,800 people employed in industries
classified as advanced manufacturing in New Jersey, or about 66 percent
of manufacturing employment statewide.
The advanced manufacturing cluster contributed over $33.1 billion
to New Jersey's Real Gross Domestic Product in 2015, or about 6.3
percent of all state output. (latest available from the U.S. Bureau of
Advanced manufacturing employment is primarily comprised of five
industry groups: chemical manufacturing (27%), food manufacturing
(20%), computer and electronic product manufacturing (15%), fabricated
metal manufacturing (13%) and machinery manufacturing (9%). The
remaining 16 percent is made up of selected detailed industries.
Technology Study: Winter 2016-2017
Industries in the technology cluster have a high proportion of scientists,
engineers and technicians. They are primarily located in the
utilities, manufacturing, information and professional, scientific and
technical services industries.
In 2015 New Jersey's technology cluster accounted for 362,730 jobs
or 10.9 percent of private sector employment statewide. Nationally
the cluster was responsible for 9.6 percent of all private sector
The annual average wage for the technology cluster was $118,430
in 2015, or 191.1 percent of the statewide average ($60,146) for all industries.
Employers in the industry paid nearly $43 billion in wages or about 21 percent
of the total wages paid in all industries.
Employment within the technology cluster can primarily be found within the
following sectors: professional, scientific and technical services (50.1%),
manufacturing (17.5%), wholesale trade (16.3%), and information (13.9%).
Construction-Utilities Study: Winter 2016-2017
The construction and utilities sector provides many employment opportunities for
blue collar workers to earn above average salaries.
- Since 2012, the construction and utilities sector had a strong yearly average
employment increase of 3 percent versus the statewide average of 1 percent.
- Seventy-four percent of construction and utility occupations require less than
a bachelor’s degree, but the average wages in the sector are 16 percent higher
than the statewide average.
- From 2014 to 2024, the construction and utilities sector is projected to
increase its employment by an average of 1.3 percent annually while
creating 22,150 new jobs.
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