Wholesale and Retail Trade Snapshot

According to the U.S. Department of Labor, Bureau of Labor Statistics:

The wholesale and retail trade super sector is made up of two parts: the wholesale trade sector (sector 42) and the retail trade sector (sector 44 - 45).

The wholesale trade sector comprises establishments engaged in wholesaling merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. The wholesaling process is an intermediate step in the distribution of merchandise. Wholesalers are organized to sell or arrange the purchase or sale of (a) goods for resale (i.e., goods sold to other wholesalers or retailers), (b) capital or durable non consumer goods and (c) raw and intermediate materials and supplies used in production. Wholesalers sell merchandise to other businesses and normally operate from a warehouse or office.

The retail trade sector comprises establishments engaged in retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. The retailing process is the final step in the distribution of merchandise; retailers are, therefore, organized to sell merchandise in small quantities to the general public. This sector comprises two main types of retailers: store and non store retailers.

Quarterly Census of Employment and Wages data show that wholesale and retail trade make up a large part of the nation's employment and business establishments. In the economy as a whole, wholesale trade represents about 4.4 percent of all employment and about 7.2 percent of all establishments; while retail trade is about 11.7 percent of all employment and about 12.9 percent of all establishments.

Current Employment Statistics estimates show annual average employment in wholesale trade during the 1994 - 2003 period was between 5,247,300 (in 1994) and 5,933,200 (2000). During 2003, wholesale trade employment averaged 5,605,600. In retail trade during the same period employment ranged from 13,490,800 (1994) to 15,279,800 (2000). Retail trade employment averaged 14,911,500 in 2003.

Annual employment of non-supervisory workers in wholesale trade was 4,196,400 in 1994 and reached a peak of 4,686,400 in 2000. Employment of non-supervisory workers in wholesale trade averaged 4,394,500 in 2003. In retail trade, non-supervisory workers numbered 11,502,100 in 1994 and peaked at 13,039,800 in 2000. Employment of non-supervisory workers in retail trade averaged 12,648,700 in 2003.

The annual average of the average weekly hours of non-supervisory workers in wholesale trade was 37.8 in 2003; in retail trade, the corresponding average weekly hours number was 30.9 in the same year. For all private industry, the average was 33.7.

In wholesale trade, the average hourly earnings of non-supervisory workers were $17.36 in 2003; in retail trade, non-supervisory workers' average hourly earnings were $11.90. The average earnings for production and non-supervisory workers in all private industry were $15.35 in 2003.

Employment Projections data indicate that wholesale trade employment will increase 11.3 percent over the 2002 - 12 period. Retail trade employment will increase 13.8 percent. Total employment for all industry sectors is projected to grow 14.8 percent.

Labor productivity—defined as output per hour—grew by 5.6 percent in wholesale trade from 2001 to 2002, according to data from the Productivity and Costs program; the growth in output per hour in retail trade was 4.5 percent.