Located in:
- II. Strategic Elements
The Unified or Combined State Plan must include a Strategic Planning Elements section that analyzes the State’s current economic environment and identifies the State’s overall vision for its workforce development system. The required elements in this section allow the State to develop data-driven goals for preparing an educated and skilled workforce and to identify successful strategies for aligning workforce development programs to support economic growth. Unless otherwise noted, all Strategic Planning Elements apply to Combined State Plan partner programs included in the plan as well as to core programs.
- a. Economic, Workforce, and Workforce Development Activities Analysis
The Unified or Combined State Plan must include an analysis of the economic conditions, economic development strategies, and labor market in which the State’s workforce system and programs will operate.
- a. Economic, Workforce, and Workforce Development Activities Analysis
II. a. 1. A. Economic Analysis
The Unified or Combined State Plan must include an analysis of the economic conditions and trends in the State, including sub-State regions and any specific economic areas identified by the State. This must include—
i. Existing Demand Industry Sectors and Occupations
Provide an analysis of the industries and occupations for which there is existing demand.
ii. Emerging Demand Industry Sectors and Occupations
Provide an analysis of the industries and occupations for which demand is emerging.
iii. Employers’ Employment Needs
With regard to the industry sectors and occupations identified in (A)(i) and (ii), provide an assessment of the employment needs of employers, including a description of the knowledge, skills, and abilities required, including credentials and licenses.
Current Narrative:
Although the economic trends of the State of Arkansas depend partly on the location in the state, Arkansas has a healthy economy. Despite a population size of less than one percent of the nation (.9% based on the 2020 U.S. Census), four of the Fortune 500 companies are headquartered here. This list includes the largest retailer in the world (Walmart), one of the largest food producers in the world (Tyson), a national chain of gas stations (Murphy USA), and a major trucking company providing services to the United States, Canada, and Mexico (J.B. Hunt).
Arkansas is also fortunate to be home to major operations with companies headquartered in other states such as Murphy Oil, Baxter International, Lockheed Martin, Hewlett-Packard, FedEx, Post Foods, Kimberly-Clark, Amazon, Nucor to, and Standard Lithium, to name a few. Arkansas has been fortunate to host the creation of unique information and service provider companies, such as Acxiom, Southwest Power Pool, and the Windstream.
Much of Arkansas is rural, and this challenge must be faced throughout this plan. Most jobs are in the urban areas of the state, but some job possibilities currently exist in rural areas. Southern Arkansas is home to North America’s biggest brine processing industry and the largest reported lithium brine resource in the U.S. Rural areas are major sources of timber. Many of the state’s 22 public two-year colleges (or their branches) are in rural areas, thus hiring professions and other office worker in rural areas, as well as providing education in rural areas. Rural areas include state and county government offices, small businesses, nursing homes, and medical facilities.
Some large businesses choose to keep their headquarters in rural areas. For example, Murphy USA chose to keep its corporate headquarters in El Dorado (population approximately 18,000), where Murphy Oil began. When they had a problem attracting the needed hundreds of talented professionals to be workers, they developed an entertainment non-profit company (the Murphy Arts District) to make the town more attractive to young professionals. Local areas and other state and community resources must help businesses and industries who wish to stay in rural areas to develop plans to help them stay.
As a service to the citizens of Arkansas, including Local Workforce Development Areas seeking information for participants, the Labor Market Information section of the Arkansas Division of Workforce Services (ADWS) provides employment information through its website http://www.discover.arkansas.gov. This website projects the 10 industries to be the largest employers in 2022.
TOP 10 INDUSTRIES - PROJECTED FOR 2022
- MERCHANT WHOLESALERS, DURABLE GOODS - 26,433
- LOCAL GOVERNMENT, EXCLUDING EDUCATION AND HOSPITALS - 42,913
- BUILDING EQUIPMENT CONTRACTORS - 19,790
- OFFICES OF PHYSICIANS - 27,189
- RELIGIOUS ORGANIZATIONS - 34,943
- SERVICES TO BUILDINGS AND DWELLINGS - 15,527
- BUSINESS SUPPORT SERVICES - 10,060
- CREDIT INTERMEDIATION AND RELATED ACTIVITIES - 20,553
- ANIMAL SLAUGHTERING AND PROCESSING - 34,724
- SOCIAL ADVOCACY ORGANIZATIONS - 6,056
The ADWS May 2020 Wage Survey, identified the ten largest occupations, and the number employed, and the average wage in 2020. These ten occupations represent almost a fourth of the 1,177,860 estimated employees covered in the 2020 wage survey.
| OCCUPATION | EST. EMPLOY. | AVERAGE WAGE | % OF TOTAL EMPLOY. |
|---|---|---|---|
| FAST FOODS/COUNTER WORKERS | 36,650 | $22,210 | 3.11% |
| RETAIL SALESPERSONS | 36,030 | $28,090 | 3.06% |
| HEAVY AND TRACTOR TRUCK DRIVERS | 35,940 | $46,630 | 3.05% |
| CASHIERS | 27,370 | 23,830 | 2.32% |
| OFFICE CLERKS, GENERAL | 26,290 | $32,880 | 2.23% |
| REGISTERED NURSES | 25,300 | $63,640 | 2.15% |
| GENERAL AND OPERATION MGRS | 20,400 | $91,530 | 1.73% |
| HOME HEALTH/PERSONAL CARE AIDES | 20,170 | $23,510 | 1.71% |
| STOCKERS/ORDER FILLERS | 20,170 | $27,960 | 1.71% |
| LABORERS, FREIGHT, STOCK, MOVERS | 19,780 | $28,910 | 1.68% |
Many of these industries and occupations are expected to keep growing. Most of these industries and occupations can be found in every Local Workforce Area of Arkansas. ADWS expects employment in the industries listed in the chart below to increase the most numerically from 2018 to 2028.
| NAICS Title | Est. Employ 2018 | Proj. Employ 2028 | % Change |
|---|---|---|---|
| Restaurants and Other Eating Places | 90,011 | 103,398 | 14.87% |
| Individual and Family Services | 25,261 | 32,369 | 28.14% |
| Management of Companies and Enterprises | 34,782 | 40,395 | 16.14% |
| Offices of Physicians | 25,312 | 30,038 | 18.67% |
| Local Government, Excluding Education and Hospitals | 41,740 | 46,062 | 10.35% |
| Insurance Carriers | 16,806 | 20,438 | 21.61% |
| General Medical and Surgical Hospitals | 52,392 | 55,953 | 6.80% |
| Employment Services | 29,158 | 32,507 | 11.49% |
| Elementary and Secondary Schools | 71,932 | 75,173 | 4.51% |
| Religious Organizations | 25,120 | 28,148 | 12.05% |
| Offices of Other Health Practitioners | 9,283 | 11,967 | 28.91% |
| Building Equipment Contractors | 17,625 | 20,260 | 14.95% |
| State Government, Excluding Educ. and Hospitals | 34,280 | 36,787 | 7.31% |
| Home Health Care Services | 6,948 | 9,391 | 35.16% |
| Nursing Care Facilities (Skilled Nursing Facilities) | 22,865 | 25,061 | 9.60% |
| Computer Systems Design and Related Services | 9,594 | 11,493 | 19.79% |
| Truck Transportation | 32,419 | 34,314 | 5.85% |
| Services to Buildings and Dwellings | 15,148 | 16,893 | 11.52% |
| Child Day Care Services | 10,236 | 11,911 | 16.36% |
| Grantmaking and Giving Services | 3,097 | 4,759 | 53.66% |
The Arkansas Economic Commission has identified 8 key industries for the state: Aerospace and Defense; Corporate and Shared Services; Distribution and Logistics Services; Food and Beverage; Metals; Paper and Timber Products; Software Development and Data Management Services; and Transportation Equipment Manufacturing. This list is a change from the list in the original Arkansas State Plan (http://www.arkansasedc.com/industries).
The report, “State of Arkansas Long-Term Industry and Occupational Projections 2018-2028,” is available at https://www.discover.arkansas.gov/Employment/Employment-Projections/index. Projections for individual Local Workforce Development Areas are also available at that website. Projections for occupations will vary by local area, but the 20 occupations to have the greatest numerical increases in Arkansas, along with education generally required for these occupations, is listed in the chart below.
The different make-up of the LWDAs demonstrates that each region of the state has a unique makeup of industries in its area, with its own challenges for meeting the needs of employers in that region. The three charts below, with information form the Arkansas 2021 Labor Market and Economic Report, list largest occupations, projected major occupational groups, growing Supersectors for the Arkansas LWDAs.
More detailed information may be found in original report, which may be downloaded from: www.discover.arkansas.gov
Largest 2 Occupations (2020)
| Central Arkansas | Fast Food and Counter Workers, Retail Salespersons |
|---|---|
| City of Little Rock | Registered Nurses, Retail Salespersons |
| Eastern Arkansas | Fast Food and Counter Workers, Cashiers |
| North Central | Fast Food and Counter Workers, Heavy and Tractor-Trailer Truck Drivers |
| Northeast | Retail Salesperson, Fast Food and Counter Workers |
| Northwest | Heavy and Tractor-Trailer Truck Drivers, Retail Salespersons |
| Southeast | Fast Food and Counter Workers, Home Health and Personal Care Aides |
| Southwest | Laborers and Freight, Stock, and Material Movers, Hand; Heavy and Tractor-Trailer Truck Drivers |
| West Central | Retail Salespersons, Fast Food and Counter Workers |
| Western | Heavy and Tractor-Trailer Truck Drivers, Fast Food and Counter Workers |
Projected Top Growing Major Occupational Group (2020 - 2022)
| Central Arkansas | Personal Care and Service Occupations |
|---|---|
| City of Little Rock | Healthcare Support Occupations |
| Eastern Arkansas | Production Occupations |
| North Central | Management Occupations |
| Northeast | Healthcare Practitioners and Technical Occupations |
| Northwest | Management Occupations |
| Southeast | Personal Care and Service Occupations |
| Southwest | Architecture and Engineering Occupations |
| West Central | Community and Social Service Occupations |
| Western | Education, Training, and Library Occupations |
Top Growing Industry Supersectors (2020 - 2022)
| Central | Construction |
|---|---|
| City of Little Rock | Financial Activities |
| Eastern Arkansas | Natural Resources and Mining; Trade, Transportation, and Utilities (tied) |
| North Central | Manufacturing |
| Northeast | Professional and Business Services |
| Northwest | Professional and Business Services |
| Southeast | Professional and Business Services |
| Southwest | Government |
| West Central | Other Services (except Government) |
| Western | Professional and Business Services |
Based upon the top growing occupations listed above, Local Workforce Areas will need to address any skills gaps that arise due to insufficient education levels compared to projected education levels needed. Shortages of skilled workers in rural and lower-income areas of the state, coupled with the lack of “soft skills” and emotional intelligence on the part of these workers will need to be addressed. The entire workforce development system must work collectively to address these issues to ensure that our workforce is ready to enter these occupations successfully.