Louisville Burgundy Book: Labor Market Conditions Exceptionally Healthy in Louisville Zone

ST. LOUIS – A May survey of business contacts in the Louisville Zone of the Federal Reserve Bank of St. Louis revealed that 57 percent of respondents expect local economic conditions in 2015 to be better than they were in 2014, while only about 7 percent expect them to worsen.

The information was published June 23, 2015, in the latest quarterly release of the Burgundy Books, a publication produced by the St. Louis Fed. The reports offer comprehensive economic information for each of the Bank’s four zones: St. Louis, Little Rock, Ark., Louisville, Ky., and Memphis, Tenn.

According to the Louisville report, labor market conditions remain exceptionally healthy in the Louisville Zone. Total nonfarm payroll employment in the Louisville metropolitan statistical area (MSA) increased by 4.2 percent in the first quarter of 2015, outpacing the nation’s 2.3 percent. Additionally, nearly two-thirds of hiring managers surveyed reported they were increasing wages this year to retain employees. A smaller percentage reported that they are not raising selling prices in response.

For a summary and details on other specific economic indicators, such as the housing market, credit card delinquency and banking, see the full Louisville report.

The Louisville Zone includes southern Indiana and western Kentucky, with a population of approximately 3.4 million people, including the nearly 1.3 million who live in the Louisville MSA.