Explore Employment Share by Industry in Tucson, Arizona MSA
How are we doing?
In 2025, the industry mix in the Tucson Metropolitan Statistical Area (MSA) was similar to that of Arizona and the U.S., though notable differences occurred in manufacturing; government; and trade, transportation, and utilities. Government and military employment make up a larger share of Tucson's workforce than in Arizona or nationally. This reflects the region's major public institution and military installations. The government sector includes federal civilian, state, and local government jobs, with University of Arizona employees included in state government. Manufacturing accounted for a larger share of jobs nationally (7.9%) than in Arizona or Tucson (both at 5.9%). Trade, transportation, and utilities employment accounted for a larger share of total employment in Arizona (19.0%) than in the U.S. (17.9%) or Tucson (16.8%).
Why is it important?
Employment share by industry indicates which sectors make up the largest portions of a region's workforce. This measure provides insight into the composition of the local economy and the types of job opportunities available in a region. A large share of government jobs in a region often contributes to greater economic stability over the business cycle. Regions with a larger concentration of construction and manufacturing jobs tend to be more sensitive to economic expansions and contractions. In contrast, areas with a large concentration of healthcare and government jobs tend to be less sensitive to economic fluctuations.
How do we compare?
The Tucson MSA's industry mix in 2025 was generally similar to that of Arizona, with the most notable difference occurring in government jobs. The government sector (excluding the military) accounted for 18.9% of total employment in the Tucson MSA, a larger share than in Arizona (13.1%) or the U.S. (14.7%). Military employment represented 1.9% of total employment in the Tucson MSA in 2025, substantially higher than Arizona's 0.9%. The national military employment share was 1.2%, well below the Tucson MSA's rate. Tucson’s comparatively large military employment presence reflects local installations such as Davis-Monthan Air Force Base and the 162nd Fighter Wing of the Air National Guard.
How is it measured?
Employment by industry is estimated based on a survey of employers. It reflects the number of jobs at businesses and government entities located within a geographically defined area. Individuals who work at more than one establishment during the year are counted once for each job held. Data comes from the Bureau of Labor Statistics Current Employment Statistics (CES) program. The CES collects monthly survey data on employment, hours, and earnings for workers on nonfarm payroll. Military employment data comes from the Department of Defense for the U.S. and the states. Military employment shares are estimated using state-level employment from the U.S. Bureau of Economic Analysis (BEA).
