State Overview · Census CBP 2023

Alabama Industries

Employment and payroll benchmarks for 892 industries in Alabama

Reading the Alabama Industry Picture

Alabama (AL) shows 7,168,268 workers employed across 445,190 business establishments, covering 892 industries tracked by the Census Bureau County Business Patterns 2023 program. That single-state footprint is a starting point for anyone benchmarking location strategy, evaluating a market for expansion, or simply understanding where jobs concentrate. The single largest employer-industry in Alabama is Manufacturing with 272,338 workers — a signal about what kind of labor market and supplier ecosystem the state actually supports.

Beyond the top employer, Health Care and Social Assistance (268,162) and Retail Trade (238,329) fill out the top three, giving you a quick read on the state's economic base. Payroll dispersion is just as important as headcount: the highest-paying tracked industry (Finance and Insurance) pays $202,737/yr per employee, while the lowest-paying (Arts, Entertainment, and Recreation) pays $14,084/yr. That gap tells you how the state's median wage is being pulled up or down by its industry composition — critical context for anyone comparing cost of labor across markets.

Census CBP data does not include profit margins (that comes from IRS Statistics of Income at the national level only), so a full benchmark on any specific NAICS code in Alabama requires combining this state page with the national industry page. Click any industry in the table below to drop into a Alabama-specific NAICS view showing employment, establishments, annual payroll, and average compensation for that exact combination — then cross-reference the national page for profitability, entity structure, and SBA lending activity in the same industry.

Total Employment

7,168,268

Total Establishments

445,190

Industries Tracked

892

Top Industries by Employment

Industry Employment
Manufacturing

NAICS 31

272,338
Health Care and Social Assistance

NAICS 62

268,162
Retail Trade

NAICS 44

238,329
Accommodation and Food Services

NAICS 72

192,589
Accommodation and Food Services

NAICS 722

173,199
Administrative and Support and Waste Management

NAICS 56

167,261
Accommodation and Food Services

NAICS 7225

162,959
Accommodation and Food Services

NAICS 72251

162,959
Administrative and Support and Waste Management

NAICS 561

161,504
Professional, Scientific, and Technical Services

NAICS 54

120,697
Professional, Scientific, and Technical Services

NAICS 541

120,697
Construction

NAICS 23

103,761
Health Care and Social Assistance

NAICS 621

102,432
Health Care and Social Assistance

NAICS 622

95,784
Health Care and Social Assistance

NAICS 6221

90,500
Health Care and Social Assistance

NAICS 62211

90,500
Health Care and Social Assistance

NAICS 622110

90,500
Accommodation and Food Services

NAICS 722513

89,956
Other Services (except Public Administration)

NAICS 81

81,544
Transportation and Warehousing

NAICS 48

76,747

Frequently Asked Questions

How many people are employed in Alabama?
According to Census Bureau County Business Patterns 2023 data, Alabama has 7,168,268 employees across 445,190 business establishments in 892 tracked industries.
What are the largest industries in Alabama?
The largest industries in Alabama by employment are Manufacturing (272,338), Health Care and Social Assistance (268,162), and Retail Trade (238,329).
What is the average payroll in Alabama?
Average payroll per employee varies widely by industry in Alabama. The highest-paying tracked industry is Finance and Insurance at $202,737/yr. All data is from Census Bureau County Business Patterns 2023.
How many businesses operate in Alabama?
Alabama has 445,190 business establishments across 892 industries tracked by the Census Bureau County Business Patterns program. Each establishment represents a single physical location or operating unit.
Disclaimer: PlainBizBench provides publicly available IRS and Census data for informational purposes only. This is not financial, tax, or business advice. Consult a qualified accountant or financial advisor for business-specific guidance.

Source: Census Bureau County Business Patterns (CBP) 2023 · AL

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Data sourced from official U.S. government datasets. See our methodology for details. Retrieved and formatted by PlainBizBench Editorial

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