economic impact

The economic contributions of the chemical industry are numerous, though often overlooked. The business of chemistry directly employs over 800,000 people nationwide. In addition to the jobs created directly by the industry, additional jobs are supported by the purchasing activity of the chemical industry and by the subsequent expenditure-induced activity. In total, nearly 5.5 million jobs are generated by the business of chemistry. A quick rule of thumb is: a total of 6.5 jobs in the US economy are generated for every job in the chemical industry (1 job in the business of chemistry plus 5.5 additional jobs generated elsewhere in the economy).

In addition to the 4.65 million jobs it creates in other industries, the chemical industry contributes $2.6 billion to charitable organizations.

US Business of Chemistry Industry Snapshot (dollar values in billions)

Jobs (in thousands)

 

   Direct Jobs

850

   Supplier Jobs

841

   Expenditure-Induced Jobs

3,799

   Total Jobs

5,490

   Multiplier*

5.5 

 

Total Payroll

$66.5

Benefits

$23.5

Total Compensation

$90.0

 

Value-Added

$249

Federal Income Tax

Other Taxes Paid

$22.2

$10.7

Charitable Contributions

$2.6

* Each job in the chemical industry generates an additional 5.5 jobs elsewhere
 in other sectors of the economy.

Sources: Bureau of the Census, Bureau of Labor Statistics, Bureau of Economic Analysis, Internal Revenue Service, and American Chemistry Council analysis

Note: Data on charitable contributions, federal income tax, and taxes paid are for 2006. 
Data on value-added and compensation and benefits for 2006 and data on jobs
are for 2008.