Economic Base and Labor Force

Currently, the City of Gonzales has 2,230 employed residents, with 239 of them working within the city and 1,991 commuting to work elsewhere. As shown in Table 1, agriculture is the top hiring industry in Gonzales with 1,968 jobs, or 70 percent of the total jobs. Other industries in Gonzales each include less than 10 percent of the job share.


Table 1: Jobs by Industry in Gonzales
Industry Count Share
Agriculture 1,968 70.4%
Educational Services 236 8.4%
Manufacturing 97 3.5%
Accommodation and Food Services 97 3.5%
Other Services (excluding Public Administration) 88 3.1%
Wholesale Trade 86 3.1%
Retail Trade 74 2.6%
Health Care and Social Assistance 67 2.4%
Construction 30 1.1%
Professional, Scientific, and Technical Services 21 0.8%
Other 31 1.2%
TOTAL JOBS 2,795 100.0%
                Source: Applied Development Economics, Inc.

However, while agriculture is the main economic base industry in Gonzales, according to data displayed in Table 2 only 650 of the city’s labor force work in this industry and not all 650 are hired by the agriculture sector in Gonzales. These data show that the work force in Gonzales is trained with a more diverse set of skills, including health care, public administration, and education, which leads to a high out-commute of workers. 
 
Table 2: labor Force Distribution by Industry, Gonzales, CA
Industry Count Share
Agriculture 650 29.1%
Retail Trade 205 9.2%
Health Care and Social Assistance 184 8.3%
Public Administration 162 7.3%
Educational Services 154 6.9%
Accommodation and Food Services 144 6.5%
Manufacturing 138 6.2%
Wholesale Trade 101 4.5%
Other Services (excluding Public Administration) 96 4.3%
Construction 90 4.0%
Other 306 13.7%
TOTAL WORKERS 2,230 100.0%
               Source: Applied Development Economics, Inc.

Table 3 categorizes the industries mentioned in previous tables into three main groups of Good Producing, Trade and Transportation, and Other services. The upper part of the table shows how the city’s labor force is distributed among these categories. The largest group of Gonzales workers is employed in the services sector.  Many of these workers are employed in health care, government and education. Goods Producing industries hire 833 people from Gonzales. This sector includes agriculture, manufacturing, mining, and utilities as its subcategories.
 
Table 3: Employment Distribution, 2010
Industry Group Gonzales Labor Force
All Other Services 977
Good Producing 883
Trade, Transportation, and Utilities 370
Industry Group Commuters from Other Cities
Good Producing 2,098
All Other Services 530
Trade, Transportation, and Utilities 167
               Source: Applied Development Economics, Inc.

The lower part of Table 3 shows how the in-commuters to Gonzales compare among the major industry groups. As shown in the lower portion of Table 3, most of the workers are in the Goods Producing Industries, mainly agriculture. Table 4 provides a more detailed list of the types of businesses included in this category, along with the distribution of Gonzales Workers in each business type.
 
Table 4: Labor Force Distribution, “All Other Services”, 2010
Industry Number
of Workers
Percent of Total Labor Force
Health Care and Social Assistance 184 18.8%
Public Administration 162 16.6%
Educational Services 154 15.8%
Accommodation and Food Services 144 14.7%
Other Services (excluding Public Administration) 96 9.8%
Administration & Support, Waste Management 87 8.9%
Professional, Scientific, and Technical Services 44 4.5%
Finance and Insurance 33 3.4%
Management of Companies and Enterprises 27 2.8%
Information 20 2.0%
Real Estate and Rental and Leasing 15 1.5%
Arts, Entertainment, and Recreation 11 1.1%
TOTAL 977 43.8%
              Source: Applied Development Economics, Inc.

As Table 5 presents, within the City of Gonzales 98 percent of the Good Producing Industries’ employment share belongs to the agricultural industry.

Table 5: Good Producing Industries in Gonzales, 2010
Industry Count Share
Agriculture 1,968 93.8%
Manufacturing 97 4.6%
Construction 30 1.4%
Mining, Quarrying, and Oil and Gas Extraction 3 0.1%
 
              Source: Applied Development Economics, Inc.

Table 6 reports the top ten cities that Gonzales residents’ commute to for work. The City of Salinas hires the highest number of residents from Gonzales with a total of 535 employees, or 24% of the labor force from Gonzales. However, the data does not clarify which industries these residents work in except to the extent shown in Table 2 for all workers. Soledad, San Jose, and city of Monterey each hire less than 10 percent of the city’s labor force.

Table 6: Work Destination for Gonzales Residents, 2010
Destination City Count Share
Salinas 535 24.0%
Gonzales 239 10.7%
Soledad 155 7.0%
San Jose 129 5.8%
Monterey 68 3.0%
San Francisco 39 1.7%
Chualar CDP 33 1.5%
King City 33 1.5%
Fresno 27 1.2%
Gilroy 26 1.2%
All Other Locations 946 42.4%
             Source: Applied Development Economics, Inc.

As shown in Table 7, the largest group of workers employed in Gonzales come from Salinas, followed by Soledad, Gonzales and the other Salinas Valley cities. A large group is reported to have residences further away, which may be their permanent residence, but not where they stay when working in Gonzales.
 
Table 7:  Home Destination for Workers Employed in Gonzales, 2010
Destination City Count Share
Salinas 578 20.7%
Soledad 253 9.1%
Gonzales 239 8.6%
Greenfield 138 4.9%
King City 59 2.1%
Marina 34 1.2%
Prunedale CDP 31 1.1%
Monterey 27 1.0%
Los Angeles 26 0.9%
San Jose 22 0.8%
All Other Locations 1,388 49.7%
           Source: Applied Development Economics, Inc.