Evansville forecast 2025
Associate Professor of Economics, Romain College of Business, University of Southern Indiana
Professor of Economics and Dean of the Romain College of Business, University of Southern Indiana
The Evansville region (composed of Indiana’s Gibson, Posey, Vanderburgh and Warrick counties and Henderson County in Kentucky) is projected in 2025 to increase its strong manufacturing base, and continue embracing its role as a growing medical and finance hub. The region has a much stronger social network compared to the national average, which can be more effectively leveraged to spur business investment and growth.
The manufacturing sector is expected to add 274 workers (1% growth) over the next year. This sector accounts for a robust 17.8% of the workforce and regional concentration in this sector is 236% greater than the national average. The three fastest-growing sectors in the Evansville MSA are related to the region’s role as a growing finance hub. They are professional, scientific and technical services (which include legal, accounting and engineering services), finance and insurance and the management of companies and enterprises. These sectors are expected to grow by 2% over the next year, adding 187, 110 and 64 workers, respectively. Notably, two of these sectors (professional, scientific and technical services and finance and insurance) generated a positive competitive effect, meaning that these sectors are projected to grow faster than expected in the region compared to national and industrial trends.
While employment concentration in the aforementioned sectors is growing faster than expected, it is still below the national average for professional, scientific and technical services and finance and insurance. However, the region has built an above-average concentration in health care employment, with the region’s concentration 110% greater than the national average. This sector is expected to continue its growth in 2025 by adding 144 workers (1% growth).
Not all sectors in the region are expected to grow in 2025. Administrative and support services is projected to lose 133 workers (1% loss) and the utilities sector is expected to lose 5% of its workforce (or 50 workers) in 2025.
For the last part of this outlook, we want to focus on an overlooked sector in these types of economic overviews: religious, grantmaking, civic, professional and similar organizations (NAICS 813). Despite its low wages (the average cost-of-living-adjusted wage is only $25,622) and small material impact using traditional metrics, this sector has a significant employment concentration in the Evansville region. It includes traditional religious organizations; grantmaking and giving services; civic and social organizations and business and professional organizations (see Table 1).
Table 1: Evansville MSA employment in religious, grantmaking, civic, professional and similar organizations (NAICS 813)
| Description | 2024 jobs | 2024-2025 % change | 2025 employment concentration | Competitive effect |
|---|---|---|---|---|
| Religious organizations | 2,723 | 1% | 1.70 | 22 |
| Grantmaking and giving services | 131 | 6% | 0.74 | 5 |
| Civic and social organizations | 828 | 2% | 2.20 | 10 |
| Business, professional, labor, political and similar organizations | 409 | 2% | 0.89 | 4 |
| Total | 4,091 | 1% | 1.49 | 41 |
Source: Lightcast
Overall, the Evansville region boasts an employment concentration in civic and religious sector (NAICS 813) that is 144% higher than the national average. The importance of this sector surfaces when viewed as a proxy for the strength of the region’s social network or social capital. Social capital has not only been correlated with positive economic growth and mobility, but it has also been shown to bolster the resilience of a region to adverse shocks through resource mobility.
Perhaps the most intriguing aspect of social capital is the undergirding of trust that makes for more fluid coordination on larger community initiatives. This capital advantage is also reflected in the positive competitive effects for each subcategory and appears to be an untapped asset for the region. With a newer social enterprise-based business model gaining traction, the Evansville region may be an overlooked, but fertile ground for business investment.
