Milestone reflects City’s thriving business climate and commitment to small business success. 

COVINGTON, Ky. — The City of Covington has officially surpassed $1 billion in annual payroll generated by its businesses, underscoring the City’s extraordinary economic growth and the vitality of its business community. 

According to data from the U.S. Economic Census, Covington’s total annual payroll across all industries has more than tripled over the past decade: 

• 2012: $294.8 million 

• 2017: $750.3 million 

• 2022: $981.7 million 

• 2025 (projected): $1.16 billion 

This trajectory reflects both the city’s expanding employment base and its balanced economic ecosystem, one that supports both global companies and the local small businesses that make up Covington’s backbone. 

“Crossing the billion-dollar mark isn’t just a number — it’s proof that Covington’s businesses are thriving,” Mayor Ron Washington said. “It reflects our commitment to creating an environment where entrepreneurs and established corporations all find success side by side.” 

Covington’s success is built on several key indicators of economic strength and quality of life: 

• A Class A office vacancy rate of just 5.2% signaling strong demand and healthy occupancy in Covington’s prime business spaces. 

• An impressive 91% small business success rate, proving new ventures find staying power here. 

• National recognition for livability and culture, including being named among the “50 Best Places to Live in the U.S.” by Money Magazine (2024), one of the “40 Most Charming Small-Town Downtowns in America” by HGTV (2025), and one of the “Top Small U.S. Cities for Food and Drink” by Food & Wine Magazine (2025). 

• A Perfect Score on the Human Rights Campaign’s Municipal Equality Index every year since 2022, affirming the City’s ongoing commitment to inclusivity. 

Covington’s inclusive policies, attractive quality of life, and investment in business-friendly infrastructure have made it a magnet for talent and entrepreneurship alike. 

“The top reasons most companies give for relocating to Covington are the vibe and safety of our business districts. The vitality of our streets is what CEOs realize will help them attract and retain talent,” Tom West, the City’s Director of Economic Development, said. “Small businesses, our historic buildings, and the Cov’s quirky creative energy are largely responsible for that vibe. Our support for small businesses is a critical strategy to help attract the large companies that pushed us past the billion-dollar mark.” 

From boutique shops and creative startups to national firms choosing Covington as their headquarters, the City’s diverse economy continues to grow in both size and strength, showing no signs of slowing down.