High-tech jobs help Bay Area economy grow
The technology sector is a major factor in the Bay Area's economy, which is reflected in recent data. According to the North Bay Business Journal, a December 2012 report from the Bay Area Economic Council Institute (BAECI) shows that high-tech jobs have been resilient since the economic recession that hit many cities and towns in the late 2000s. In fact, the availability of highly skilled workers and the large inventory of homes for sale in the Bay Area make this region ideal for many tech businesses.
"In terms of bang for the buck, high-tech jobs produce the greatest return across the entire employment market," Ian Hathaway, the Bay Area Council Economic Institute economist who authored the study, told the North Bay Business Journal. "The findings strongly suggest that California may be well-served by focusing its job creation and economic development energy on continuing to grow and support the high-tech sector."
Take a look at some of the report findings to learn more about the technology sector's impact on the Bay Area's economy.
1. Employment growth in tech jobs
The number of science, technology, engineering and math jobs significantly increased across the country between 2001 and 2011. In fact, the report showed that these positions outpaced gains in all other occupations by a 27-to-1 ratio during that time frame.
TechCrunch notes that the number of San Francisco tech jobs rose from 31,000 to 44,000 between January 2012 and August 2012. The news source points out that more technology firms and startups are interested in coming to the Bay Area, which could further boost job creation across the region.
2. Jobs multiplier effect
New high-tech jobs frequently lead to the creation of positions in other industries as well. The BAECI data revealed that approximately 4.3 jobs were created in local goods and services sectors across all income groups thanks to the high-tech segment. These positions include employment opportunities in education, legal, medical and retail sectors.
3. Demand for high-tech workers
Through 2020, the demand for high-tech employees may be significantly higher than the need for workers in other industries. Study researchers found that the unemployment rate for high-tech employees was lower than the country's jobless rate, which is a positive sign for staff members in this segment.
High-tech positions could significantly impact Bay area job seekers and people who are interested in moving to the region. More job opportunities could become available in the technology sector, and these positions could help draw new businesses that could spark the area's economy.