San Diego High-Tech Economy Responsible for 3 out of Every 10 Jobs in the Region
Kelly Cunningham, NATIONAL UNIVERSITY SYSTEM INSTITUTE FOR POLICY RESEARCH
Wednesday, October 12, 2011
San Diego High-Tech Economy Responsible for 3 out of Every 10 Jobs in the Region Technology industries create high-value jobs that significantly nurture and bolster the region’s vitality and economic prosperity. As of 2010, NUSIPR found the average annual wage of workers directly employed in local technology industries was $93,800, more than double the $45,000 average wage paid by non-technology companies.
According to NUSIPR’s modeling, the total economic value produced by the technology industry in San Diego accounts for 24.2 percent or nearly one in every four dollars generated in the 2010 $171.6 billion gross regional product. Production by local technology establishments was estimated to be $20.2 billion, while indirect and induced impacts generate another $21.3 billion, with total value of output at $41.5 billion.
Although current economic challenges have not left technology businesses unscathed, employment among tech sectors far outpaces other segments of the local economy. Most notably, employment among biotechnology and pharmaceutical companies continue increasing despite the severe financial restraints imposed by the nation’s Great Recession. A related sector of biomedical products and emerging sector for small business technical consulting services also continues to add jobs.
A summary of employers, employment, payrolls and impacts of San Diego’s technology industries are reported in the October 2011 issue of the “San Diego Economic Ledger” (attached).
National University System Institute for Policy Research (NUSIPR) is a non-partisan organization whose goal is to improve the efficiency and effectiveness of the public sector throughout San Diego County. NUSIPR produces high quality policy research papers, economic bulletins, and public opinion polls to help generate debate and discussion among San Diego’s decision makers and citizens alike.