Growing technology sector boosts housing

May 25, 2007
Author: Camilla McLaughlin

WASHINGTON – May 24,2007 – The country's high-tech industry added nearly 150,000 new jobs in 2006, according to “Cyberstates 2007,” an annual report detailing trends in high-tech employment and wages.

The report, published by AeA, a trade association representing all segments of the high-tech industry, is based on data from the U.S. Bureau of Labor Statistics.

The addition of high tech jobs often translates into an influx of well-paid newcomers to an area, according to Matthew Kazmiercak, AeA’s vice president for research – and that means more potential homeowners.

"This is the second year in a row that the tech industry has added jobs," Kazmiercak says. "Not only do these jobs make critical contributions to the U.S. economy, but they pay extremely well." The average tech industry wage is 86 percent more than the average U.S. private sector wage.

In fact, in 48 states the average high-tech wage is at least 50 percent more than the average private sector wage, and in 10 cyberstates this differential is more than 90 percent, observed William T. Archely, president and CEO of AeA.

With the addition of 150,000 jobs, total tech industry employment increased to 5.8 million in 2006. Tech sectors adding the most jobs were:

* Software services, up for the third year in a row, added 88,500 jobs.
* Engineering and tech services added 66,300 jobs, putting employment in the field at an all-time high.
* The semiconductor industry added 10,900 jobs.

Overall, 40 states added tech jobs in 2005, the most recent year that state-by-state data is available. California led the country in net job creation; Florida saw the second-largest gain, adding 10,900 tech jobs. The rate of job growth, at 4 percent, was highest in Florida, followed by Virginia at 3 percent. Virginia has the highest concentration of tech industry workers as a percentage (8.9 percent) of the private sector work force. Leading states by high-tech employment were, in order: California, Texas, New York, Florida and Virginia.

Unemployment rates for tech jobs also remain below other occupations. The unemployment rate for electrical engineers was 1.9 percent and 2.5 percent for computer and math occupations in 2006.

For more information, go to: http://www.aeanet.org/PressRoom/prjj_cs2007_US1.asp

Source: REALTOR® Magazine Online, Camilla McLaughlin

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