Tech Services Fuel San Francisco Job Growth

May’s sharp slowdown in overall job creation in the Bay Area raised concerns, but we in the tech world should bear in mind that professional, scientific and technical services were the strongest sectors in the state’s report.

The region overall added only 2,500 jobs in May, a steep decline from gains averaging roughly 10,000 a month over the previous nine months. But of those added jobs 1,000 were in tech services, said the California Employment Development Department.

In April, tech jobs grew faster in San Francisco than in Silicon Valley. The growth rate in San Francisco, Marin and San Mateo counties soared 10 percent, to 94,100 positions. At the same time, Santa Clara and San Benito counties were up a mere 3 percent, to 211,000.

Some controversial policies in San Francisco are part of the story, including breaks on payroll taxes and other incentives to hire in so-called Enterprise Zones. These were offered to Twitter and others to locate offices in the blighted Mid-Market and Tenderloin districts.

Nonetheless, Silicon Valley ranks No. 3 on Dice’s list of top metro areas. It lists more than 5,500 open positions in the San Jose area and more than 3,600 around San Francisco.

Related Links:
San Francisco Leads Technology Employment Growth in Bay Area [TriNet]
San Francisco—Silicon Valley North [WSJ]
The Best Cities For Tech Jobs [Forbes]

Comments

  1. BY jcpopescu says:

    Tech Services Fuel San Francisco Job Growth.

    This headline is simply misleading.

    I have been in San Francisco practically all my life, almost fifty years, and I can tell you the “job creation” in this city is dismal. What I’m seeing is the same amount of shuttered storefronts, for lease signs, and indications that not much has changed from the first dotcomedy implosion.

    The city has used political shell games, gimmicks, and just nonsense to try to lure business. This amounts to classic backroom dealing, palm greasing, and political quid pro quo. The fact is Twitter and the “tech startups” are NOT creating the volume of jobs they would like you to believe. Go past those companies, something I do on almost a daily basis, and the faces look ALL the same: Young, indentured, foreigners with “H-1B” stencilled on their forehead.

    Perhaps, Ms. Hall, it’s time to discover what investigative journalism is and start drilling down a LOT deeper.

    • BY Mark Feffer says:

      I don’t really understand your comment. All this story does is document a couple of data points – that tech did better than other sectors in a jobs report and that the city is using different incentives to try to lure new companies. It didn’t say whether the incentives are or aren’t working.

    • BY Vladimir says:

      Well, I think we have new ‘era’ of incoming cloud companies in San Jose area. If I have to do tech invest today I would invest from whole world just in San Jose area.

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