In yet another example of the growing importance of the technology sector to the metropolitan area, March 2012 marks thirteen consecutive months in which New York City and the surrounding area posted the largest volume of new technology jobs created throughout the United States.
The increased focus on technology throughout media and communications companies, combined with a dramatic upsurge in new startups in the metropolitan New York/New Jersey area, has translated into a substantial number of new jobs. According to dice.com, after considering new tech job postings this month, NY has been the frontrunner for over a year, with over 9,000 new technology jobs in March alone.
In another bit of good news, the technology job postings are coming from a broader range of industries than ever before, with the growth offset in part by a decline of jobs in financial services. Social media companies and assorted tech startups – including software, communications and mobile applications — are an increasingly important source of job growth in New York and New Jersey.
Facebook, whose IPO is pending, announced the opening of an office in New York earlier this year. In addition, new tech companies like FourSquare and Tumblr are expanding substantially.
Commentators conclude that New York City is a great place for entrepreneurs with technical skills to launch companies. Accelerators (a form of venture investing that includes mentorship, office space, and other support) increasingly play a critical role in supporting the growing cadre of technology startups, but more on that in my next article.
New York City led the way with 9,195 new tech jobs in March, followed by second-place Washington, D.C./Baltimore market (8,289 new tech jobs), and third-place Silicon Valley (5,710 new tech jobs). Ironically, even as most sectors of the economy still suffer from high rates of unemployment, the technology sectors are at “full employment,” with an overall unemployment rate of about 4%. As a result, companies are competing for skilled workers in a tightening labor market. Can increased salaries and bonuses and more generous equity compensation plans be far behind?