CompTIA: California tops tech sector employment, but for how long?

Dive Brief:

  • California, Texas and New York are the top three states for tech sector employment, according to a new report by CompTIA assessing the tech workforce across the U.S. California is by far the largest employer in the sector, with about 1.2 million tech workers, boasting an economy that is equal to the combined total of the 25 states at the bottom of the list. 
  • In total, there are an estimated 7.3 million workers in tech occupations, according to CompTIA. On average, tech industry workers earn a wage of $108,900, which is more than double the national average wage of $53,040.  
  • In 2016, the tech sector gained a net total of 182,000 jobs, accounting for 4% of the total U.S. workforce employment. The tech jobs added to the U.S. economy last year represented 10% of all jobs added. 

Dive Insight:

CompTIA's assessment confirms what many already knew: The tech industry is huge in the U.S. The size of the industry does not come from the number of workers in the industry, but rather the economic contributions it makes to the U.S. as a whole. And certain states shine above others, having worked to grow a local tech workforce, drawing in companies across sectors to locate headquarters in their state. 

With areas such as California and New York struggling with sky high cost of living rates, other tech economies in the U.S. are quickly growing. As CompTIA notes, Utah, North Carolina and Washington are among the states reporting strong year-over-year job growth, thanks in large part to the expansion of tech companies in the state. 

The U.S. tech workforce is not like it once was. Rather than relegating IT to the basement, tech is driving growth and progress across sectors. Every company is becoming a tech company, in a way, as organizations are looking to implement new, agile solutions to bring them into the digital age.

An impact of that, however, is companies need to pay innovative tech workers at or above market rates to ensure key employees aren't lost in the ongoing talent wars. After all, tech companies dominate the list of the highest-paying companies in the U.S. The lure of well-rounded benefits and a high-paying salary can sometime be too much to resist. 

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Filed Under: IT Strategy Leadership & Careers