A new report released today by the Progressive Policy Institute shows how the tech-ecommerce ecosystem is creating jobs at a pace comparable to post-war manufacturing. The report also analyzes the geographic job gains from the tech-ecommerce ecosystem, and the ecosystem’s ability to cushion the employment blow from the pandemic.
“People don’t think of tech as being a big source of jobs. But today’s tech-ecommerce leaders employ almost as many workers as did manufacturing giants such as GM, GE and IBM,” said Michael Mandel, Chief Economic Strategist at PPI.
This report comes at a turning point in the economic crisis caused by the pandemic. The U.S. Department of Labor announced today that the labor market had the largest rebound in jobs since August, with 916,000 jobs added in March, and unemployment falling to 6 percent.
Key findings from the report include:
The tech-ecommerce ecosystem – including both large and small employers – has arisen to become the top job creator in the U.S. economy.
Based on data from the Bureau of Labor Statistics, the industries in the tech-ecommerce ecosystem generated more than 1.2 million net new jobs from 2016 to 2020, including the pandemic.
Average pay in the tech-ecommerce ecosystem is 44% higher than average pay in the private sector, and 21% higher than average pay in manufacturing nationally.
The growth of tech-ecommerce jobs has also expanded beyond the coasts and regions known as tech innovation hot-spots, including growth during the pandemic in Arizona, Ohio, Texas, Indiana, and Florida.
Read the full report here.
Media Contact: Aaron White – awhite@ppionline.org
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