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Most Recent State Data Show 2008 Gains in Georgia as Recession Unfolded

SBJ Special Report

May 3, 2010 - TechAmerica Foundation released its 13th annual Cyberstates report last week detailing national and state trends in high-tech employment, wages, and other key economic factors, including data about Georgia’s U.S. ranking.

The report, Cyberstates 2010: The Definitive State-by-State Analysis of the High-Technology Industry, covers all 50 states, the District of Columbia, and Puerto Rico.

Nationally, the high-tech industry lost 245,600 jobs in 2009, for a remaining total of 5.9 million workers. The recession–induced, four percent decline in tech employment is slightly lower than the five percent decline experienced by the private sector as a whole and follows four years of steady growth in tech industry employment.

Georgia’s high-tech industry added only 700 net jobs to its economy in 2008, bringing the state's total tech workforce up to 171,400 as of 2008, the most current year for which state data is available. The modest 0.4 percent gain in the midst of recession compared with an overall 1.8 percent loss in the state’s private sector workforce in 2008.

The average Georgia tech worker earned $79,100 in 2008, or 84 percent more than the state’s average private sector wage of $43,000.

Georgia’s tech industry job gains in 2008 were led by computer systems design and related services (+2,100 jobs), and engineering services (+1,000 jobs). However, the internet and telecommunication services sector lost 2,500 jobs in 2008. Despite this loss, Georgia still ranks 5th nationwide in internet and telecommunications services with 61,200 jobs.  Suniva, a solar cell company, was one of the 2008 announcements for Georgia,  moving its headquarters to the Norcross area in 2008, and will eventually add 150 jobs in the state.

“Georgia has one of the strongest technology communities in the country,” according to Jeff Katz, President, Definition 6. “Despite the recent loss of certain technology jobs in Georgia, it appears as though things are starting to turn around across many technology sectors. With continued support from state and local officials, Georgia will continue to improve its position as a leading epicenter for technology innovation.”

“The average high-tech industry worker in Georgia earns 84 percent more than the average private sector worker,” said Tino Mantella, President of the Technology Association of Georgia. “TechAmerica and TAG are proud of the role they play in partnership with the Georgia Department of Economic Development and others to bring new jobs to Georgia. And, we have a particular interest in supporting the companies who are already here to support their growth in our state.”

Two other major TechAmerica Foundation cyber reports that analyze the U.S. high-tech industry: Cybercities 2010: An Overview of the High-Technology Industry in the Nation’s Top 60 Cities, and Trade in the Cyberstates 2010: A State-by-State Overview of High-Tech International Trade, are forthcoming.

The new TechAmerica Foundation report was underwritten by Grant Thornton and can be purchased for $150. The quarterly supplement may be freely downloaded. Both reports may be accessed at: www.techamericafoundation.org/cyberstates.

What Does High Tech Mean for Georgia?

• 171,400 high-tech workers in 2008 (11th ranked cyberstate)
• 700 jobs added between 2007 and 2008
• High-tech firms employed 51 of every 1,000 private sector workers in 2008 ranked 20th nationwide
• High-tech workers earned an average wage of $79,100 (17th ranked), or 84 percent more than Georgia’s average private sector wage
• A high-tech payroll of $13.6 billion in 2008, ranked 14th nationwide
• 13,000 high-tech establishments in 2008, ranked 8th nationwide

Georgia’s National Industry Sector Rankings:
• 5th in internet and telecommunications services employment with 61,200 jobs

•  6th in software publishers employment with 10,900 jobs

• 10th in engineering services employment with 28,500 jobs



Source: Cyberstates 2010, published by by TechAmerica Foundation Data are for 2008 unless otherwise noted. 2008 state data are the most current available for employment, wages, payroll, establishments, and industry sector jobs.