The Scoring Tech Talent report also ranks Philadelphia as one of the best value markets for tech talent
Philadelphia was ranked #22 on CBRE’s Tech Talent Scorecard, part of its fifth annual Scoring Tech Talent Report, which ranks 50 U.S. and Canadian markets according to their ability to attract and grow tech talent.
The report, which can be viewed in detail by market in the interactive Tech Talent Analyzer,finds that strong demand for talent that offer specific skills, such as software development, coupled with a tight labor supply, is driving companies to locate in markets with the largest concentrations of high quality talent. And while value is a key driver when it comes to choosing an office location, companies are showing that they are willing to pay a premium to access the highest quality tech talent.
“Since the cost of talent is the largest expense for most firms, the quality of that tech talent is becoming one of their most important considerations. The skills of the available labor pool do not appear to align with available jobs, causing a structural impediment to growth for companies across North America,” said Colin Yasukochi, director of research and analysis for CBRE and the report’s author.
Philadelphia was among the best value markets for tech talent, due to its low labor costs (averaging $97,300 for software developers) and “very-high” quality labor pool.
Tech Talent Scorecard
The top 10-ranked cities on the Tech Talent Scorecard were all large markets, each with a tech labor pool of more than 50,000. The San Francisco Bay Area, Seattle, New York, Washington, D.C., Atlanta, Toronto, Raleigh-Durham, Austin, Boston and Dallas/Ft. Worth made up the top 10.
The rankings for the Tech Talent Scorecardare determined based on 13 unique metrics including tech talent supply, growth, concentration, cost, completed tech degrees, industry outlook for job growth, and market outlook for both office and apartment rent cost growth.
Although Philadelphia slipped one spot from last year’s ranking at #21, the citystood out in the report in a few key areas:
- The Philadelphia metro area ranked #9 for tech degrees completed (4,655) between 2014 and 2015.
- The population of urban millennials in their 20s grew by 2,655 since 2010. That’s 6.8 percent of total growth in a population of 1,567,442.
- Philadelphia is among the most gender-diverse markets in the report, with a tech workforce that is 28.4 percent female, the ninth-largest percentage among the markets in the report.
“It is a dynamic time to be in Philadelphia—we’re in the middle of a major renaissance that is getting noticed,” said Rija Beares, vice president, CBRE. “What makes the tech talent pool here so innovative is the people. Philadelphia is producing a large number of tech graduates, which has created opportunities for companies seeking tech talent to expand or relocate in the Philadelphia region.”
To view the full report, please click here.To view individual markets statistics and rankings, including rankings on the Scorecard, click to access the Tech Talent Analyzer.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2016 revenue).The company has more than 75,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide.CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services.Please visit our website at www.cbre.com.
