FOR IMMEDIATE RELEASE:
May 26th, 2023
Greater Phoenix Chamber Foundation’s recently released State of the Workforce Report shows continued advancement and diversification of Arizona’s job market
PHOENIX, Ariz. – The Greater Phoenix Chamber Foundation hosted the annual State of the Workforce Event on May 25th to discuss Arizona’s labor market, current, and future talent gaps, and how employers can work with the education community to develop solutions.
“We are on the front end of a dramatic shift in how the state and Greater Phoenix region will be growing. One of the most useful measures of both growth and quality and a favorite among economists, per capita personal income, appears to have hit an inflection point and is now adjusting upward. In short, this means all the efforts made by policymakers, business leaders, and economic development organizations, including the Chamber, are indeed making a difference” said Todd Sanders, president & CEO of the Greater Phoenix Chamber.
Small and large businesses attended the State of the Workforce event to learn how they will be affected by workforce trends and hear about the changing dynamics of Arizona’s workforce. The event also touched on national trends that are impacting workforce participation, from financial freedom to childcare issues.
Jennifer Mellor, chief innovation officer of the Greater Phoenix Chamber Foundation, shared the data’s importance. “While the data contained in this report is a testament to the productivity of past actions, I’m hoping that it will also serve as a template for how we continue to grow and thrive in our great state,” said Mellor. “I also challenge other state leaders to do the same and join us in our efforts to improve the health of the economy and the economic outlook for our state’s workers and their families. If we continue down this path, the next decade will prove to be even stronger than the past.”
Key takeaways from the report:
- Arizona’s per capita personal income has been rising since 2012 and is outpacing the rest of the country as a result of the state’s focus on higher-quality jobs (page 5)
- Healthcare and social assistance, and professional and business services have led the state in job growth over the past 10 years (2012-2022) (page 6)
- Healthcare support occupations, transportation and materials moving occupations, and construction occupations have the highest projected demand over the next 10 years (2021-2031) (page 11)
- Arizona outpaces the nation in credit remediation, computer and electric product manufacturing, and data processing, all with average annual wages above $100,000 (page 13)
- Phoenix continues to see lower unemployment (3.1%) than the US (3.6%) and has outpaced the US in labor force participation rate (64.3% vs 62.4%) (pages 13- 15)
- Per a recent Hiring Lab Survey of unemployed workers, more than half (59%) cited financial cushion or spouse employment as reasons for a lack of urgency in finding employment (page 20)
“There were two primary things that really stuck out when working with the Foundation on this year’s workforce report,” said Jim Rounds, president & CEO of Rounds Consulting Group, Inc. “The first is that we are seeing an increase in the per capita personal income data when benchmarked against the nation, which has been on the decline for decades. This means Greater Phoenix is not just a leading region in terms of growth, it means the region is also becoming a leader in terms of higher-wage job growth. The second is a general observation about community-wide planning. I’ve never seen a period like this, where multiple entities are starting to coordinate their efforts related to workforce training and promotion of the area to this extent.”
The report further explores how the nature of business is changing and what that means for the talent pipeline on which the region’s employers rely. This report also includes an analysis of economic and labor market data and a survey of Chamber members to provide perspective on the labor demands of the next decade and beyond.
Talent is the lifeblood of business, and it is hoped this report will support high-impact, data-driven strategies that better align the efforts of our talent development ecosystem with the unique nature and economic trajectory of the Greater Phoenix region.
About the Greater Phoenix Chamber Foundation
The Greater Phoenix Chamber Foundation convenes and catalyzes business, education, and community to enhance college and career readiness, develop a more robust workforce, and build healthier communities throughout Arizona. The Foundation, a 501c3 nonprofit organization, leads the charitable and education initiatives of the Greater Phoenix Chamber under the four pillars of education, workforce development, wellness, and research. For more information, visit https://phoenixchamberfoundation.com.
LinkedIn: Greater Phoenix Chamber Foundation