economy

Job Growth Surges In New York City, Driving Rest Of State

Jobs in New York City have urged since the end of the recession, outpacing gains made nationally and in the rest of the state, according to a report released Thursday by Comptroller Tom DiNapoli.

New York City’s boom is one of its largest expansions since World War II, with employment increasing by 18.9 percent between 2009 and 2017 — reaching 4.4 million jobs last year.

Overall, the city has been the key driving force behind job gains in the state, with nearly 75 percent of the increases made since the end of the last decade. Many of these jobs are in the financial and securities sector, but much of the growth has also been driven by health care, business services and tourism-related industries like restaurants.

The rest of the state is a different situation, however, especially in upstate New York. The report found the remaining jobs gains made since 2009 were largely seen in the immediate metropolitan suburban counties of Nassau, Suffolk, Westchester, Rockland and Orange.

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As Amazon Says No Thanks, Erie County Plants Seed For Apple Pitch

If not Amazon, how about Apple?

Erie County Legislator Joe Lorigo, C, said he’s sent a letter to Apple Chief Executive Officer Tim Cook, inviting him to visit the region as the tech company begins its own search for a second campus. Lorigo’s announcement came shortly after Amazon released its list of 20 finalists for its second headquarters with a joint bid from Buffalo and Rochester not on the list.

“We made our pitch to Amazon in the last few months, unfortunately it was unsuccessful according to news today, but now it’s time we make our pitch to Apple. When one door closes, another opens. This isn’t the old Buffalo. We think big and we take our shot. I know what our community has to offer. I’m confident we can compete with any city big or small in the country,” Lorigo said.

Apple’s plan to create a 20,000 new jobs is not quite as grand as the Amazon plan, which is promising up to 50,000 positions, but it will likely stir a similar frenzy among mid-to-large sized American metropolitan areas. Lorigo said Erie County is getting an early start.

“I’ve already begun to reach out to other elected officials and our regional economic development agencies to make sure we have a plan in place. When opportunities like this arise, we have to work together to make the best possible pitch,” he said.

The economic development agencies may be able to build off of the plan they put together for Amazon. They said while the rejection is disappointing, the proposal highlighted a number of features that could attract companies to WNY including low operating costs, ease of travel, and an extensive university system.

“Overall, this joint effort yielded much information regarding how our two communities can work together to promote our region to future suitors and top-tier talent throughout the world,” the presidents of the Buffalo and Rochester agencies said.

Unemployment Declines To 4.8 Percent, But Jobs Decrease

The state’s unemployment rate last month declined from 4.9 percent to 4.8 percent, though the state’s private-sector jobs count decreased by 11,900 in October.

The number of unemployed New Yorkers fell by 1,900, according to the Department of Labor.

“New York State’s unemployment rate fell over the month, from 4.9% to 4.8%, due to an expanding labor force and a decrease in the number of unemployed. Additionally, the state’s economy has added more than 98,000 private sector jobs over the past year,” said Bohdan M. Wynnyk, Director of the New York State Department of Labor’s Division of Research and Statistics.

The decline comes after several months of increased unemployment rates in the state.

The national unemployment rate stands at 4.1 percent.

New York Unemployment Rose In September

The unemployment rate in New York increased last month despite a hike in the overall number of private-sector jobs in the last 12 months, the Department of Labor said on Thursday.

New York’s unemployment in September rose to 4.9 percent, up from 4.8 percent in August, growing from 4.7 percent in July.

New York’s private-sector job count grew by 1.1 percent, or 84,400 jobs, year over year.

“Despite today’s preliminary job report, when looking over the past year, New York State’s economy has added more than 84,000 private sector jobs and experienced historically low statewide unemployment rates,” said Bohdan M. Wynnyk, Director of the New York State Department of Labor’s Division of Research and Statistics.

The national unemployment rate is 4.2 percent.

WNY Competes For Even More Economic Development Funding

From the Morning Memo:

Starting with the Buffalo Billion and now Phase II of the governor’s signature economic development initiative, the state has made Western New York a priority for roughly the past half a decade.

As a result, members of the local regional economic development team know securing even more funding could be a big ask.

“It is a little bit difficult for us to win this competition because we already won over a billion and a half dollars in state support for our strategic initiatives including this one, Buffalo Manufacturing Works, but I would say this team is very impressed by the turnaround they’ve seen in Western New York and Buffalo in particular,” WNY REDC co-chairman Jeff Belt said.

The team is striving to put its best foot forward when it comes to New York’s annual regional competition. Every year it puts together a report on its strategy, progress and project priorities for the coming year.

On Wednesday, team members toured a number of projects in order to highlight what has already been done. The five-county region is focusing on key industry sectors, including advanced manufacturing, agriculture, bi-national logistics, energy, health & life sciences, higher education, professional services and tourism.

The latest report proposed new state investment of at least $20 million dollars, which the team believes it could use to leverage another $75 million in private investment. They said it would create 195 new jobs, 748 indirect jobs, and retain 290 existing jobs.

“Through the stops on today’s tour, the WNYREDC was able to showcase the priority projects that fit well into the council’s core strategies,” said the other Co-Chair and President of the State University of New York at Fredonia, Dr. Virginia Horvath.

“Our progress report demonstrates how we are moving forward and how we will continue to do so on our path to prosperity. The collective support of the state and the region as a whole over the last seven years has been the key factor in making sure Western New York has a bright future.”

Officials said the governor is expected to make a decision on additional funding in December.

 

New York Won’t Require Union Jobs As Part Of Amazon Package

From the Morning Memo:

Amazon is planning to build a new headquarters somewhere in the U.S. in the near future, potentially adding up to 50,000 jobs at whichever lucky location – or locations – get chosen.

Like so many other states across the nation, New York is pushing hard to win this contest.

While metro regions like Albany, Buffalo, Rochester and New York City are putting together the most attractive incentive packages they can, a large portion of what’s being offered will come from the state, and Empire State Development President Howard Zemsky said the package will be basically the same for any region that applies.

They have not decided on final numbers yet, but ESDC officials follow metrics based on the number of positions a company promises to bring and how well those jobs pay.

“We have a pretty good idea of what other cities may do based on the numbers Amazon has given us, so we’ll be competitive,” Zemsky said.

While the state is looking, of course, for good-paying jobs, Zemsky said the incentive package will not require any of those positions to be earmarked for union members.

“From my perspective, that’s between Amazon and…the unions, but that’s not a stipulation,” he said.

New York labor unions will likely have a difficult time organizing workers, even with an influx of thousands of jobs at once. Amazon has a long and well-documented history of squashing labor movements.

And convincing the state to add stipulations in the midst of an ultra-competitive process is likely a non-starter, since other states won’t make similar demands.

“We don’t really specify in that respect,” Zemsky said. “So we’ll work with them, but we’re trying to attract 50,000 jobs.”

Empire State Development and New York said they have a good professional relationship with the company, which already led to the announcement of 4,250 more jobs in New York City earlier this month.

NY Unemployment Rate Increased In July

New York’s unemployment rate jumped to 4.7 percent in July after its private-sector job count grew by 0.2 percent.

The Labor Department announced on Thursday New York’s overall job count grew by 18,800, or 8.1 million.

But July was the third straight month in a row the state’s unemployment rate has increased. In April, unemployment stood at 4.4 percent.

“The State’s private sector job count increased by 18,800 in July 2017, reaching a new record high. New York State’s economy has also now added more than one million private sector jobs since the beginning of Governor Andrew M. Cuomo’s administration,” said Bohdan Wynnyk, the director of the New York State Department of Labor’s Division of Research and Statistics.

Nationally, the unemployment rate in July stood at 4.3 percent.

NY Unemployment Ticks Upward In June

New York’s unemployment rate ticked upward in June to 4.5 percent as private-sector job growth remained relatively flat, growing by 23,000.

The Department of Labor in its announcement provided a rosy take on the unemployment picture, pointing to the state’s private-sector job count at more than 8 million — “a new record high.”

“New York’s labor market continued to expand in June 2017,” said Bohdan M. Wynnyk, Director of the New York State Department of Labor’s Division of Research and Statistics. “The State’s private sector job count increased by 23,900, reaching a new record high.”

Nationally, the unemployment rate last month stood slightly lower, at 4.4 percent. Job growth nationally grew by 0.2 percent, while in New York it grew by 0.3 percent.

In New York City, the jobless rate stood at 4.4 percent last month. Outside of New York City, it is 4.6 percent.

Signs Buffalo Tesla Factory Near Production

From the Morning Memo:

Empire State Development Corporation is maintaining a positive public outlook about the new Tesla/SolarCity solar panel manufacturing facility in Buffalo. Panasonic, a Tesla partner, hosted an informational meeting Tuesday evening in Buffalo.

The companies appear ready to start filling the factory up with full-time employees instead of construction workers.

“There’s a lot of equipment being installed. There’s hundreds of jobs being advertised,” ESD President Howard Zemsky said. “There’s several job fairs, I think three, going on around the city in different locations. We’ve met with Tesla recently.”

SolarCity has promised to create 3,000 jobs in the region including 500 manufacturing positions,  a number which has changed, like the companies and the industry, since the project was first announced as the anchor of the governor’s Buffalo Billion initiative. Zemsky said some of those changes, like the Panasonic partnership, are paying dividends though.

“I think that combination, the market cap and the depth and breadth of manufacturing experience, obviously is bringing itself to bear on that facility,” Zemsky said

Although media hasn’t been allowed in recently to see the progress, Zemsky believes the general public would be impressed with the factory.

“There’s a ton of equipment being installed there and that’s, I think, going to be an extremely dynamic factory,” he said. “They’ve developed new products since they’ve acquired the facility or since they’ve acquired SolarCity.”

The ESD president said regardless of whether federal energy policies change, the demand for solar and clean energy is growinng. He said Tesla will be supplying national and potentially international markets.

 

Unemployment In NY Falls To 4.6 Percent

Unemployment in New York fell in January from 4.8 percent to 4.6 percent after the private sector increased its job count by 28,500, according to the Department of Labor.

The lower statewide rate was driven by a decline in New York City’s joblessness, which fell from 4.9 percent to 4.5 percent, its lowest level since 1976.

The low unemployment rate is not being felt everywhere: In Rochester and in the Dutchess-Putnam area jobs were lost in the last year.

Between January 2016 and January 2017, jobs in Rochester declined by 1,100, while 1,900 jobs were lost in the Hudson Valley counties.

Still, New York’s unemployment rate is now lower than the national rate, which stands at 4.8 percent.

“The State’s labor market continued to expand in January 2017. Not only did the statewide economy reach a new record high of more than 8,000,000 private sector jobs, but our state’s unemployment rate dropped to its lowest level in almost a decade,” said Bohdan M. Wynnyk, Deputy Director of the New York State Department of Labor’s Division of Research and Statistics.