Pittsburgh Region by the Numbers – Fall 2014

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    About this Publication:The Greater Pittsburgh Workforce Quarterly is a publication produced by ImaginePittsburgh.com and thePittsburgh Regional Alliance. These reports, published quarterly, analyze and present primary and second-ary regional labor supply and demand data to inform the public of the evolving workforce landscape andthe challenges and opportunities they bear for the region. It is our hope that the reports present workforcedata in an easily digestible and visual way.

    The demand data was made possible through a partnership with the Pennsylvania Department of Laborand Industry.

    About the Partners:ImaginePittsburgh.com is the Allegheny Conference on Community Developments talent attractionand retention platform with a unique job search engine at its core. The search engine pulls in open jobsfrom over 900 different sources representing the open positions in the 10-county Pittsburgh regionThe Pittsburgh Regional Alliance (PRA), markets the benefits of conducting business in southwesternPennsylvania to companies all over the world that are growing, relocating or expanding. The PRA alsoworks to support the growth of existing regional employers. Both ImaginePittsburgh.com and thePittsburgh Regional Alliance are affiliates of the Allegheny Conference on Community Development

    For more information regarding this report, please contact:

    Meredith FaheyProject Manager, Workplace

    Allegheny Conference on Community Development

    [email protected]

    P: 412.281.4783

    Imaginepittsburgh.com

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    The Greater Pittsburgh Workforce Quarterly Volume I, Issue I

    IT-Related Careers:Shifting Perceptions to Meet Demand

    No longer does IT describe a specific industry focused

    on information and computer technology; rather it is a

    broad collection of occupations that support a wide arrayof industries. For example, 67% of all software developers

    in the region were employed by the financial and busi-

    ness services sector in 2012.1 And according to Imag-

    inePittsburgh.coms job search engine aggregator, nearly

    57% of all open positions across all sectors require some

    level of IT-related knowledge.2

    Nor do all IT-related jobs require a four-year degree.

    Among 20 computer-related occupations identified by

    the Pittsburgh Regional Alliance (PRA) the Pittsburgh

    regions economic development marketing organization

    seven do not require a four-year degree. In fact, web

    developers, which require an associates degree, have ex-

    perienced the fastest growth rate (21%) between 2007

    and 2012 in the 10-county Pittsburgh region.3

    In advanced manufacturing, for example, Ashley Wellner,

    director of manufacturing at Aerotech, a precision motion

    control manufacturing company, explains the changes

    hes seen: Todays modern manufacturing relies on work-

    ing smarter rather than working harder, Wellner says.

    Modern production employees not only need to know

    their trade, but in most cases are required to have an un-

    derstanding of computer and programming skills.

    There are IT-related opportunities available at all ed-ucation levels, but those who wish to advance theircareers will need to be active and engaged learners,he adds. Employees who are willing to continuetheir education and training can leverage their in-creased knowledge into higher wages and securelong-term careers.

    As IT-related occupations spreadacross industries and education levels,the IT sector itself remains strong andis growing

    The PRA collects data annually on new business invest-ments and expansions in the 10-county Pittsburgh re-gion. It found that in 2013, the IT sector experienced a54.5% growth in the number of announced businessexpansions and new investment deals in the Pittsburghregion called wins by the PRA. It was the highestgrowth rate in six years.4 This rate outpaced eds andmeds and financial and business services. The 51 an-nouncements among IT companies are anticipated tocreate 1,417 jobs over the next several years.5 A com-pany such as Computer Science Corporation recentlyannounced a $14 million investment that will add ap-proximately 500 new IT and IT-support jobs in the city.6

    Since 2007, employment among software companiesgrew by more than 26% and is projected to continue itshealthy growth through 2022.7

    In 2013, IT accounted for 27.5% of all announced startupsidentified in the PRAs wins tracking.8 Those startupsinclude Carnegie Robotics, which announced plans toadd 100 new jobs, and PHRQL, which plans to add 40new jobs.9 In 2011 (the most recent year for this data)

    there were more than 150 IT-related patents granted inPittsburgh, twice the number granted five years earlier.10

    Naturally, IT-related employment is also growing in theregion. Between 2007 and 2012, computer-related oc-cupations increased by 4.8%, more than twice thegrowth rate nationally. The fastest growing occupationsare web developers, which grew 21% from 2007 through2012, followed by database administrators, which had agrowth rate of 15% during the same time period.

    57%of all open positions across all sectors

    require some level of technical knowledge.

    100%

    90%

    80%

    70%

    60%

    50%

    40%

    30%

    20%

    10%

    0%

    IT-RELATED JOBS TOTAL JOBS

    AdvancedManufacturing

    Financial &Business Services

    Energy

    Healthcare &

    Life Sciences

    InformationTechnology

    Other

    The Greater Pittsburgh Workforce Quarterly

    Percentage of IT-Related Occupations vs Total Jobs

    Todays modern manufacturing relies on

    working smarter rather than working harder,

    Ashley Wellner,Director of Manufacturing, Aerotech

    SOURCE: ImaginePittsburgh.com and Help Wanted Analytics

    SOURCE: Economic Modeling Specialists Intl.

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    IT Related Business Investment Deals in 2013

    Among the 20 top computer-related occupations, com-

    puter systems analysts (15% of total), computer user

    support specialists (14%), software developers (12%) and

    network and computer systems administrators (10%) ac-

    count for both the highest proportion of workers and the

    highest numbers of open positions.

    What does the supply-side look like?

    In the 2010-2011 academic year, there were 181,018 un-

    dergraduate and graduate students at 53 colleges,

    universities and degree-granting post-secondary

    schools in the region. The Pittsburgh region gradu-

    ates more than 36,000 individuals every year, but is it

    graduating enough IT-related talent?

    In 2012, a total of 1,555 IT-related bachelors and grad-uate degrees were awarded in the region, according

    to the National Center for Education Statistics. Of that

    total, 621 graduated with a bachelors degree and 934

    graduated with a masters or doctorate degree. Com-

    puter science degrees were the most prevalent at the

    bachelors level with 208 conferred, and information

    technology degrees were the most popular at the

    masters level with 438 degrees awarded. In May

    2014, there were more than 3,464 computer-related

    jobs postings on ImaginePittsburgh.com that required

    at least a four-year degree.

    Were seeing an increased need for information

    technology skills. Weve been doing a lot of hiring o

    computer science and computer engineering majorsand recruiting into our IT leadership developmen

    program. says Katie Heinritz, BNY Mellons globa

    campus relations director. BNY Mellon is more than

    an investments company; were really a tech com

    pany in disguise.

    Less apparent is which IT-related jobs do not require

    a four-year degree and charting clear career pathway

    for those occupations. Of the 20 largest computer-re

    lated occupations, seven do not require a four-yea

    degree. In the 10-county region, those seven occupa

    tions account for more than 1,000 open positions

    More than 800 of those open positions are in Al

    legheny County alone. The Three Rivers Workforce In

    vestment Board, which leads the public workforce

    system in Pittsburgh and Allegheny County, notes tha

    of 2,645 people who have identified themselves as

    looking for jobs in IT, nearly 40% or 1,082, have a high

    school diploma but less than a four-year degree.

    51Wins

    54.5%Increase from

    2012

    1,417New Jobs

    $26.1MCapital

    Investment

    BA

    RRIERS

    2

    We need to invest in, promote and properly

    value career and technical education and allow

    it to become a pathway that people generally

    acknowledge as one with many education out-

    comes, including two-and four-year degrees.

    Laura Fisher

    Senior Vice PresidentAllegheny Conference on Community Development

    Bachelor and

    Graduate Degrees Open Jobs

    SOURCE: The Pittsburgh Regional Alliance

    SOURCE: The National Center for Education Statistics,Three Rivers Workforce Investment Board

    SOURCE: The National Center for Education Statistics

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    About the data in this publication:Intended to provide a deeper understanding of workforce supply and demand and career opportunities, the Greater

    Pittsburgh Workforce Quarterly uses a variety of data sources, including primary data, secondary data, proprietary

    data, and government data. Primary sources may include surveys and interviews. Proprietary data used in these re-

    ports comes from the Conference Board Help Wanted Online Data Series and Economic Modeling Specialists Intl

    Government sources include but are not limited to the Bureau of Labor Statistics, the Bureau of Economic Analysis

    and the U.S. Census Bureau.

    1 Computer Related Occupations Overview, Pittsburgh Regional Alliance, 2013

    2 According to an occupational report compiled by ImaginePittsburgh.com using the Conference Board Help Wanted Online Data Series, June 2014

    3Computer Related Occupations Overview, Pittsburgh Regional Alliance and Economic Modeling Specialists Intl., 2013

    4 Economic Development Trends 2007-2013 chart, Pittsburgh Regional Alliance, March 2014

    5 Ibid

    6 Economic Development Data, Pittsburgh Regional Alliance, 2013

    7 Information and Communications Technology Sector Overview, Pittsburgh Regional Alliance and Economic Modeling Specialists Intl., 2013

    8 Economic Development Data, Pittsburgh Regional Alliance, 2013

    9 Ibid

    10 U.S. Patent and Trademark Office, 2011

    11 Computer Related Occupations Overview, Pittsburgh Regional Alliance and Economic Modeling Specialists Intl., 2013

    12 Ibid

    13 Ibid and Open Positions in Computer-Related Occupations, the Conference Board Help Wanted Online Data Series, June 2014

    14 Education Analysis: Academic Year 2010-2011 Pittsburgh Regional Alliance, 2012

    15 The National Center for Education Statistics, 2012

    16 Ibid

    17 Open Positions in Computer-Related Occupations, the Conference Board Help Wanted Online Data Series, June 2014

    18 Ibid

    19 The National Center for Education Statistics, 2012

    Because most people think of IT-related careers as re-

    quiring a four-year degree, there are few clear career

    pathways for many IT-related jobs that require an asso-

    ciates degree, certificate or other training. Additionally,

    experts say there are not enough quality short-term

    training programs to redirect and prepare individuals

    who could fill such high-demand jobs as quality assur-

    ance specialists or computer user support specialists.

    There are currently 624 job postings for computer user

    support specialists listed on ImaginePittsburgh.com, forexample, yet only 94 certifications and associates de-

    grees were conferred in 2012 for that occupation.

    We need to invest in, promote and properly value career

    and technical education and allow it to become a path-

    way that people generally acknowledge as one with

    many education outcomes, including two - and four -

    year degrees, says Laura Fisher, senior vice president a

    the Allegheny Conference on Community Development

    Conclusion

    It is clear that individuals no longer need a four-year de-

    gree to work in IT-related jobs, nor do IT-related careers

    exist only at such companies such as Google, IBM or Mi-

    crosoft. IT-related careers must be thought of broadly

    because well-compensated IT-related jobs exist in every

    industry in nearly every company and at every education

    level. As demand for these occupations continues to

    grow, it is important for the region to graduate and train

    more individuals, to develop and promote clear career

    pathways for all, and to have industry at the table to ap-

    propriately align supply to demand.

    The Greater Pittsburgh Workforce Quarterly

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