Saturday, July 21, 2012

Wao... Look at this.. Go Silicon Valley.. Go..

Despite very poor overall job report from the country.. there is some silver lining.. Rest of the country should learn from this... Some of the key numbers which are hidden deep bottom of this article about jobs.. 


San Jose Bay area created:

  1. almost half (44%) of California jobs in month of June
  2. one fifth (21%) of entire US jobs which means that almost half of the US jobs were created in California!!

Sad part mentioned in this article is... as per them need for technology and tech-equipment is even more due to slower growth in other areas. Which as per them makes employers to buy more technology to maximise their productivity.. I kind of disagree this statement.. I think, jobs where you need human power are difficult to be replaced by machines.. as per me human jobs are needed where you need brain to think!! not just using your hands to do some repeatable jobs.. those jobs are any how machine jobs..

Creation of jobs is about creating value added work.. though no offense to service industry but service industry jobs should follow real value enhancement jobs like R&D/Technology and manufacturing.. Manufacturing jobs are also coming back to US, but still, long way to go.. unless, US workers accept fact that they are not very high paying and all that Union etc.. bull-shit won't work.. it is difficult to get them back..

 Best hope for nation is to create technology jobs like in the ones being created in California.. California has two major job engines.. Technology in North and Media/Arts in South.. Now a days, even media/arts is heavily dependent on technology.. so essentially, you need big investments in technology for arts & media.. which enables lot of art/media work to be off-shored.. Which is a fact of life.. "Work, live, play.. Anywhere!!!" is going to be the way forward.. there is no escaping of it.

If you think you have Geo-Location advantage.. No.. you are wrong!!! it may give you slight edge in beginning but eventually someone else will catch up and take away your work and do it not only cheaper but most likely better.. Only way for you to sustain that job locally in that physical geo location is that you re-invent and continuously create additional value.. you have to be good in science/tech/arts/media.. whatever you are doing..

To enable this, US has to change few things.. Current education system prepares majority of kids to be ready for service industry or sales / marketing type of jobs.. unless.. parents works hard with kids to get their focus back to Science and Maths.. They have to change the way maths, science and more importantly technology is taught in elementary, middle and high-schools.. US has to make technology a mandatory subject like arts, language and maths etc.. upgrade technology infrastructure of schools..

US spends so much on education.. this mandatory technological upgrade cost will be nothing as compared to their regular spending.. they have to set it up right now.. it is already too late.. but better late than never. Kids over here are so brilliant (for that matter all the kids are brilliant) due great creative and lively way of education.. if kids start applying their same creative sense to technology as well.. there could be thousands of other silicon valleys across the US.. and then we don't have to look up only to Silicon Valley to create jobs..



Tech hiring spurs June jobs surge across Bay Area


By George Avalos


 


The Bay Area job market roared to life in June, reversing a recent slowdown in growth by creating nearly 17,000 jobs.

A strong technology sector combined with robust job gains in the East Bay to produce the best onemonth
 job growth performance since September for the nine-county region.

“What really leaps off the page is the big gain in the East Bay,” said Michael Bernick, a research fellow with the Milken Institute. “The other big factor is technology. Tech, social media companies, Internet commerce
 firms — they are leading this.”

The East Bay added 7,400 jobs, the South Bay gained 4,000 and the San Francisco-San Mateo-Marin metro region produced 6,100 new jobs, according
 to seasonally adjusted numbers from the state’s EmploymentDevelopment Department.

Overall, the Bay Area added
 16,900 payroll jobs in June.

High tech accounted for at least one-quarter of the gains, this newspaper’s
 analysis of results supplied by Beacon Economics shows.

“We continue to see tech companies
 that are growing,” said Mark 

Howard, managing director of the Berkeley office of Management Recruiters. “That kind of expansion requires additional employees.” 

Two categories dominated by technology employees — professional, scientific and technical services, along with information services and products — combined for a gain of 4,700 jobs in June. The South Bay, East Bay and San Francisco-San Mateo-Marin regions all showed gains in these tech sectors. 

The upswing in the Bay Area was a welcome counterpoint to the sluggish employment gains of the spring. Employers added only 2,400 jobs in April and 3,800 in May, a sharp slowdown from the previous months of winter and fall. 

Some analysts feared that the suddenly sluggish job growth nationwide could produce a slowdown in the Bay Area. But the region produces what companies and other organizations want, said Jordan Levine, director of economic research with Beacon Economics. 

“Nationally, you still see a lot of purchases of computer equipment, Internet products and services, software,” Levine said. 

Ironically, the overall feeble U.S. economy may be giving a boost to the tech industry, according to Levine. “Tech is a way for employers to maximize productivity and efficiency without hiring employees,” he said. 

California added 38,300 jobs last month, which means the Bay Area accounted for 44 percent of all jobs added in the state — and 21 percent of the job gains for the entire nation. 

“The Bay Area has basically helped California get its mojo back,” said Steve Levy, director of the Palo Alto-based Center for Continuing Study of the California Economy. 

The statewide unemployment rate improved to 10.7 percent in June, compared with 10.8 percent in May, the EDD reported. 

The Bay Area jobless rate was 8.5 percent in June, down from 8.6 percent in May, the Beacon study found. The East Bay posted a 9.2 percent jobless rate in June, down from 9.3 percent the previous month; the South Bay was unchanged at 8.6 percent; the San Francisco area was at 7.1 percent, down from 7.2 percent the previous month. 

Non-tech sectors also enjoyed gains. The East Bay added 1,200 construction jobs and the South Bay added 700 wholesale trade jobs and 600 retail jobs. The San Francisco metro region gained 800 hotel and restaurant jobs. 

“The overall recovery has spread out from its base in technology,” said Jeffrey Michael, director of the Stockton-based Business Forecasting Center at University of the Pacific. 

Contact George Avalos at 925-977-8477. Follow him at twitter.com/george_avalos. 

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