Pittsburgh Region by the Numbers is a printed publication for 2014-15 highlighting many of the facts, figures and data that help businesses find their place in the 10-county region. If you're interested in a complimentary printed copy, please email mdenner@pittsburghregion.org or call us at 412-392-4555, ext. 3103.
Pittsburgh Region by the Numbers is a printed publication for 2014-15 highlighting many of the facts, figures and data that help businesses find their place in the 10-county region. If you're interested in a complimentary printed copy, please email mdenner@pittsburghregion.org or call us at 412-392-4555, ext. 3103.
Pittsburgh Region by the Numbers is a printed publication for 2014-15 highlighting many of the facts, figures and data that help businesses find their place in the 10-county region. If you're interested in a complimentary printed copy, please email mdenner@pittsburghregion.org or call us at 412-392-4555, ext. 3103.
The Greater Pittsburgh Workforce Quarterly is a publication produced by ImaginePittsburgh.comand the
Pittsburgh Regional Alliance. These reports, publishedquarterly, analyze andpresent primary andsecond- ary regional labor supply and demand data to informthe public of the evolving workforce landscape and the challenges and opportunities they bear for the region. It is our hope that the reports present workforce data in an easily digestible and visual way. The demand data was made possible through a partnership with the Pennsylvania Department of Labor and Industry. About the Partners: ImaginePittsburgh.com is the Allegheny Conference on Community Developments talent attraction and retention platformwith a unique job search engine at its core. The search engine pulls in open jobs from over 900 different sources representing the open positions in the 10-county Pittsburgh region. The Pittsburgh Regional Alliance (PRA), markets the benefits of conducting business in southwestern Pennsylvania to companies all over the world that are growing, relocating or expanding. The PRA also works to support the growth of existing regional employers. Both ImaginePittsburgh.com and the Pittsburgh Regional Alliance are affiliates of the Allegheny Conference on Community Development. For more information regarding this report, please contact: Meredith Fahey Project Manager, Workplace Allegheny Conference on Community Development mfahey@alleghenyconference.org P: 412.281.4783 Imaginepittsburgh.com 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 broadcollection of occupations that support a wide array of 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 manufacturingat Aerotech, a precision motion control manufacturing company, explains the changes hes seen: Todays modern manufacturingrelies 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 their careers will need to be active and engaged learners, he adds. Employees who are willing to continue their education and training can leverage their in- creased knowledge into higher wages and secure long-term careers. As IT-related occupations spread across industries and education levels, the IT sector itself remains strong and is growing The PRAcollects data annually on newbusiness invest- ments and expansions in the 10-county Pittsburgh re- gion. It found that in 2013, the IT sector experienced a 54.5% growth in the number of announced business expansions andnewinvestment deals in the Pittsburgh region called wins by the PRA. It was the highest growth rate in six years. 4 This rate outpaced eds and meds and financial and business services. The 51 an- nouncements among IT companies are anticipated to create 1,417 jobs over the next several years. 5 A com- pany such as Computer Science Corporation recently announced a $14 million investment that will add ap- proximately 500newITandIT-support jobs in the city. 6 Since 2007, employment among software companies grewby more than 26%andis projectedtocontinue its healthy growth through 2022. 7 In2013, ITaccountedfor 27.5%of all announcedstartups identified in the PRAs wins tracking. 8 Those startups include Carnegie Robotics, which announced plans to add 100 new jobs, and PHRQL, which plans to add 40 new jobs. 9 In 2011 (the most recent year for this data), there were more than 150 IT-related patents granted in Pittsburgh, twicethenumber grantedfiveyears earlier. 10 Naturally, IT-related employment is also growing in the region. Between 2007 and 2012, computer-related oc- cupations increased by 4.8%, more than twice the growthratenationally. Thefastest growingoccupations arewebdevelopers, whichgrew21%from2007through 2012, followed by database administrators, which had a growth 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 Advanced Manufacturing Financial & Business Services Energy Healthcare & Life Sciences Information Technology Other The Greater Pittsburgh Workforce Quarterly 1 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. 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.comthat required at least a four-year degree. Were seeing an increased need for information technology skills. Weve been doing a lot of hiring of computer science and computer engineering majors and recruiting into our IT leadership development program. says Katie Heinritz, BNY Mellons global 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 pathways for those occupations. Of the 20largest computer-re- lated occupations, seven do not require a four-year 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 systemin Pittsburgh and Allegheny County, notes that 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. 51 Wins 54.5% Increase from 2012 1,417 New Jobs $26.1M Capital Investment B A R R I E R S 2 We need to invest in, promote and properly value career andtechnical education andallow 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 President, Allegheny Conference on Community Development Bachelor and Graduate Degrees Open Jobs < High School But Less Than 4-Year Degree 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 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 3 Computer 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, for example, 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 at 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, IBMor 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 3 11 STANWIX STREET, 17TH FLOOR | PITTSBURGH, PA 15222-1312 TOLL FREE: 1 (877) 392-1300 | PHONE: (OUTSIDE OF U.S. AND CANADA) +1 (412) 281-1890 | FAX: (412) 471-2554 EMAIL: ImaginePghInfo@PittsburghRegion.org