San Francisco Bay Area job market boom, is the impact worth the gain?

San Francisco

Dot coms entered the west coast scene in 1995 and grew exorbitantly until 2001 when the bubble burst. However, the tech scene was brewing in the Bay Area, attracting companies like eBay, Yahoo and Google. Their foothold in Silicon Valley created unprecedented growth in the area. However, as more and more tech companies flock to the Bay Area, the impact on life, some would say, is less than stellar.

With job growth comes more people (naturally), which in turn raises rents and housing prices, schools become overpopulated and as people move further and further out of the epicenter, public transportation begins to fall short and commutes become more brutal. According to the state of California Development Department, the Bay Area gained nearly 7,000 jobs in May, within the nine Bay Area counties, there are nearly 4 million people on payroll and the outer counties add an additional 1,000. Just this week, the Department of Housing and Urban Development (HUD) announced that San Francisco households making six figures ($100,000+ annually) now qualify as “low income” households.

Data shows that the area cannot sustain this pace of job creation and growth due to the additional considerations, housing, transportation and overpopulating municipalities. Without centralized housing infrastructures, employees have to sprawl outwards into communities ill equipped with amenities for rapid migrations.

Cities like Phoenix are enjoying the boom; experiencing their own version as companies look to sprawl outside of California, yet remain close to the area. The positives are hard to see until there is housing available for all, from the workers who clean your floors, to the lawyers that protect your assets to the COO’s and owners change, some would say, starts with an affordable roof over your head.

2018-06-27T14:38:19+00:00June 27th, 2018|News|