Quality of Life Indicators

economic vitality data

Thanks to NV Energy for sponsoring this indicator.

employment by industry -- 7/29/10
employment wage by industry -- updated 7/22/10
unemployment -- updated 8/20/10
average weekly wage -- updated 7/22/10
tax revenues -- updated 7/30/10
building permits -- updated 6/14/10

employment by industry -- 7/29/10

While gaming and tourism have been the centerpieces of the region’s economy, efforts to diversify and capitalize on market and technological innovations are critical as well. Only 460 jobs were added in Washoe County from 2002 to 2004. Since then, over 25,000 jobs were added through April 2007. Construction, service, and finance/insurance/real estate jobs grew the fastest, while hotel/gaming and trade sector lost jobs in the last decade. Hotel/gaming, service, and trade jobs dropped from 56% in 2004 to 37% of the jobs by April 2007.

As of third quarter 2009, the Reno-Sparks MSA lost more than 35,000 jobs since 2007, for a decline of almost 16% in all industrial employment.  The construction industry has declined the most due to the economic downturn.

employment wage by industry -- updated 7/22/10

In most years in Washoe County, wage growth outpaces inflation. This is tempered by the fact that service, trade, and hotel/gaming jobs pay less than the weekly average wages. Professional and business services, manufacturing, public administration and finance, although impacted by market forces, are among the fastest growing and pay above the weekly average for Washoe County, plus education and health services.  Construction and financial services wages started dropping in 2008, in conjunction with the economic and housing collapse.

unemployment -- updated 8/20/10

Job creation programs and workforce development impact job creation, while unemployment shows how many people are having difficulty getting jobs.  Note that unemployment does not show people who are no longer looking for work or are underemployed.  The unemployment rate climbed steadily throughout 2008 and 2009.  Double digit unemployment started in January 2009, and Nevada began the highest unemployment rate in the nation for May 2010, which grew to 14.2 % in June, and 14.3% in July; Washoe County unemployment also rose to 13.6% in June 2010, and remained the same for July; the national rate declined 0.2% from May to June, but rose in July.  Michigan had the second highest rate in July at 13.1%, and California was third at 12.3%.  The question remains for the state—how many jobs need to be created in Nevada to spur our economy, especially in consideration of population changes and new entrees to the job market?

average weekly wage -- updated 7/22/10

The Federal Labor Standards Act (FLSA) sets the minimum wage at $7.25, plus overtime pay (as of July 24, 2009). The FLSA does not require severance pay, sick leave, vacation, or holidays. The minimum wage, at a 40-hour workweek equals $290.00 per week ($1,256.66 per month based upon 52 weeks).  On July 1, 2010, the federal minimum wage for Nevada employees with a qualified health plan increases to $7.25 per hour and $8.25 per hour for all other employees; new daily overtime rates will be $10.875 per hour and $12.375 per hour, respectively.

tax revenues -- updated 7/30/10

Although tax revenues are an economic indicator just as business growth, taxes are fixed, so it’s unclear if it’s better if tax revenues go up or down.  The proportion of revenues from the gaming tax has decreased since 2004.

building permits -- updated 6/14/10

The housing market and tightening of the commercial loan market has impacted the demand for building permits.  Washoe County and the City of Reno saw valuation reductions by half every year since 2007, with the number of permits also continuing to fall.  Although the number of permits hasn’t dropped as much for the City of Sparks, valuation dropped by more than $50 million annually from 2006 through 2009, and by more than half in 2009.  Permitting is one measure of building friendliness, along with length of time, taxes and regulations. Reno-Sparks has been named one of the 50 hottest cities in the nation for relocating or expanding a business, according to an industry publication. Expansion Management magazine cited Reno after its annual poll surveying 80 national site location consultants to come up with the top 50 out of 362 metropolitan areas.  Forbes Best Places magazine ranked Reno 22nd in job growth out of the 200 best places for business and careers in 2007.  Chief Executive magazine ranked Nevada 5th for best states for business June 2010.  And the Truckee Meadows continues to be recognized as a great place to live, especially for young professionals.