10 cities booming with job growth

Some cities have recovered from the recession better than others

U.S. Cities
(Image credit: (iStock))

Some 288,000 new jobs were added last month, but the labor markets in some U.S. cities have recovered from the recession better than others because of factors specific to their local economies.

The study looked at what should have been the total job growth in the 50 most populous metro areas between 2010 and 2013, based on the total job growth in the country. Then it looked at the actual job growth in each of these cities. By calculating the difference between these two measurements, it found what it calls the competitive effect — which indicates how much each city has exceeded, matched, or fallen behind national job growth trends due to specific dynamics in local industries.

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For example, based on 4 percent employment growth in the U.S. from 2010 to 2013, Houston would have been expected to add 142,378 jobs — but it actually added 250,607 jobs. The addition of 108,229 jobs was due to regional growth trends that helped the city to outpace the national growth average.

Other cities that had a strong competitive effect in their local job growth between 2010 and 2013 include Austin, Riverdale (CA), and surprisingly, Detroit.

"The metros producing the strongest competitive effect are often heavily dominated by specialized technical industries with well-established local supply chains," said Matt Ferguson, CEO of CareerBuilder in a press release.

"The overall job growth in these markets is not primarily a product of national economic trends, but rather distinct factors in the local economy such as energy resources in Houston, technology hubs in Silicon Valley and Austin, or the motion picture industry in Los Angeles."

Meanwhile, cities that trail national job growth trends include New York, Chicago, and Philadelphia.

Houston

Number of jobs added between 2010 and 2013: 250,607

Percentage of total jobs due to the city’s competitive effect: 3.6

Local industries that helped drive job growth: oil and gas extraction, engineering

Dallas

Number of jobs added between 2010 and 2013: 221,161

Percentage of total jobs due to the city’s competitive effect: 2.7

Local industries that helped drive job growth: commercial banking, education, hospitals

San Francisco

Number of jobs added between 2010 and 2013: 165,768

Percentage of total jobs due to the city’s competitive effect: 3.6

Local industries that helped drive job growth: computer systems design, web search portals

Los Angeles

Number of jobs added between 2010 and 2013: 283,664

Percentage of total jobs due to the city’s competitive effect: 1.2

Local industries that helped drive job growth: motion pictures, artist agents and managers

Austin

Number of jobs added between 2010 and 2013: 84,774

Percentage of total jobs due to the city’s competitive effect: 6

Local industries that helped drive job growth: data processing, semiconductor manufacturing

Phoenix

Number of jobs added between 2010 and 2013: 124,501

Percentage of total jobs due to the city’s competitive effect: 2.8

Local industries that helped drive job growth: education, commercial banking

Miami

Number of jobs added between 2010 and 2013: 134,588

Percentage of total jobs due to the city’s competitive effect: 2

Local industries that helped drive job growth: legal services, freight transportation, real estate

San Jose

Number of jobs added between 2010 and 2013: 90,559

Percentage of total jobs due to the city’s competitive effect: 4.2

Local industries that helped drive job growth: computer system design, software publishing

Riverside, Calif.

Number of jobs added between 2010 and 2013: 76,646

Percentage of total jobs due to the city’s competitive effect: 2.4

Local industries that helped drive job growth: warehousing, storage, engineering

Detroit

Number of jobs added between 2010 and 2013: 125,330

Percentage of total jobs due to the city’s competitive effect: 1.9

Local industries that helped drive job growth: auto manufacturing, engineering services

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