New data from job site Indeed shows that workers in Silicon Valley are increasingly interested in leaving the area, due to the high cost of living and changing life goals.
Job seekers in Silicon Valley are increasingly looking to move out of their area for their next job in tech, according to new data from job site Indeed, released Tuesday. The growth rate of outbound job searches ranked the highest among six areas that Indeed identified as tech hubs: San Francisco, San Jose, New York, Seattle, Boston, and Austin.
"Silicon Valley job seekers, including highly paid tech workers, are looking for jobs outside their own metro area at a much higher rate than other metros," Raj Mukherjee, senior vice president of product at Indeed, said in a press release. "This implies they are aware that highly paid job opportunities are being created not just in Silicon Valley, but in other parts of US which is a net positive for the U.S. economy."
In total, 44% of job hunters in Silicon Valley were looking for jobs elsewhere, while 38% of those looking for tech jobs specifically were targeting opportunities in other areas, the Indeed data showed. The number of job seekers in Silicon Valley looking outside of their region has grown 67% over the past five years, the press release said.
It's no secret that Silicon Valley and the surrounding cities are expensive places to live. And, the high cost of living there seems to wear even harder on folks in certain age groups. Professionals between 45 and 54 years old were the most likely to be looking for job outside of Silicon Valley.
"Typically, people 45-54 are at the mid-to-late stage of their career journey and are more likely to have established themselves in a profession and often are more settled in their personal lives," Mukherjee said in the release. "So it begs the question, why are these people looking to migrate for their next job? We think it is because living in the Valley has become unaffordable for so many people or it could be desire for a better work-life balance."
Austin, TX seems to be on the other end of the spectrum, with only 33% of tech job seekers looking outside of metro Austin for their next job, marking a decline of these outbound searches by 28%, the release said. Meanwhile, inbound tech job searches in Austin grew by 13% over the last five years.
According to the Indeed release, a one bedroom apartment in San Francisco will run you about $3,000 per month, while the same apartment in Austin is a little more than $1,000 per month. The nationwide average hits close to $1,200 for a one bedroom apartment, which makes Austin more attractive in terms of cost of living.
San Francisco also had the shortest job tenure for software engineers out of all the tech hubs, with most employees staying just 27 months. Austin had a middle-of-the-road tenure at 33 months, and New York had the highest, at 42 months.
If these trends continue, we could see the impact of tech improve the economy of the US overall, not only in the large tech hubs. Additionally, more opportunities for tech professionals could present themselves in areas other than Silicon Valley.
The 3 big takeaways for TechRepublic readers
- Silicon Valley tech job seekers are looking at jobs outside of the area more than any other tech hub, with 38% of tech job hunters pursuing outbound job searches.
- Silicon Valley's cost of living contributes to the rise in outbound job searches, with workers between 45 and 54 years old the most likely to make a move.
- San Francisco also had the shortest average tenure for software engineers at 27 months, compared to New York at 42 months.
- Report: US tech jobs hit nearly 7 million workers, up 3% from year before (TechRepublic)
- Want a good tech job? Report says open-source skills are hotter than ever (ZDNet)
- 8 practical ways to make your tech job less stressful (TechRepublic)
- Eight best practices for hiring DevOps engineers (ZDNet)
- Job description: Platform developer (Tech Pro Research)