NC’s tech sector still surging forward, state legislators hear from NC TECH exec

RALEIGH – State legislators heard a briefing this morning on North Carolina’s technology sector and its role in the state’s economy from the president and CEO of the North Carolina Technology Association (NC TECH), Brooks Raiford.

The House Committee on Appropriations, Information Technology, met at 10 a.m. on Wednesday to hear Raiford’s presentation as well as a presentation from the North Carolina Department of Information Technology on broadband access and cybersecurity, according to an agenda published by the North Carolina General Assembly and prior WRAL TechWire reporting.

Raiford confirmed to WRAL TechWire that he delivered the presentation, covering the organization’s latest research on the industry and its impact in the state.

Documents available through the website for the North Carolina General Assembly show slides prepared by NC TECH and its partners on the “State of Technology Industry Report 2022” and the NC TECH “Tech Innovation Index,” a comparison of metropolitan statistical areas that the nonprofit organization released late last year.

But Raiford also told WRAL TechWire that he discussed the latest findings of a quarterly survey of North Carolina technology executives, which showed that even as more workers were in remote or hybrid roles, many companies were maintaining existing workspace or looking to expand their footprint.

Of those surveyed, 56% of employers expected to maintain their current footprint while nearly 29% planned to add square footage. About 85% in total said they’d keep their space or grow their space, Raiford noted.

“We found this to be counter-intuitive,” Raiford told WRAL TechWire, adding that he and his colleagues looked into it.

Two trends emerged, said Raiford, when further investigation occurred: first, employers do continue to hire for tech workers, so headcount continues to grow, and second, employers are re-arranging spaces so that work areas are less dense.

“Fewer people, more flexible space, opportunities for teams to come and go as projects warrant,” Raiford noted as examples.

NC job’s boom: ‘Tech workers at non-tech firms are growing even faster’ than in IT sector

State of technology industry in NC

The presentation to state officials comes as job openings across the state appear to have fallen in recent weeks and concerns that the U.S. economy could slip into recession continue.

Still, though, the technology sector is strong, and tech talent is in demand across the state, a bright spot even as economic worries continue.

The latest IT Jobs Report from NC TECH found that tech job openings were at an all-time high.

Raiford previously spoke with WRAL TechWire earlier this year about the state of North Carolina’s technology industry, following the release of the State of Technology Industry Report 2022. r

That report, said Raiford, showed that the growth of tech workers at non-technology companies was growing even faster than the rate of tech workers at traditional tech companies.

Raiford also highlighted to WRAL TechWire the report’s findings: while North Carolina’s technology industry employs 275,306 people, accounting for 6.4% of the state’s total workforce, the sector accounts for about 11% of the state’s total earnings and sales.

The documents available on the website of the North Carolina General Assembly includes presentation slides with that same data, as well as other information about the technology industry in the Tar Heel State, including a net change of 35,618 tech workers in the state between 2015 and 2020.

Report: NC’s tech sector is ‘driving growth and changing the economy’

Growing number of workers, growing number of firms

Further, the documents show, the total number of technology establishments in North Carolina grew to 22,658 by 2020, a net increase of 6,258 firms in the state since 2013.

And tech sector workers earn wages above the median wage for the state, the documents show. According to the documents, North Carolina’s tech workers across all segments have average annual wages of $125,300 and a calculated purchasing power equivalent of $136,700.

Meanwhile, three of the state’s metropolitan statistical areas performed well in an economic analysis that sought to benchmark the state’s metros against other competitor metros nationwide. That analysis, conducted last year, was presented in December 2021 by NC TECH and one of the organization’s vendors who conducted the analysis and the report.

The documents on the North Carolina General Assembly’s website includes presentation slides about that report, the Tech Innovation Index, as well.

According to the report, Durham-Chapel Hill ranked 6th and Raleigh ranked 7th. Charlotte ranked 27th.