The Changed Realities of Corporate Relocation: Part Two
The mature population, especially the baby boomers, is increasing everywhere. Workers older than 45 years old are growing more than 18 times the rate of the under-45 population in the 2000s. With a majority of the voting-age population at least 45 years old, public policy should increasingly adapt to the aging population’s needs in this decade. With 92% of the growth among non-whites, primarily Hispanic and Asian, and 50 percent of births now non-white, the population is quickly transitioning away from traditional demographics.
An additional reality that will affect real estate development planning and potential hiring is reduced interstate migration. Studies point out that interstate migration slowed due to rising unemployment and the increase in home foreclosures. This affected college graduates and young adults, who tend to be the most mobile, the most. These groups can be the lifeblood of the labor force and they are most responsive to shifts in the growth industries. This is also indicative of young adults encountering a brutal job market, as many moved back home with their parents after graduating.
States and metropolitan areas that relied too heavily on immigration for growth will need to reanalyze their approach economic development. They’ll need to shape recruitment/retention efforts in order to diversify their economies and create more job opportunities for local residents. The slowdown may actually provide windfall population gains as locals will not be able to move due to a lack of employment options elsewhere. Companies with well thought-out, targeted industry planning, adoption of flexible economic incentives and training fund programs, and focused corporate relocation, could set the stage for growth in the following decade.