Positive Economic Growth Is Expected For The Remainder Of The Year In Philadelphia
The Philadelphia metro area continues to see job and economic growth according to the Federal Reserve Beige Book. Auto sales, tourism, commercial and residential real estate sectors report steady growth for construction and commercial property leasing. Home prices and wages show a slight increase this quarter and anticipate growth over the next six months.
Staffing companies are experiencing a higher number of inquiries for positions both temporary and permanent. The service industry continues steady growth, as well as manufacturers lending and credit growing in with a slight rise in credit risk due to competitive loans.
Some manufacturers are experiencing continued growth since the last Beige Book report. New orders and shipping show a higher percentage, especially in the auto and energy sector. Most manufacturers in the district expect business to improve further within the next six months. A large number of manufacturers anticipate employment levels to increase in that timeframe as well.
Non-auto retail sales continue to grow. Area mall informants claim the cooler fall weather has increased apparel sales, allowing less discounting by retailers. Prior Beige Book retail reports indicated sales were due to back-to-school shopping. New shops opening, such as Nordstrom Rack and Century 21, leaves sales in the retail industry very optimistic. Center City restaurants have picked up business this fall since a slight decrease during late summer.
Comcast has begun construction on its 1.5 million-square-foot Comcast Innovation and Technology Center, according to Jones Lang LaSalle IP, Inc. The construction project will be Comcast's global headquarters and home to over 4,000 employees. The projected completion of the headquarters is due to be complete in 2017. The construction project brings 20,000 temporary construction jobs and $21.5 million in annual tax revenue to the city.
The service industry continues to show growth. The health industry shows demand due to previously uninsured having access to healthcare through the government program. Staffing agencies are experiencing requests for workers due to business expansion and replacements; and casino business is expected to grow in Philadelphia due to the closing of Atlantic City casinos.
The economic and job outlook in Philadelphia continues to look positive through 2014, as every sector sees improvements and the city sees construction projects taking off.
Christina Thompson is a freelance writer living in Philadelphia. Her work can be found at Examiner.com.
