—and it’s a ‘big deal’ for the future of cities and white-collar work
It’s no secret that many city dwellers fled to rural and suburban areas after the pandemic hit the U.S. in early 2020.
But new data from the U.S. Census Bureau released last week reveals that many of them have stayed, putting down roots in smaller, highly walkable cities and more affordable suburbs.
As Americans settle into their new digs, some of the reasons for that exodus—from runaway housing costs in major cities to work-from-home opportunities that unshackle white-collar workers from their offices—are becoming more clear.
And as remote work becomes a permanent option for many people, the migration away from major coastal cities could reshape the American economic landscape for years to come.
An “emerging tier” of “livable, affordable” cities like Boise, Idaho, and Austin, Texas, were growing before COVID—and that growth sky-rocketed during the pandemic, said Dr. Greg Howard, assistant professor at the University of Illinois Urbana-Champaign’s Department of Economics.
But new data from the U.S. Census Bureau released last week reveals that many of them have stayed, putting down roots in smaller, highly walkable cities and more affordable suburbs.
As Americans settle into their new digs, some of the reasons for that exodus—from runaway housing costs in major cities to work-from-home opportunities that unshackle white-collar workers from their offices—are becoming more clear.
And as remote work becomes a permanent option for many people, the migration away from major coastal cities could reshape the American economic landscape for years to come.
An “emerging tier” of “livable, affordable” cities like Boise, Idaho, and Austin, Texas, were growing before COVID—and that growth sky-rocketed during the pandemic, said Dr. Greg Howard, assistant professor at the University of Illinois Urbana-Champaign’s Department of Economics.
The future of labor markets
The reason that so many people were able to move over such a short time period: remote work.
About half of full-time U.S. workers—around 60 million—report that they’re able to work from home at least part of the time, according to a March 15 report from Gallup. As many as 70% of “remote capable” employees worked exclusively from home in May 2020. As of February of this year, about 40% worked entirely from home, while about 42% worked a hybrid schedule.
The question, according to Leinberger, now becomes what percentage of American workers will be eligible to work remotely going forward. Prior to the pandemic it was around 5%-10%, he said, but could settle around 40% thanks to pandemic-induced shifts.
But remote work is “still an experiment,” Leinberger maintains.
“The big question you’re going to have to ask yourself as a remote worker is, will you be able to advance your career remotely when you’re not sitting around the conference room table? There’s an old expression is business, you’re either at the table or on the menu.”
“If you’re not at the table,” he said, speaking of remote workers, “you might get chopped out of something.”
Source: fortune.com ~ BY ERIN PRATER AND NICK LICHTENBERG ~ Image: Canva Pro
