New York is the headquarters for one-quarter of the securities industry workforce, according to a recent report by the Securities Industry Association.
Recently revised employment data indicate that the three-decade long decline in the percentage of all U.S. securities industry employees headquartered in New York has stopped, stabilizing over the last three years at current levels. January 2005’s 23.4% is the same as the average during the period 2002-2003, and down only slightly from 2004’s 23.6%.
Securities industry employment growth resumed in New York in 2003 after two years of steep declines and rose 2.5% on average in 2004 and in January 2005 stood 2.9% above year-earlier levels, according to the report. This employment trend and the improved profitability of the securities industry have profoundly impacted the New York City and New York State economies, says SIA.
“The securities industry remains the engine of growth for New York, and New York remains the industry’s center and the world’s financial capital,” said Securities Industry Association Senior Vice President and Chief Economist Frank Fernandez.
SIA’s research report also asserts the importance of these jobs to the New York City and New York State economies. “Although securities industry employees make up only 2.1% and 4.5%, respectively, of the workforce in New York State and New York City, wages paid to securities industry employees account for 8.5% and 19.2%, respectively, of adjusted gross income earned in the state and the city,” said Fernandez. “The industry makes a disproportionate contribution to personal income, total tax revenues, and overall economic growth.”