High-tech workforce shrinks by 560,000

A study released today by the AeA shows a decline of 560,000 high-tech jobs in the US over a two-year period from January 2001 to December 2002.

A study released today by the AeA, a US-based high-tech trade association representing more than 3,000 member companies, shows a decline of 560,000 high-tech jobs in the US over a two-year period from January 2001 to December 2002.

The study is based on monthly employment data from the US Bureau of Labour Statistics.

The US’ high-technology industry reduced its workforce by 560,000 with tech employment dropping from 5.7 million jobs in January 2001 to 5.1 million jobs in December 2002.

High-tech manufacturing employment shrank by 415,000 jobs, a 20% drop, between January 2001 and December 2002. The US communications services industry saw a 9% decline in its employment base with a loss of 135,000 jobs during the same period.

The report also revealed that food products and transportation equipment manufacturing now employ more workers than the high-tech manufacturing industry, which had been the largest manufacturing sector in the US.

On the positive side, software services actually increased by 5,300 jobs – consistent with the fact that many innovations in the high-tech industry are driven by software.

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