Austin is a fascinating blend of culture, nature, and high-tech innovation. Known as the world's live music capital, the Austin music scene pulses with exciting up-and-coming artists playing at venues like the historic Continental Club and the Austin City Limit Music Festival. Scenic natural areas like Lady Bird Lake give nature lovers plenty of gorgeous places to explore without leaving the confines of the city. Art lovers will adore the city's many museums, including the Blanton Museum of Art and the art galleries spread throughout Austin's quirky alleys and city streets.
But it's the city's booming job market that garners the most international attention. More and more startups and established businesses are calling Austin home, bringing more jobs to the area. The city's entrepreneurial tech energy combines with good old-fashioned Texas hospitality to create an irresistible destination.
Continue reading to learn more about the Austin job market in 2023, where it's going, and what industries will likely be hiring next.
The Austin job market is resilient
Austin's job market is the beating heart of Texas opportunity and innovation. Its robust economy and flourishing job market are capturing the attention of job seekers across the United States, extending the city's draw far beyond its renowned music scene. Despite challenges being faced by industries across the nation, Austin is the seventh-best-performing market among the 50 largest metro areas in the US.
According to the Texas Workforce Commission (TWC), Austin boasts a low unemployment rate of just 3.5% as of June 2023. This figure outshines the state average and edges just below the current national average of 3.8%, showcasing the city's resilient economy that bounced back quickly after the pandemic. Remarkably, this low unemployment rate dipped below the previous month, signifying a steady increase in job placements for Austin residents.
The true testament to the strength of Austin's job market lies in its job growth. From May 2022 to May 2023, Austin added more than 50,000 new jobs. This exceptional surge in employment opportunities cements Austin as a high performer. The Wall Street Journal has also crowned Austin the second-hottest job market in the United States, only coming behind Nashville. A Bankrate survey named Austin the top place in the United States to launch a career due to the quality of life, the low cost of living, and the overall employment landscape.
The city offers so much more than economic opportunity. The vibrant community, innovative atmosphere, and laid-back lifestyle are appealing both personally and professionally. The city continues to welcome those who want to put their talent and ambition to work in one of the best places to live.
Will the Austin job market continue to grow?
While the current job landscape paints a pretty picture, job seekers should take all this good news with a grain of salt. Compared to the job market a year ago, there are indicators that the market may be slowing down. Job growth peaked in February of 2022 at an astounding 11% and has been slowly declining since then. So while the market continues on a positive trajectory, it's growing at a more measured pace.
Economists are also warning of a potential recession on the horizon. While other major metro areas are bracing for it, for now, Austin seems largely unaffected. That's partly thanks to the low cost of living, rapid population growth, labor force size, and healthy wages. Austin residents enjoy an average annual salary of $60,260, beating the national average by $2,000.
Conflicting economic indicators make it challenging for anyone to accurately predict what could happen in the last quarter of 2023. For now, at least, the job market numbers are looking good.
What are the hottest job markets in Austin?
At the heart of Austin's job market is the tech industry. The city has become a powerful tech hub over the last few decades, attracting both industry titans and ambitious startups. Powerhouses like Oracle, Adobe, Salesforce, Amazon, and Apple have roots here. Tesla's relocation to Austin in December 2021 was a pivotal moment for the city, showing that the allure of Silicon Hills beats the glory of Silicon Valley. Over the past decade, Austin's tech job market has expanded by an incredible 62%. Over the next few years, as the national and local economies balance and come back from the brink of a potential recession, this market is expected to continue to grow.
What makes Austin so appealing to these tech giants? Texas offers businesses a wealth of tax incentives, giving them breaks that help reduce operational costs, especially compared to potential business headquarters in other areas. Texas also doesn't impose a personal income tax, making it a draw for highly skilled workers. Paired with the cost of living below the national average, Austin emerges as an obvious choice for both workers and their employers.
Another star of the Austin job market is the leisure and hospitality industry. It grew by 8.7% between June 2022 and June 2023, coinciding with Austin's growing reputation as a must-visit travel destination. After landing on numerous "best places to live" lists, Austin is now on the radar of those looking for great vacation destinations. A nationwide survey named it one of the top five vacation spots, so we can expect to see continued growth for second homes in the Austin area.
Ready to make a move to Austin?
Austin offers residents culture, innovation, and an unparalleled quality of life. Now is the perfect time to make a move and position yourself on the path to success. If you are a professional considering a move to Austin, TX, you can trust Kathryn Scarborough's guidance and expertise to help you find the perfect place to call home within the Austin luxury real estate market.
Kathryn is a lifelong Austin resident and has a track record of helping discerning clients find their dream homes and matching them with options that align with their real estate preferences and budgets. Kathryn knows Austin's neighborhoods and can help pinpoint a location to suit your family's needs. Once you choose a property, she can help you negotiate to get the best deal possible. She can also help connect you with great schools and places within the community to make Austin feel like home from day one for the whole family.
Let Kathryn's personalized service ease your transition to a new city. Contact Kathryn and her team today to start your search for a new home in Austin.
