The Divergent Job Market: San Francisco's Tech and Health Care Boom Amidst Sectoral Shifts
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The Divergent Job Market: San Francisco's Tech and Health Care Boom Amidst Sectoral Shifts
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The employment landscape has been turbulent, with the San Francisco Metro Division losing more than 5% of its total employment since mid-2022. However, certain sectors have shown resilience. The tech industry continues to grow, with significant job gains in professional, scientific, and technical services. For instance, between May 2024 and June 2024, this sector added 1,300 jobs.
Health care is another sector experiencing substantial growth, with medical and health care services manager jobs more than doubling between 2018 and 2024. Home health and personal care aides also saw a significant increase of 43% during the same period. Health care remains the largest sector for job gains in California, with nearly 160,000 jobs added over the past year.
In contrast, education roles have declined sharply, especially in the last three months. Sales roles, however, have seen a surprising resurgence, with job postings in San Francisco surging by 13.6% in the first quarter of 2025.
Commuting trends indicate a recovery in downtown economic activity, with increased Muni Metro and BART ridership, office attendance, and employee foot traffic. Despite this, job losses continue, particularly in federal employment and sectors dependent on in-person customers like restaurants and retail.
Recent developments include a modest rebound in legal roles in San Francisco and a notable comeback in sales positions. Seasonal patterns are less pronounced due to the dominant influence of tech and health care sectors, which are less seasonal.
Government initiatives focus on supporting the recovery of downtown areas and addressing the impact of remote work on local businesses. The market evolution is marked by a divergence in employment trends, with clear winners in tech and health care, and losers in education and certain service sectors.
Current job openings include positions in tech, such as software engineers and data analysts, as well as roles in health care, like medical services managers and home health aides. Additionally, sales positions are becoming more available following the recent surge in sales job postings.
Key findings highlight the resilience of the tech and health care sectors, the decline in education and certain service jobs, and the ongoing recovery of downtown economic activity despite overall job losses. The job market remains dynamic, with significant sectoral variations.