December 11th, 2018
The highly anticipated Amazon HQ2 decision unleashed a myriad of personal opinions, economic analyses, and political responses. Emotions are running high in two metros where there is concern for overcrowding, employees leaving their current jobs for Amazon, and affordable housing – to name a few. Amazon’s decision to choose the DC & NYC metros means that staffing agencies and companies alike need to assess how this will impact their current and future talent.
Talener CEO, Michael Dsupin, sees a world of possibilities that will open to job seekers, both in and out of the tech industry. This is a moment for DC & NYC to dominate the narrative surrounding its tech talent capabilities which is traditionally centered around Silicon Valley & Seattle. The Long Island City and Crystal City HQs reinforce the notion that they can compete with a capable and experienced tech workforce. Both metros have been on the radar previously as two of the top 10 cities for tech talent.
The estimated 12,500 jobs that will be created by Amazon at each HQ bolsters the potential for new residents who may relocate to surrounding metros in Delaware, Maryland, Virginia, New Jersey, New York & Connecticut. Likewise, the jobs may bring other positive impacts to communities by enabling the circulation of money for housing, restaurants, transportation, and more. At this point, it is difficult to predict the scope that Amazon’s move will have on these communities.
Companies will need to assess how Amazon’s arrival will impact their own workforce. Will their talent be scooped up to work for the tech giant? How will companies be proactive to retain their employees and keep them engaged? The more competitive environment may force employers to consider increasing wages or providing better benefits packages to retain talent.
Overall, there will always be talent that is eager for jobs. Companies will have the opportunity to hire people who are new to the industry and train them fresh out of school or certifications. Additionally, not everyone will stay at Amazon forever. Markets are constantly changing, and with that, come new job seekers. Existing tech talent will return to the market for new jobs.
The eCommerce space in particular could see the most influx with current talent leaving for new Amazon opportunities. Applicants with eCommerce experience have a leg up on other talent being recruited for Amazon.
Until we know for sure how and when Amazon will open their second headquarters, the best course of action that companies can take is to develop a strategy that is both proactive and flexible – one that is adaptable to increased market competition.