Philadelphia isn't a mecca for tech jobs quite yet
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Tech wages in the Philadelphia area are rising, even as they lag the other big cities in the Acela Corridor.
Why it matters: With the rise of remote work, Philly's relatively low cost of living and proximity to other major cities stand to make it an increasingly attractive destination for tech workers.
By the numbers: Tech workers in Philadelphia earned 86% of what tech workers in San Francisco were paid during the first half of 2022, according to a compensation report by Carta, a company that helps founders and early-stage startups manage their cap tables, valuations and equity plans.
- The other major metropolises in our region fared better. New York's tech compensation is equal to San Francisco's, while Washington, D.C., and Boston came in at 97% and 94% respectively.
Between the lines: Tech companies often take an employee's location into account when deciding on compensation, but Carta's report notes that remote work is forcing salaries to converge toward the higher end of the scale as companies compete nationally for talent.
- The cost of living is 49% lower in Philly compared to San Francisco, according to NerdWallet's cost of living calculator.
- Philly's cost of living is also much lower regionally, too: 57% lower than Manhattan, 40% lower than Brooklyn, 33% lower than Washington and 26% lower than Boston.
Worth noting: Philly benefited from the diffusion of tech jobs from the traditional coastal hubs, but it still has a long way to go to become a true tech powerhouse.
- Most of the biggest tech employers are concentrated in King of Prussia and Malvern, even with Comcast's hulking presence downtown.
- The Economy League of Greater Philadelphia found that our suburbs have a much higher share of tech workers than the city itself — 2.6% of Philadelphia residents are employed in computer or math-linked professions, compared to 5.9% in Chester County.