Des Moines is among the top 20 U.S. metros most workforce ready for industrial employers, a study by a commercial real estate service finds,
What does being ‘workforce ready’ for industrial employers mean?
The CommercialSearch study sought to rank metros not just by their inventory of sites and infrastructure to serve manufacturing, but by the availability of people with the skills to fill the jobs it creates. To do that, it scored U.S. metros on factors including concentrated industrial workforce, training programs, educational institutions and policies “in sync with industry skill needs.”
Though the study considered logistics and economic viability, it heavily weighted workforce and education, which account for up to 44 points on the 100-point scale it used for the scoring.
Where did the Des Moines metro rank in the study?
The metro ranked 16th, with 51.4 points. There are 387 metros in the United States.
What were were the Des Moines metro’s strengths?
Among the top 20 metros in the study, it ranked first for five-year growth in industrial employment and its cost of living index. It was second for the number of available airports, median labor costs in industrial sectors and industrial employment concentration.
What did the study say about the Des Moines metro?
The study said the strong showing was surprising because the metro is more often associated with insurance and tech than with manufacturing. But it said that from 2018 to 2023, its industrial workforce expanded by 34% , the fastest growth among the top 20 metros on the list and second only to Bakersfield, California, for all the metros scored in the study.
Why has the Des Moines metro seen such large industrial employment growth?
Think Amazon. The study said the growth “is partly tied to population growth, which drives e-commerce demand and, with it, the arrival of logistics and distribution centers.” Amazon since 2020 has built a giant fulfillment center warehouse and a sorting center in Bondurant; a delivery station in Grimes; and a same-day order fulfillment center in Ankeny. But the study said that sort of growth is not unique to the Des Moines metro. It also pointed to new manufacturing tied to agricultural machinery and food processing ― for instance, Michael Foods’ $146 million expansion of its facility in Norwalk that produces egg products, and more recently, JBS’ investment to build a 500-worker sausage plant in Perry that will supply its new plant in Ankeny making ready-to-eat sausage and bacon products. The metro, according to the study, has 29 of the nation’s largest 100 food manufacturers and processors.
“Looking forward, expansions in advanced manufacturing (e.g., bioscience, data centers), along with warehousing and distribution, further diversify the economy beyond agriculture alone,” the report said.
What were other advantages the study found for Des Moines?
The study also cited the metro’s central location and state incentives that include no sales tax on machinery purchases and low business costs, with median industrial wages around 6% below the national median.
What were the top 20 metros?
This article originally appeared on Des Moines Register: Des Moines among metros best for manufacturing, study finds
Reporting by From staff reports, Des Moines Register / Des Moines Register
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