Minneapolis Maintains Vibrant Tech Sector

January 2008

'Top city for business' has opportunities in healthcare and finance.

When MarketWatch.com set out to discover the "top city for business" last year, it had plenty of nice things to say about Minneapolis-St. Paul, which topped its list. It noted the Twin Cities ranked second in both the concentration of Fortune 1000 and S&P 500 companies: You'll find 32 Fortune 1000 companies and 15 S&P 500 firms in the metropolitan area. They represent a cross-section of industries, making for a diverse local economy. Target, UnitedHealth, 3M, General Mills, Best Buy, Travelers, Northwest Airlines and Ameriprise Financial are just a few examples. Additionally, successful private companies such as Carolson Cos., Cargill, and Andersen - as in Andersen Windows - abound. Even the city's small businesses got MarketWatch's seal of approval. The area is fourth in the nation in small business concentration.

That's all well and good, but the big question is whether any of those companies are hiring IT experts.

The quarterly Manpower Employment Outlook Survey, which covers all industries, says yes. It found that from January to March 2008, 33 percent of the businesses interviewed plan to hire more employees, a moderate hiring pace according to a spokesperson, Michele Lindberg.

At the same time, recruiter Robert Half Technology's IT Hiring Index, which focuses only on IT, indicates 11 percent of Minneapolis-area CIOs plan to hire new staff in the first quarter.

The Twin Cities ranks second in the concentration of both Fortune 1000 and S&P 500 companies.

On Dice, indicators are less optimistic. The number of job listings for the Twin Cities fell 7 percent in the fourth quarter, which can be at least partly attributed to typical seasonality. Currently, just over 1,300 jobs are listed on the site. The Dice salary survey finds that statewide, IT pay averaged $75,124, a hair above the national average, and is up an anemic 1 percent over the past year.

Sandi Henrikson, regional manager of IT recruiter Sapphire Technologies' Minneapolis office, emphasizes the importance of living in a city with a diverse economy. "I haven't noticed much of a change in the last six months," she says. "We staff across all disciplines of IT and have not experienced a slowdown in any one area."

According to the recently published 2008 Robert Half Technology Salary Guide, the strongest demand for IT expertise in Minneapolis is for database administrators, systems administrators, and LAN/WAN administrators. A quick look at the job listings for a handful of Minneapolis's employers gives some insight as to where tech workers should be looking. Best Buy lists a few dozen IT positions, with a special need for CRM specialists. At Ameriprise, business analysts are needed, and at Target, you'll find about 90 available positions that fall into its "information technology" category at headquarters.

Henrikson sees strength in the healthcare and financial industries and, unlike most recruiters, says December was a busy month. "That's a good sign, as it tells us our clients are getting a jump on their projects for 2008," she says

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