Key Takeaways
- Americans are moving less for work than 30 years ago, creating a 'homebody economy'.
- Federal agencies face significant challenges in relocating employees for job transfers.
- Economic, social, and political factors contribute to reduced geographic mobility for employment.
- Declining regional pay gaps and the rise of remote work lessen incentives to relocate.
- Dual-income households and political alignment influence decisions to stay in current locations.
Deep Dive
- Americans are moving less for work today compared to 30 years ago, leading to an era of 'home bodies'.
- The current jobs picture is difficult to track due to recent government shutdowns, requiring reliance on private sector data from sources like Revellio Labs.
- Despite state-level job gains in areas like California and losses in Texas, overall interstate movement for employment has decreased.
- Huntsville, Alabama, a hub for federal defense and space jobs, faces challenges relocating employees.
- Only about 10% of FBI Finance and Facilities Division staff relocated to Huntsville.
- A 2022 Defense Department Inspector General report indicated leadership worries about a majority of Space Command's civilian staff not moving to Huntsville from Colorado Springs.
- Economist Urvinila Canton with the Federal Reserve Bank of Richmond notes a significant 30-year decline in Americans moving across state lines for work.
- Factors contributing to less work-related moving include industry and education alignment with specific regions, and increased political sorting, with over 40% of Americans citing politics as a living decision factor.
- A declining gender pay gap and the rise of dual-income households make moving for one partner's career more complex, leading couples to stay put.
- The shrinking salary gap between regions reduces the incentive to relocate for better job opportunities, and the prevalence of remote work allows individuals to change jobs without moving.
- Huntsville, Alabama, is experiencing growth partly due to its affordability, with housing costs 30% lower than in Colorado Springs.
- Former FBI worker Sharonda Ware moved to Huntsville, influenced by the state's natural beauty and culture, despite concerns about racism.
- Ware decided to stay in Huntsville after participating in a federal deferred resignation program.