If there was ever any doubt how much Houston depends on oil... (Moody: 2013, insurance)

[Sunderpig2]

Freaking out over this is like looking at the Stock Market on a bad week or in a bad month. Or looking a company with traditionally great sales, and dwelling on a bum month. It's more about longevity and the "long run" that matters.

I've had a whole life in Houston, and it's never been focused on the oil/gas industry. I can't think of a single thing or memory tied to oil/gas. So it might be a big deal to some, and amount to nothing for others. Some might be running like Chicken Little, while many others are enjoying life.

If anything, the city has had too many eggs in that one basket. Most know of the importance of diversifying. This is a long overdue wake up call for balance, and strengthening other industries (including many that have been ignored for too long).

[ParaguaneroSwag]

Oil jobs have definitely been lost in Houston. This is no question. However there is one thing that is mysterious about Houston's economy right now. While the energy sector is taking a hit, other sectors in Houston seem to be booming. Houston is landing hotels and hotel brands that are new to the area. The retail sector has been booming and Houston landed numerous flagship boutiques (Dolce & Gabbana, Tom Ford, Harry Winston, a new flagship 2 stores Christian Dior, etc etc). And then there's the high rise condominium sector which has slowed recently but it's fair to point out because there's still so many under construction and planned.

The latest showings on Houston's current economic ratio puts Houston's economy that is oil related right at 50%. Yet with this, that 50% affects the other half to a degree. So there's something in Houston that's been causing this. Houston has came a long way from the 80s when the energy sector directly took up 80% of the economy, but I don't think the economy is diversified enough yet to bring in the recent surges in these sectors. What's mysterious is what's keeping them going.

[tstone]

Originally Posted by ParaguaneroSwag

The latest showings on Houston's current economic ratio puts Houston's economy that is oil related right at 50%. Yet with this, that 50% affects the other half to a degree. So there's something in Houston that's been causing this. Houston has came a long way from the 80s when the energy sector directly took up 80% of the economy, but I don't think the economy is diversified enough yet to bring in the recent surges in these sectors. What's mysterious is what's keeping them going.

Petrochemicals?

[LocalPlanner]

The construction employment at the various petrochemical plants in Brazosport and Baytown / Mt. Belvieu has helped keep the region's net employment change near 0 instead of negative. This construction activity is planned to decrease substantially after 2018. The permanent jobs created at these facilities will be much, much lower in quantity by comparison.

Retail, health care, leisure / hospitality, education are still growing because they are tied to and slightly lag population growth. Population growth, or slowdown in growth as the case may be, lags what's happening in the basic employment market. So population growth and the resulting secondary employment growth can be expected to slow down, at least somewhat, after this year, assuming basic upstream O&G picks back up.

Houston's leaders know that more diversification is needed. However, the problem is that O&G is like a super-effective intoxicant. When it's going good, it generates huge numbers of really well-paying jobs for educated / trained people. Who's going to say no to that? And our region took a big, big dose from 2011-2014. Problem is, this high-paying job growth just starts dominating and sucking up all the dynamism, seemingly not leaving much room for other industries to grow - they just can't pay as much for either direct labor (wages) or vendor contracts. So folks and businesses will tend to sit around waiting for upstream O&G to come back rather than do the difficult and less financially rewarding (in the short term) work of creating a more diversified industry profile.

[Lowexpectations]

Originally Posted by radiolibre99

Besides a few concerts being cancelled and the White House threatening education funds, no.

No it's actually been more than that. Many companies have come out against it and the nba moved the all star game. You clearly haven't followed it

[Jack Lance]

Originally Posted by marksmu

Real Business, with good paying jobs, do not select where to move and innovate based upon something like the HERO ordinance. They look for tax abatement, low acquisition costs, wages, availability of skilled (or unskilled) labor, infrastructure, and security.

Anyone who thinks that real business, other than hollywood, musicians, and washington elite types care one iota about a silly ordinance, needs to really analyze where they get their news, and how they are letting the .00000000005% of the population influence their day to day actions.

At the end of the day business wants to MAKE money....profit is all that matters. No profit, no money, no money, no jobs. Period.

You think China cares about a HERO ordinance? No - Mexico? No, India? No - yet THAT is where all of our jobs are going...not just manufacturing, but also our professional jobs too. HERO is the OPPOSITE of what will bring jobs to Houston....Employers want SECURITY that they are free to operate without additional costs or threats of suit...all HERO does is INCREASE the likelihood they will be sued. HERO does not create jobs, it prevents them from.

I specifically stated that HERO would help make us competitive in the Tech sector "1) We need to pass a HERO like ordinance so that Houston can compete with cities like Austin, Dallas and Plano, which have those types of ordinances, for Tech transfers and new start ups in that sector." It also may affect our ability to attract events like Superbowls , Final Fours or even conventions.

I'm sure there are many businesses in industries and economic sectors that probably don't care either way about Hero, but I doubt that there is any business that would decide not to come to Houston because of a ordinances like HERO, especially since the vast majority of major American cities have these types of laws.

Houston is not going to be able to compete for business relocations that are inverting and or seeking 3rd world labor cost, so we have to look at the domestic landscape when deciding what we need to do to achieve economic diversification.

[Lowexpectations]

Originally Posted by huma281

Which businesses in particular?

http://www.hrc.org/blog/companies-sp...2-law-sign-ont

[detachable arm]

Originally Posted by Lowexpectations

Companies Speak Out Against North Carolina’s Discriminatory Law | Human Rights Campaign

Don’t believe the hype: HB2 hasn’t hurt N.C. economy

For North Carolina,

▪ Nearly 5,000 new jobs have been announced since March.

▪ Moody’s reported that North Carolina’s 2016 year-to-date revenue growth has outpaced the 20 largest states’ average by more than 2-to-1.

▪ North Carolina’s unemployment rate returned to pre-recession levels at 4.9 percent and is down in all 100 counties since 2013.

▪ S&P, Moody’s and Fitch affirmed North Carolina’s AAA credit rating, citing the state’s continued diverse economic expansion.

▪ CNBC moved North Carolina from #9 to #5 in the ranking of best states for business.

▪ North Carolina ended the fiscal year with a $425 million revenue surplus.

[Lowexpectations]

Originally Posted by detachable arm

Don

For North Carolina,

▪ Nearly 5,000 new jobs have been announced since March.

▪ Moody’s reported that North Carolina’s 2016 year-to-date revenue growth has outpaced the 20 largest states’ average by more than 2-to-1.

▪ North Carolina’s unemployment rate returned to pre-recession levels at 4.9 percent and is down in all 100 counties since 2013.

▪ S&P, Moody’s and Fitch affirmed North Carolina’s AAA credit rating, citing the state’s continued diverse economic expansion.

▪ CNBC moved North Carolina from #9 to #5 in the ranking of best states for business.

▪ North Carolina ended the fiscal year with a $425 million revenue surplus.

I'm sure you are aware this is something that is forward looking no? For instance the nba moved the 2017 all star game specifically because of this. How does that figure into your "numbers" ? Also of obvious note just because you are up doesn't mean this hasn't had a negative impact. It's possible to have job growth but less than you would have had otherwise if not for this issue. I know this is all common sense and overly obvious but you must have overlooked it

[gwarnecke]

If any hypothetical companies were looking at Houston and thinking, "This city offers a high standard of living, reasonable costs, expected population growth, beautiful parks and amenities, and proximity to the port, but because of the results of a single referendum in a single election year, I won't relocate here", then as far as I'm concerned they weren't worth a dime of money or a minute of time to try to attract.