ManufacturingManufacturingOur last best chance for Philadelphia’s neighborhoodsOur last best chance for Philadelphia’s neighborhoods
The Origin of the UIIYears
2000 - 2003
10 sq. miles of the lower
northeast...
Created 627 new jobs
Stimulated $32.2 million
in new investment.
Original UII TerritoryOriginal UII Territory♦10 square miles of the lower north east.
♦ A concentration of over 400 manufacturing firms.
♦13,000 jobs13,000 jobs
♦ Producing over $3,000,000,000 in gross economic product annually
Survey Results of Philadelphia ManufacturersSurvey Results of Philadelphia Manufacturers
Firm s are ext rem ely isola ted .
Bu sinesses feel ignored by th e City.
Most com p an ies “m is t ru s t” governm en t agen cies , m akin g it d ifficu lt for them to engage th is sector .
Com p an y p rob lem s are com p lex -th ey are n ot am enable to a s im p le, s ingle fin an cial or con su lt in g so lu t ion .
Th e d eclin e in th e qu ality of the n eigh borh ood s is lead in g a n u m ber of firm s to consid er leaving the city with in the n ext five years .
Survey Continued...
Market in g skills a re weak or m iss in g.
Ability and willin gn ess to ch an ge is low.
Many com p an ies are in su rvival m od e; th ey h ave lit t le t im e an d few resou rces for com m u n ity p ar t icip a t ion .
Firm s are aware of p rob lem s, bu t they freq u en t ly can 't id en t ify th e cau se n or wh at act ion s to t ake.
Urban m an u factu rers are p erceived p r im a facie as in efficien t an d n on com p et it ive.
Managem en t an d en t rep ren eu ria l skills vary great ly (an d are m iss in g in m an y com p an ies).
The State of Manufacturing in The State of Manufacturing in the City of Philadelphiathe City of Philadelphia
A project of the Urban Industry Initiative
Manuf act ur i nManuf act ur i ng Jobsg Jobs
Wholesale, Retail, Finance JobsWholesale, Retail, Finance JobsProducesProduces
Squeezes more out of the economy. Every $1.00 in manufactured goods generates an additional $1.43 worth of additional economic activity - More than any other economic sector.
and the Economy
Manufacturing’s Contributionto the City’s Economy
In employment terms, for every 15 manufacturing jobs, an additional 8 jobs in non-manufacturing sectors like retail, wholesale and finance are created.
How Much Do People Really Make?How Much Do People Really Make?
City Wage TaxCity Wage TaxContribution by Sector (Source: City Of Phila. Dept. of Revenue Calendar 2007
Manufacturing’s Contributionto the City’s Economy
Philadelphia Economic Sectors
Man
ufa
ctu
rin
g
$0
$50,000,000
$100,000,000
$150,000,000
$200,000,000
$250,000,000
$300,000,000
1
City Wage Tax Collected
He
alth
& S
oc
ial
Serv
ice
s
Go
vern
me
nt
Pro
fess
iona
l Se
rvic
es
Education
&Manufacturing
$274,433,419
$215,088,865
$160,986,395
$118,208,139
$118,068,294
0
50,000
100,000
150,000
200,000
250,000
JOBS
197019801990
2000
Manufacturing Jobs Manufacturing Jobs In Philadelphia, 1970 - 1990In Philadelphia, 1970 - 1990
Source: US Bureau of Labor Statistics, 2000
60,9002005
What the loss of Manufacturing Jobs
means...
in lost tax dollars.
The Terrible Cost of Companies Leaving Philadelphia
LaborLaborRecruitment &
TrainingBenefits/Worker’s
Compensation
Economic ProductivityEconomic Productivity
Physical LocationPhysical LocationCrime/ Security
Appearance, Cleanliness
Physical LocationPhysical LocationCrime/ Security
Appearance, Cleanliness
Physical LocationPhysical LocationCrime/ Security
Appearance, Cleanliness
Physical LocationPhysical LocationCrime/ Security
Appearance, Cleanliness
GovernmentGovernment Taxes
International Trade
Over regulation
Economic ProductivityEconomic Productivity
Poor Poor Retention Retention StrategiesStrategies
U.S. manufacturers are challenged as never before. They are on the front lines of the most intense global competition in history where it is virtually impossible to raise prices. Yet, costs do rise, often because of what government does or does not do.
Loss of Loss of Industrial LandIndustrial Land
NoNoVacancyVacancy