EDC designates San Diego’s top computing, engineering, business programs

To fill talent gaps, regional employers vet training curriculum aligned to industry needs

Together with more than 80 industry representatives, San Diego Regional EDC is proud to announce Advancing San Diego’s newest Verified Programs of 2024: 28 education programs from 15 different institutions that are best preparing students for jobs in computing, engineering, and business.

These programs earned a three-year verification status through a rigorous evaluation process led by Advancing San Diego, the flagship program of EDC’s Talent Initiatives, which serves to double the production of skilled workers in San Diego while prioritizing historically underrepresented populations in the innovation economy. 

San Diego and the nation are grappling with a critical talent supply and demand challenge. Since 2017, San Diego County has experienced a 1.3 percent decline in its working-age population even as jobs have increased by 3.1 percent, intensifying competition for skilled talent. Additionally, 83,000 more jobs now require a bachelor’s degree than in 2016, underscoring the growing demand for advanced training and education alongside skill-based hiring practices.  

At the same time, demographic shifts are reshaping the future workforce. More than 70 percent of San Diego’s K-12 students are people of color, a group that has historically faced systemic barriers to accessing high-wage, high-demand careers. These changes present an opportunity—and an imperative—to invest in training programs that equip local, diverse populations for the region’s most in-demand careers. By expanding access to quality post-secondary education and training, the region can build an inclusive talent pipeline that supports both economic growth and equity in San Diego’s innovation economy.  

“The numbers are clear; the region cannot fill its talent gaps unless we open doors for more San Diegans. Our Advancing San Diego work is part of the solution—connecting industry to vetted local education programs that they might not yet be recruiting from. This new roster, which includes universities, community colleges, adult schools, and more, offers employers a go-to for sourcing qualified and diverse talent, and arms training programs with the boots-on-the-ground intel needed to shape the curricula of the future,” said Taylor Dunne, Director of Talent Initiatives at San Diego Regional EDC.  

How programs are verified

Employers met with and vetted applicants’ curriculum at EDC’s ‘Reaching Tomorrow’s Talent’ event on November 13, which brought together more than 150 businesses, educational programs, and community organizations working to close talent gaps by aligning education with industry needs.  

Status as a Verified Program indicates five critical elements:

  • Alignment of educational curriculum with industry requisites of necessary hard skills (ex: coding)
  • Alignment of educational curriculum with industry requisites of necessary soft skills (ex: problem solving)
  • Continuous engagement with industry
  • Ability to reach and serve a diverse student population
  • Proven history of collaboration along the education continuum and with critical community organizations

By participating in the process, local training programs get an inside look at the most critical skill expectations for students coming out of their programs and begin to explore how those expectations will change as technology and artificial intelligence evolve.  

“Poway Adult School is excited be recognized as an Advancing San Diego Verified Program. We believe that further developing industry partnerships, encouraging reflection on learning objectives, and aligning with the needs of local industries will help set our students up for success as they enter the workforce,” said Kathleen Porter, Executive Director of Career Technical, Adult, and Alternative Education at Poway Unified School District. 

“By equipping students with the skills needed to thrive, we help them transition successfully into the workforce. EDC’s Talent Demand data is an invaluable tool that allows us to align our programs with the skills students need to launch new careers,” said Elizabeth O’Shea-West, Principal at Vista Adult School. 

The 28 programs verified in this round represent more than 79,500 students across San Diego and Imperial Counties, and join a roster of others across key industries including Healthcare, Business, and Life Sciences. Last done in 2020, 10 programs were re-verified while Advancing San Diego welcomed 18 newly verified programs. 

hire summer interns at no cost

With the new designation comes the opportunity for students to take advantage of paid work-based learning experiences. In conjunction with the Border Region Talent Pipeline K-16 Collaborative, companies in  San Diego and Imperial Counties  are invited to apply by February 28, 2025 to host funded computing, engineering, and/or business interns for the  summer of 2025, sourced exclusively from the Verified Programs roster. In 2024, 322 interns were placed at 104 local companies, up from 48 interns placed in 2023, and creating an invaluable bridge between education and industry in high-growth, high-wage fields. Learn more and complete the interest form here. 

“I was drawn to this internship program because of my commitment to social mobility and reducing socioeconomic gaps. Companies have a pivotal role in building a more equitable future, especially by empowering the next generation of talent. My favorite part about working with the Advancing San Diego interns at ChakraTech has been their contagious enthusiasm and unwavering dedication to the work,” said Ravi Chawla, founder and CEO of ChakraTech, a 2024 summer intern host. 

Learn more at advancingSD.org and explore Verified Programs for other industry clusters here.

Apply by February 28


Verified Programs of BUSINESS

  • California State University San Marcos
  • Cuyamaca College
  • MiraCosta College
  • National University
  • Palomar College
  • Poway Adult School
  • San Diego State university
  • San Diego Community College District – College of Continuing Education
  • UC San Diego Division of Extended Studies
  • UC San Diego Rady School of Management
  • Vista Adult School

Verified Programs of Computing & ENGINEERING

  • California Institute of Applied Technology
  • Cuyamaca College (Engineering)
  • National Foundation for Autism Research
  • National University
  • San Diego City College
  • San diego MiraMar College

Learn More About Advancing San Diego

Inclusive Growth Spotlight: Booz Allen Hamilton

To celebrate and inspire the efforts of regional employers, EDC’s new Inclusive Growth blog series will highlight San Diego companies helping to drive progress on the 2030 Inclusive Growth goals.

Launched in 2018 and informed by a partnership with the Brookings Institution, the Inclusive Growth initiative sets 2030 goals for San Diego related to increasing: 1) the supply of talent, 2) quality small business jobs, and 3) newly thriving households. The goals inform San Diego’s economic priorities and make the business case for economic inclusion.

Regional talent demand remains high

To maintain economic competitiveness, the region needs 20,000 students per year completing post-secondary education within six years of graduating high school. These include certifications, career technical education, and college degrees. Progress toward the goal has increased incrementally since 2017 yet completions have shown signs of tapering; the region still falls short of the goal; and the local supply of talent continues to be a critical priority for San Diego employers.

Talent scarcity has become the new normal as hiring demand exceeds the supply of talent across industries. Compounding this challenge, student success is demographically uneven in the region. Despite making up 35 percent of the population, Hispanics and Latinos only account for 17 percent of residents over 25 years old with at least a bachelor’s degree. Critical to growing the local talent pool is creating more opportunities for Black and Latino students to succeed. Employer-led talent pipeline development efforts are critical to the future of San Diego’s economy and Booz Allen Hamilton is among those working toward a solution.

Employer-led solutions

Combining 110 years of strategic consulting expertise with the perspectives of diverse talent, Booz Allen leverages innovative solutions for its clients in defense, cybersecurity, healthcare, and energy. In the San Diego metro area, Booz Allen employs more than 1,200 people with a range of technical expertise contributing to the region’s reputation as a hub for innovation and a catalyst for groundbreaking ideas.

While San Diego has a highly educated workforce with a proportion of bachelor’s degree holders that is seven percent higher than the national average, Booz Allen is among many employers across San Diego still facing a talent scarcity challenge. A smaller talent pool makes competition for technical professionals more intense, especially as the presence of major tech companies has increased over time and local startups continue to flourish.

To help expand access and exposure to quality jobs in STEM, Booz Allen and the Booz Allen Foundation are deeply committed to supporting San Diego youth.

Here’s how the company is committing to Inclusive Growth:

  • For the past 10 years, Booz Allen has partnered with the USS Midway Museum to offer STEM education programming to elementary and middle school students in Southeast San Diego. This year, the Booz Allen Foundation is underwriting scholarships for 1,000 students, predominantly from Black and Latino communities.
  • Since 2023, the Booz Allen Foundation has provided resources to Southwest San Diego around Lincoln High School (LHS) and its surrounding community. Recognizing that schools are part of a larger ecosystem, the company supported not only LHS but also the elementary and middle schools that feed into it, along with local organizations like Girl Scouts of San Diego and MANA de San Diego with a focus on youth exposure to STEM. Last year, the Foundation supported LHS’s engineering program including its inaugural FIRST robotics team. With this support, the robotics team made the regional robotics competition, earning a spot at the FIRST international championship in Houston. For many participants, this was their first time flying, staying in a hotel, and dining at a sit-down restaurant—a truly life-changing experience. Additionally, LHS students attended the San Diego State University College of Engineering Expo, where they connected with first-generation college students thriving in STEM fields, helping them envision their own future in these careers.
  • The company is also a strong supporter of the Elementary Institute of Science (EIS), a Southeast San Diego-based organization that has provided equitable access to STEM since the 1960s. EIS has partnered with the Booz Allen Foundation to take its mission to new heights. Together, they are developing new AI programming and teacher training to stay ahead of rapidly changing technology, providing stipends for internships to help talented students earn money while advancing their education and careers, funding scholarships for students to attend EIS STEM camps, facilitating volunteer days to support the community, among other efforts.
  • Lastly, the Booz Allen Foundation is proud to support Rady Children’s Hospital’s Medical Academy, which provides high school students with valuable learning opportunities in healthcare. Through its Equity Grant, the hospital is connecting students with Booz Allen employees to explore the fundamentals of artificial intelligence (AI) and its emerging applications in healthcare. This initiative empowers students to gain exposure to cutting-edge technology, expanding their career possibilities in both healthcare and AI, and preparing them for success in these high-demand fields.

Join the movement

Progress on EDC’s 2030 Inclusive Growth goals is only achievable with and through the region’s employers who must be committed to scaling innovative and intentional solutions in San Diego. Companies like Booz Allen are helping to collectively pave the way toward a more inclusive regional economy.

To learn more and get involved in EDC’s work, contact:

Teddy Martinez
Teddy Martinez

Sr. Manager, Research

How Advancing San Diego funded internships help students and businesses

Advancing San Diego: Bridging education and industry

EDC’s Advancing San Diego (ASD) internship program, run in partnership with the Border Region Talent Pipeline K-16 Collaborative and Imperial Valley EDC, has transformed how students across San Diego gain early career experience, while helping local businesses address talent needs. In summer 2024, the ASD program placed 358 interns at 104 companies across San Diego and Imperial Counties, creating an invaluable bridge between education and industry in high-growth, high-wage fields like engineering, computing, and business. That’s up from 48 interns placed in summer 2023. This program plays a crucial role in addressing regional talent shortages, helping local companies access vetted, diverse talent and offering students paid, hands-on learning opportunities in high-demand industries.

Summer 2024 by the numbers

*Priority populations include low-income individuals, first-generation college students, current community college students or community college transfers, veterans and active-duty military students, and students with disabilities

Addressing the talent gap with community impact

At the heart of ASD’s mission is a commitment to reaching under-resourced communities, ensuring that students from diverse backgrounds gain valuable career experience while helping local businesses address critical talent needs. Companies apply each year by early spring to host students from Advancing San Diego Verified Programs to be interns. These Verified Programs are selected based on industry-determined criteria, including industry engagement, diversity, equity, and inclusion, as well as curriculum that teaches the most in-demand skills in computing, engineering, and business. This approach ensures that students’ skills align with evolving workforce demands, enhancing the overall impact of the internship experience.

Once companies are selected, students from Verified Programs apply for their top five preferred positions. There are not enough positions for every student, so those who identify with the program’s priority populations get preferred access to available positions, with 73 percent of the interns identifying with one or more of the priority populations this past summer. Importantly, ASD provides financial support through the K-16 Collaborative, covering competitive intern wages and saving local companies more than $2 million in payroll costs, ensuring businesses can prioritize mentorship and on-the-job training over recruitment logistics.

Real-world experience and career advancement

Every year the ASD internship program provides students with valuable work experience directly linked to their academic pursuits, equipping them with practical skills and career confidence. At the same time, EDC’s program enables companies to benefit from student contributions, with a 17 percent conversion rate of interns into full-time employees in 2024. For employers, this means reduced time spent on recruitment and a pipeline of highly motivated, well-prepared candidates who bring immediate value.


“I was drawn to this internship program because of my commitment to social mobility and reducing socioeconomic gaps. Companies have a pivotal role in building a more equitable future, especially by empowering the next generation of talent. My favorite part about working with the Advancing San Diego interns at ChakraTech has been their contagious enthusiasm and unwavering dedication to the work.

—Ravi Chawla, founder and CEO of ChakraTech; ASD summer intern host


Is your company interested in hosting summer interns in 2025?

LET US KNOW BY FILLING OUT THIS FORM

Learn how employers can bolster the local talent pipeline

Read our op-ed

To learn more and get involved in EDC’s work, contact:

Olivia Jones
Olivia Jones

Coordinator, Talent Initiatives

Op-ed: Employers can bolster the local talent pipeline. Here’s how.

Op-ed originally published by the San Diego Union-Tribune.

Authored by Sidd Vivek, President and CEO at Junior Achievement of San Diego and Imperial Counties; Mark Cafferty, President and CEO at San Diego Regional EDC; and Dr. Sunita Cooke, President and Superintendent at MiraCosta College

The success of our regional economy hinges on more than the businesses that power it; it thrives when our community, education systems, and industry come together to create opportunities that benefit all San Diegans. Internships and career-connected learning are key to aligning local students with regional jobs and overcoming the talent shortages threatening our economic competitiveness.

Demand for workers in the innovation economy is set to double over the next few years, making it imperative to connect young people to career pathways and professional networks in San Diego’s leading industries. Talent from historically underserved communities remains heavily underrepresented in the local innovation economy; in fact, Black and Hispanic people comprise 50 percent of the region’s K-12 population but only 24 percent of innovation cluster workers. Supporting these youth in accessing high-growth, sustainable careers is key to addressing San Diego’s socioeconomic disparities and creating a talent surplus.

That’s why, together with key local partners, San Diego Regional EDC is focused on placing students in paid work-based experiences and/or internships across the region. In collaboration with the Border Region Talent Pipeline K-16 Collaborative, Imperial Valley EDC, Junior Achievement of San Diego and Imperial Counties, and the County of San Diego led by Chair Nora Vargas, 443 local youth were placed in paid summer internships and/or work-based learning experiences at more than 125 businesses across San Diego and Imperial Counties including Illumina, Deloitte, Booz Allen Hamilton and Cox Communications and many small businesses. Through local industry partners—and supplemented by philanthropy—students were paid more than $2.7 million in collective wages and employer support services, and many are already being hired on for full-time opportunities. This work goes beyond offering students a paycheck—transforming futures and driving long-term economic growth for San Diego.

When employers invest in career-connected learning experiences, they address both immediate staffing needs and strategically build a future workforce pipeline tailored to their skills demands. According to the National Association of Colleges and Employers, approximately 72 percent of US companies will offer their interns full-time positions, and 80 percent of employers cited their internship programs as the talent acquisition technique with the best return on investment.

It is not just businesses that benefit. Forbes reported that students who completed paid internships receive twice as many job offers and secure a higher first-year salary than students with no internship experience, even when controlling for industry and demographic data.

Work-based learning equips students with industry tools and professional skills while helping them identify career paths aligned with their strengths and build a network of support for the future. Young people’s creativity and diverse perspectives can spark fresh ideas that drive businesses forward. As more students transition from interns to full-time roles, they mentor the next generation, creating a self-sustaining growth cycle that fuels innovation and economic mobility across San Diego and Imperial Counties.

This complex work requires cross-sector collaboration, from K-12 school districts and nonprofits to community colleges, universities, and employers who need the talent to fill critical functions. For our region—we must keep our sights set on fostering innovation, connecting youth to in-demand, sustainable wage career pathways, and building a talent pool that reflects our people.

With students back in school for the fall, we invite our regional businesses to join us in this vital work. From participation in career panels to hosting work-based learning for high school students or post-secondary apprentices and interns, a commitment by San Diego’s companies will be the difference-maker for this region and our youth.

It is only with and through San Diego’s employers that we can meet our Inclusive Growth goals, and ensure our economy remains competitive, innovative, and resilient for years to come. The benefits are clear: stronger businesses empowered students, and a vibrant, accessible economy that works for everyone.

What’s next?

To learn more and get involved in EDC’s work, contact:

Bridgette Coleman
Bridgette Coleman

Manager, Talent Initiatives

Small, localized commitments mean huge economic impacts in San Diego

Op-ed originally published by San Diego Business Journal

Authored by Eduardo Velasquez, Sr. Research & Economic Development Director at San Diego Regional EDC, and Jennie Brooks, EDC Board Chair and Executive Vice President at Booz Allen Hamilton

Hosted in San Diego last month, the Department of the Navy Gold Coast Small Business Exposition brings together hundreds of government and defense contracting leaders to talk all things DOD procurement. Self-proclaimed as the big business event for small businesses, Navy Gold Coast serves to ‘leverage small business capabilities to seize opportunities for strengthening national security.’

Boasting the largest concentration of military assets in the world, San Diego has an incredible and important opportunity to tap our region’s small businesses not only to support military interests, but also to drive inclusive economic growth across the region.

As we track toward our region’s 2030 Inclusive Growth goals, it is imperative that our economic development strategies prioritize small businesses, which represent more than 98 percent of all local businesses and employ 59 percent of San Diego’s workforce. They are not just contributors to the local economy; they support jobs for 807,540 San Diegans across industries. But they are challenged to remain competitive. Small businesses pay on average 38 percent less than their large business counterparts, and in 2023, under one-third (or 244,794) of small business jobs were considered quality jobs—those paying $46,846 plus healthcare benefits. Not to mention the challenge small businesses face in succession planning, accessing capital, and generally staying afloat in one of the most costly regions in the country.

Together, San Diego’s large employers can have enormous impacts on our region’s small business community. In fact, a 2021 EDC study found that anchor institutions—such as universities and hospitals, as well as utilities, local government, and even sports teams—that are physically bound to the region collectively purchase tens of billions of dollars in goods and services every year. Yet, it is estimated that local anchors spend about one-quarter of all procurement dollars on suppliers from outside the region, with a fraction going to small and minority-owned businesses. EDC found that if anchors shifted just one percent to local, small, or diverse suppliers, San Diego would see millions of dollars in economic impact and thousands of jobs.

Booz Allen Hamilton has been committed to partnering with small and diverse suppliers across the San Diego region. In 2023, the firm’s local spend in the San Diego area with small businesses was more than $50 million, a 24 percent increase from 2022. We’re also inspired by San Diego Gas & Electric, the County of San Diego, and others making measured and meaningful commitments to support our region’s small and diverse businesses.

So, what can you do? To maximize their collective economic development impact, we need three key things from the region’s anchors.

First, we need consistency and coordination, both in terms of definitions and processes, to increase accessibility. Every institution tracks its spending differently, and each has its own requirements and processes for bidding out contracts. A consistent set of definitions and even some coordination in bidding processes will not only facilitate tracking and collective goal setting, but also increase access to a new pool of potential vendors and suppliers.

Second, leadership and resourcing are needed to establish and meet procurement goals. It is important that both organizational leadership and procurement staff agree on the value of these goals, thus creating accountability, aligning incentives, and implementing change.

Last, anchors leverage their large prime contractors to meet procurement goals. Take construction for example: large projects are often sub-contracted out by prime contractors to smaller suppliers and vendors, and many anchors lack visibility into these sub-contractors. Engaging primes in anchors’ goal setting increases visibility and opportunity for smaller suppliers while also ensuring that prime contractors have the capacity to fulfill project deliverables.

With intentional and localized commitments, we can create an economy that benefits more San Diegans, grows more jobs, and helps small businesses become the Qualcomms, Dexcoms, and Booz Allen Hamiltons of the future.

Let Navy Gold Coast serve as a potent and timely reminder to prioritize small businesses and inclusion for the betterment of our economy.

To learn more and get involved, contact:

Eduardo Velasquez
Eduardo Velasquez

Sr. Director, Research & Economic Development

San Diego’s demand for talent in business

This summer in partnership with the Border Region Talent Pipeline K-16 Collaborative, EDC’s Advancing San Diego program convened six leading San Diego employers that collectively employ more than 24,000 San Diegans to participate in an Employer Working Group (EWG) and provide a real-time picture of the region’s talent demand for entry-level business roles. Additionally, 120 businesses were surveyed to gain a regional snapshot of talent demand, find gaps in business related training, and identify in-demand entry-level positions for individuals training to enter the workforce. Leveraging strategies from the U.S. Chamber of Commerce Foundation’s Talent Pipeline Management® framework, Advancing San Diego is excited to share the 2024 Business Talent Demand Report to serve as a snapshot of local demand for entry-level business professionals.

Business Talent Demand Report

This report serves as a tool for education partners to understand what skills and competencies students need for entry-level business positions in San Diego County. Based on employer feedback, the report focuses on in-demand external facing roles (Customer Service Representative and Advertising, Sales, and Marketing) and internal facing roles (Purchasing and Buying and Project Managers), and highlights the demand for Accounting, Auditing, and Bookkeeping positions which were identified as high priority by EWG participants.

Key findings

  • Twenty percent of businesses reported a high turnover in four out of eight listed in-demand occupations.
  • Lack of sufficient training or education was cited as the primary reason for hiring difficulties for entry-level business positions.
  • For non-entry level positions, lack of sufficient industry or work experience and inadequate training or education were the primary hiring challenges.
  • Employers predicted the highest job growth for purchasing and buying roles over the next 24 months, noting that 30 percent of these positions take more than six months to fill.
  • The most challenging positions to fill included supply chain and logistics positions, finance, and project manager roles, all of which reported high turnover rates.
  • Hispanic and Latino, as well as Black and African American individuals are underrepresented in entry-level business positions, indicating a need for investment in equitable access to strengthen the regional workforce.

Occupation demand

San Diego’s economy is powered by its diverse industries, from defense and technology to life sciences and manufacturing, supported by more than 71,000 business jobs. However, many employers struggle to find candidates with the necessary skills for entry-level roles, particularly as technical skills become increasingly crucial. With nearly 5,400 businesses competing for talent, the shortage of qualified candidates makes it challenging to fill positions.

Sixty-three percent of surveyed businesses noted that available talent does not have the relevant training or education, highlighting the need for better access to post-secondary education, work-based learning, and internships to strengthen talent pipelines and prepare students for success.

What’s next?

  • Save the date: Join EDC on November 13 at UC San Diego Park & Market for Advancing San Diego’s Verified Program event. More details to come.
  • Apply to be a Verified Program! Learn more about the process and benefits here. Verified Program applications close September 27.
  • Read other industries’ Talent Demand Reports here.

To learn more and get involved in EDC’s work, contact:

Bridgette Coleman
Bridgette Coleman

Manager, Talent Initiatives

San Diego nearly surpasses Inclusive Growth goal for quality jobs, and why the work isn’t over yet

On August 14, EDC hosted its second Inclusive Growth Roundtable of the year, convening 40 regional stakeholders, service providers, and small business leaders to share the latest data on quality small business jobs and ground-truth our findings.

The 2030 Inclusive Growth goals focus on three key pillars core to any strong regional economy: quality small business jobs, a skilled talent pipeline, and thriving households. EDC analyzes the region’s progress to each goal annually. During the August gathering, we focused specifically on the region’s progress toward adding 50,000 new quality small businesses jobs by 2030. EDC currently defines a quality job as a business with fewer than 100 employees that offers at least $23 per hour and provides health insurance.

EDC’s Vice Chair of Inclusive Growth Lisette Islas kicked off the dialogue reminding us why this work matters, and celebrating the intentional and collaborative journey we have been on as a region since 2017. We’ve seen significant progress in San Diego becoming a more inclusive economy, but there is more work to be done. Below is a recap of the data shared, insights gathered, and issues we see on the horizon.

The backbone of San Diego’s economy

In San Diego, small businesses represent 98 percent of all firms and account for 59 percent of total employment. The impact that small business owners have on local jobs cannot be overstated. Despite significant contributions, small businesses struggle to keep up in an increasingly expensive market.

The smaller the business, the larger the challenge for providing a competitive wage. In fact, small businesses offer 38 percent lower average wages compared to companies with more than 100 employees. Microbusiness (<4 employees) face the largest challenge when it comes to relative compensation. This trend has worsened since EDC began tracking quality jobs data in 2017, with the relative wage gap widening even more last year.

Quality small business jobs surge

The latest data shows that small businesses have steadily increased the proportion of quality jobs, with 28.8 percent of all small business jobs now meeting the wage threshold including health benefits. The latest data refresh shows that quality small business jobs surged last year. So much so, the region has nearly surpassed the 2030 Inclusive Growth goal, adding 48,481 new quality jobs.**

The data is gratifying and certainly reflects the importance and impact of efforts to increase opportunities for more small business owners, but there is more than this metric to unpack.

Inclusive Growth remains paramount

The world has changed dramatically in the last seven years since EDC launched the Inclusive Growth Initiative. In that time, the region experienced tremendous economic growth followed by a global pandemic that curtailed progress. Those hit the hardest were women and people of color in San Diego. Since then, we’ve seen a strong economic recovery, yet rising tides have not lifted all boats.

San Diego’s lowest paying occupations are disproportionately held by marginalized and under-invested-in populations. While the surge in quality jobs is reassuring, the reality is that more than two-thirds of small business jobs still fall below the wage threshold and larger businesses still have the advantage when it comes to paying competitive wages.

Also important to note, lower paying jobs are disproportionately held by people of color who are noticeably underrepresented in the highest paying occupations in town. For example, more than half of Healthcare Support occupations in San Diego, which include nursing, medical, and dental assistants, are held by Black or Latino people, but the average total wage is below $20 per hour. Conversely, less than 20 percent of Computer and Mathematics occupations, which include statisticians, programmers, and software developers, are held by Black and Latino people but pay more than $50 per hour on average.

During the event, we also shared recently conducted survey results of 603 local small business owners which found that people of color have contrasting challenges when it comes to owning a business. Done together with SBDC, the survey results revealed that securing necessary funding is a major challenge for nearly two-thirds of minority small business owners. This highlights the importance of programs that tailor outreach, education, and funding resources for minority business owners to stay competitive in San Diego.

EDC’s commitment to increasing quality small business jobs with an inclusive lens is embedded into our programmatic work, yet we recognize that the road ahead will require sustained regional collaboration. We invite you and your organizations to join this movement so that San Diego remains competitive, and that all businesses and their employees continue to benefit from the region’s economic success.

Teddy Martinez
Teddy Martinez

Sr. Manager, Research

** A previous version of this blog incorrectly stated 30.3 percent of all small business jobs now meet the wage threshold including health benefits, and that small businesses added 60,234 new quality jobs to the region, surpassing our Inclusive Growth goal. The data has been corrected and updated in line above as of September 5, 2024.

Best practices for AI in higher education

takeaways from Advancing San Diego’s AI Best Practices event

In a regional economy where one in four local firms utilizes Artificial Intelligence (AI), it is essential that San Diego students be prepared with the skills necessary to maximize the use of AI. To address this need, Deloitte and San Diego Regional EDC convened nearly 50 faculty and administrators from Advancing San Diego’s Verified Programs to collaborate and workshop the future of AI implementation in higher education.

Six THINGS WE LEARNED:

  1. Personalize learning and content

    AI can revolutionize personalized learning by analyzing student performance data to identify areas where students need more support and adjust curriculum accordingly. Additionally, AI enables educators to quickly adjust to student needs by creating lecture materials, interactive learning modules, and more. This dual capability expands educators’ ability to create tailored content and saves time on resource creation, enhancing both the learning experience and instructional quality.

  1. Streamline administrative tasks

    AI tools can manage routine administrative tasks such as scheduling, grading, and responding to common student questions. This can reduce the administrative burden on educators, allowing them to concentrate more on teaching and mentoring, thereby improving overall efficiency.

  1. AI literacy and prompt engineering

    Understanding prompt engineering, the skill of constructing the right questions, can significantly enhance the utility of AI in educational settings. The way questions are framed can drastically impact AI responses and, if done properly, reduce the risk of “hallucinations,” AI-generated information that may be incorrect or outdated. This literacy ensures that these tools are used to their full potential, providing accurate and relevant information that supports learning objectives. It also effectively prepares students for jobs in San Diego’s innovation economy, which is already adopting AI at staggering rates .

  1. Emphasize higher-order thinking

    The integration of AI in education is shifting instructive approaches, emphasizing higher-order thinking skills outlined in Bloom’s Taxonomy. With AI handling lower-order tasks such as remembering and understanding information, educators can focus on fostering analysis, evaluation, and creation in students. This shift encourages deeper learning and critical thinking, preparing students for complex real-world challenges.

  1. Establish effective governance frameworks

    Integrating AI into education will require strong governance frameworks to address ethical concerns like bias and privacy, clear policies and guidelines for its use in assignments and assessments, and a regular process for evaluating and updating these frameworks to keep pace with the evolving AI landscape.

  1. Mitigate bias and protect privacy

    Addressing bias in AI training data is important for fair educational outcomes. Ensuring AI models are trained on diverse, representative datasets can improve accuracy and inclusiveness. Privacy concerns are also paramount; public AI tools can inadvertently use any input data for retraining, risking exposure of sensitive information. Enterprise-specific models, which do not learn off of private data, might offer a more secure solution for educational institutions.

To learn more and get involved in EDC’s work, contact:

Olivia Jones
Olivia Jones

Coordinator, Talent Initiatives

aPPLY TO BE A VERIFIED PROGRAM

sEE edc’S AI series

Reflections on San Jose: EDC Leadership Trip

As I was sitting on my Southwest Airlines flight back from San Jose, I looked into the rows ahead of me to see a scene that has become synonymous with our EDC Leadership Trips: Our former chair and the National Head of Commercial and Industrial Banking at Western Alliance Bank Julian Parra leaning into the aisle to have a discussion with our current vice chair for inclusion and the CEO of Lifeline Community Services Lisette Islas. Also leaning into the conversation were Neighborhood House Association President and CEO Rudy Johnson, and the COO of Connect Christie Marcella. Meanwhile, a row behind them, ResMed’s Head of Global Inclusion and Diversity Sarah Hassaine was in a deep and enthusiastic conversation with Chief Innovation Officer for the City of Carlsbad David Graham. All smiling and laughing. All heading home after two and a half days of deep thinking, work, and reflection in another California city and region dealing with many of the same challenges and opportunities we have back home. All recommitted to an inclusive economic development agenda they helped to create.

Getting 35 local business, higher education, nonprofit, and civic leaders to set aside time to travel, learn, and grow together is difficult. Finding the kind of leaders who can carry all of their knowledge and expertise into every conversation while checking their egos at the door might even sound impossible. But here we are once again, returning home with even more energy, enthusiasm, and focus than we had when we left.

Our time in San Jose reminded us of just how far we have come since we took our first leadership trip to Nashville almost nine years ago. Hearing the stories of employer engagement and commitment to inclusion, learning about deep and meaningful public-private partnerships, sitting in on an hour-long conversation between San Jose Mayor Matt Mahan and San Diego City Councilmember Raul Campillo, and enjoying our time together at Mexican Heritage Plaza and the Google HQ Campus all made for meaningful and inspirational moments. Sharing it all with such a special and committed group of San Diego leaders and friends makes it almost magical.

But it isn’t magic that that will move the needle to ensure that we train enough skilled workers, support the development of enough quality jobs within our small businesses, and create the conditions that will ensure more resilient and thriving households throughout our region. It is hard, focused, intentional, and purposeful work. It requires an unwavering commitment to the belief that inclusion is a true economic imperative. And it only happens when we continuously find, leverage, and support this group of thoughtful, committed citizens who together can help our region meet our 2030 goals.

For those of you who have been a part of this journey with us over the last several years, thank you for your investment, leadership, and support. And for those of you who would like to be a part of the most meaningful, intentional, and inclusive economic development work in the nation, reach out, lean in, and join us in endorsing and advancing these goals. You will absolutely gain more than you give. I guarantee it.

Returning home with clearer eyes and a fuller heart—Mark

Mark Cafferty
Mark Cafferty

President & CEO

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Looking into the 2024 crystal ball

Sticking the ‘soft’ landing

Happy new year from your local, recovering economist!

After another year filled with uncertainty and the seemingly ever long tail of pandemic-related disruptions, we enter 2024 with a whole host of questions—some new, some recurring.

The past year was dominated by the prognostications of a looming recession. Goldman Sachs famously gave it a 100 percent probability and even the Federal Reserve was bracing for an economic downturn as recently as the summer.

However, it is worth stating the obvious here that the United States did not go into a recession. Throughout 2023, measures of economic growth consistently beat expectations. In the fourth quarter of the year, the economy grew at an annualized rate of 3.3 percent fueled by consumer spending as well as business investment. We saw record corporate profitability, a strong labor market that added nearly three million jobs, and even inflation slow significantly and come close to the Fed’s comfort level of two percent.

Locally, we ended the year with 23,400 more jobs. Investment also came into the San Diego region from both public and private sources. Startups raised another $4 billion in venture capital funding and San Diego received $950 million in federal funding for cleantech development.

There are more jobs in San Diego than ever before, however there are fewer people available to do them. Over the last 12 months, the labor force declined and it is expected that our prime-working age population will shrink in the coming years. Part of this is due to accelerated retirements brought about by the pandemic; part is due to the ever-increasing cost of living. The median-priced home is now more than $1 million with a monthly mortgage payment of more than $5,300.

So, 2024…

Looking to the year ahead, we are approaching a unique moment to accelerate large scale transformation around the future of work and the built environment.

Employers are offering remote and flexible work arrangements at higher rates than during the height of the pandemic. The rapid adoption of generative AI tools is changing how work is done and re-defining what skill development means, favoring agility over ability. There are 32,000 employers nationwide competing for workers with AI skills. In San Diego, there have been more than 5,200 unique job postings seeking AI skills since the launch of ChatGPT just over a year ago.

The permanence of remote work offerings has led to a re-imagining of the office with a flight toward quality. Many employers remain unsure of when and who should return to the office (we can help). These decisions will have profound implications for the future use of office space across our region, of which there is more than 10 million square feet currently vacant, with several million more planned, under construction, or with leases coming due in the next year.

While affordability remains abysmally low, housing production has ramped up with permitting activity expected to match levels not seen since 2017. This is still not enough new housing to meet demand, but still very welcome development (pun intended!). Additionally, rent growth seems to have plateaued and returned to pre-pandemic rates giving renters a much-needed pause in increases.

And yet, nothing that our region will face in 2024 is inevitable. What lies ahead is both a familiar challenge and a new opportunity for inclusive growth. A challenge to meet the talent needs of our employers, and an opportunity to remove barriers to entry into the workforce. A challenge to promote quality job growth in small businesses, and an opportunity to shift spending toward local, diverse suppliers. A challenge to address affordability, and an opportunity to re-imagine our urban core to retain high-paying jobs and provide housing for working families.

It’s a tall order, but our region is hungry. Let’s get to work!

Eduardo Velasquez
Eduardo Velasquez

Sr. Director, Research & Economic Development

 

Read 2023’s edition: Looking into the crystal ball…

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