But regional offices perform more and more of the sophisticated work usually associated with Wall Street and nearby trading hubs like Jersey City and Stamford. This parallels a shift in some technology jobs away from Silicon Valley to Portland, Ore., and cities in Texas, said Michael Shires, a professor at the School of Public Policy at Pepperdine, who prepares an annual ranking of the best cities for employment.
“I expect to see an acceleration,” he said, noting that while these middle-tier jobs may lack the salaries and glamour usually associated with Wall Street, “these are the support people that actually make the stuff work.” What’s more, there are many more positions in the middle of the jobs pyramid at Wall Street firms than at the top.
Deutsche Bank’s office in Jacksonville started out in 2008 as a back-office service center, according to bank officials. Since then, technology workers, legal and compliance staff members, and trading support jobs have been added. More recently, some traders who deal directly with clients are being located there. Lower costs and taxes are behind the moves, the officials said.
Stars can maintain their prestigious zip codes. The rest of the workforce will have to make do with Salt Lake City and a much smaller salary. The world is getting flatter.
Back in March, I blogged about the same trend of near-shoring non-legal work for law firms from Washington, DC to Nashville, TN and Wheeling, WV. Last summer, I covered "small market migration." Talent is finding its way down urban hierarchy in a number of sectors. The Innovation Economy has begun its decline.