FOURTH QUARTER, 2018 • Vol. 3, No. 4
The FGCU Industry Diversification Index for the Southwest Florida workforce region—comprising Charlotte, Collier, Glades, Hendry, and Lee counties—improved in the second quarter of 2018, indicating an increase in workforce diversification for that time period. The workforce region’s IDI measured 8.555, an increase from both the 1st quarter of 2018 (measured at 8.442), and the 2nd quarter of 2017 (measured at 8.436). The IDI’s rise resulted in an improvement in the rankings, registering as the 8th most diversified workforce region in the state (out of 24 total regions). The index can register between 0 and 10, with 0 being the least diversified, and 10 being the most diversified.
The decline in industry diversification for Southwest Florida follows the usual trend for this quarter. Southwest Florida typically measures higher index measures during the quarters spanning April through September, and lower index measures during the quarters spanning October through March. The lower index measures, expected during the winter period, can be attributed to an influx of tourism and seasonal residents, which leads to an increase in demand for both the retail trade and accommodation and food service industries to meet the seasonal demand. When the winter period ends and seasonal residents leave the region, the demand for both of these industries contracts, leading to a more diverse economy during the spring and summer period.
The Cape Coral-Fort Myers IDI rose in the 2nd quarter of 2018, registering at 8.596. This was an increase from the 1st quarter of 2018 (measured at 8.501), as well as an improvement from the 2nd quarter of 2017 (measured at 8.490). The MSA also improved in the rankings, measured as the 6th most diversified MSA in the state, out of 22 total MSAs in the state of Florida.
The Naples-Immokalee-Marco Island IDI increased in the 2nd quarter of 2018, with an IDI of 8.704—higher than both the 1st quarter of 2018 (measured at 8.543) and the 2nd quarter of 2017 (measured at 8.606). The Naples-Immokalee-Marco Island MSA also gained three spots in the rankings, becoming the 2nd most diversified MSA in the state.
The Punta Gorda IDI increased in the 2nd quarter of 2018, measured at 7.460, an improvement over the 1st quarter 2018 measure (7.407), but below the 2nd quarter 2017 measure (7.539). Despite the increase, the Punta Gorda MSA remained unchanged in the rankings, registering 21st in the state of Florida (out of 22 MSAs in total).
Florida’s workforce experienced an increase in industry diversification in the 2nd quarter of 2018, while remaining the same in the rankings nationally. Florida’s IDI measured at 8.624, an increase from both the 1st quarter of 2018 (measured at 8.596) and the 2nd quarter of 2017 (measured at 8.594). Despite the increase, Florida’s ranking among the states (20th) remained unchanged, behind Washington (8.638) and ahead of Oregon (8.600). The state continues to rank in the bottom of the Southeast Region, which contains five of the top 10 states with the highest IDI in the United States.
Nationally, South Carolina, Georgia, and North Carolina had the three highest IDI measures, while Maine, West Virginia, and Nevada had the three lowest IDI measures.. The IDI for the United States was 8.652.