SECOND QUARTER, 2018 • Vol. 3, No. 2
The FGCU Industry Diversification Index for the Southwest Florida workforce region—comprising Charlotte, Collier, Glades, Hendry, and Lee counties—declined in the fourth quarter of 2017, indicating a decrease in workforce diversification for that time period. The workforce region’s IDI measured 8.488, a decrease from the 3rd quarter of 2017 (measured at 8.525), but higher than the 4th quarter of 2016 (measured at 8.460). Despite the decline, the region was stagnant 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 growth 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 decreased in the 4th quarter of 2017, registering at 8.501. This was a decline from the 3rd quarter of 2017 (measured at 8.579), but an improvement from the 4th quarter of 2016 (measured at 8.459). The fall in the IDI resulted in a decrease in the rankings, moving down one spot to the 7th most diversified MSA in the state, out of 22 total MSAs in the state of Florida.
The Naples-Immokalee-Marco Island IDI declined in the 4th quarter of 2017, with an IDI of 8.678—lower than both the 3rd quarter of 2017 (measured at 8.743) and the 4th quarter of 2016 (measured at 8.741). The Naples-Immokalee-Marco Island MSA fell two spots in the rankings, becoming the 3rd most diversified MSA in the state.
The Punta Gorda IDI decreased in the 4th quarter of 2017, measured at 7.377. This was a decrease over both the 3rd quarter 2017 measure (7.490) and the 4th quarter 2016 measure (7.521). Despite the decline, the Punta Gorda MSA improved one spot in the rankings, to 20th in the state of Florida.
Florida’s workforce experienced a decrease in industry diversification in the 4th quarter of 2017, while remaining the same in the rankings nationally. Florida’s IDI measured at 8.567, a decline from the 3rd quarter of 2017 (measured at 8.588), but an improvement from the 4th quarter of 2016 (measured at 8.532). The decrease in Florida’s IDI did not result in a change in the rankings, with Florida ranked as the 22nd most diverse state workforce in the country, behind Louisiana (8.571) and ahead of Kansas (8.547). 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, the most diversified states in the country were Georgia, South Carolina, and Tennessee, and the least diverse states were Alaska, West Virginia, and Nevada. The IDI for the United States was 8.639.