Nevada ranks a dismal 45th in per-capita high tech jobs

Nevada ranks near the bottom among the United States in the number of per-capita high-tech jobs available, a recent study says.

But two local experts think the numbers may be skewed by the fact that some jobs categorized in the gaming sector may actually be computer oriented.

The American Electronics Association, in its "Cyberspace Update" ranking U.S. states in high-tech employment and salary issues, listed Nevada at 45th in the number of computer jobs per 1,000 private-sector workers.

In the high-tech category, the state also ranks in the lower tiers in total employment, annual average wages and average high-tech wage as it compares to average private-sector salaries.

The data are based on 1996 statistics.

Local economic development officials believe Nevada's economy is producing a lot of high-tech jobs -- but many of those in the gaming industry are counted as service industry jobs. And they argue the state's economic diversification gains are overshadowed by the tremendous growth in low-tech construction and hotel-casino industry jobs.

"We really are ahead of the game," said Somer Hollingsworth, executive director of the Nevada Development Authority, which works to recruit new business and industry to the state.

"We're holding our own," added Keith Schwer, who heads UNLV's College of Business and Economic Studies. "We're not doing a bad job and its hard to say if we can do better. There's a lot of competition out there."

The AEA places Nevada 40th in the total number of high-tech jobs it has -- 13,871 by the association's survey. The state ranked 32nd in average high-tech wage at $49,586.

That pay level is 46 percent more than the private-sector wage level for the state of $26,931. That percentage difference ranks 44th among the states. Nationally, high-tech jobs pay 73 percent more than private-sector jobs.

The study says Nevada has 19 high-tech jobs per 1,000 compared with a national average of 43.

The highest placing Nevada held in the study was the percentage increase in high-tech jobs over six years since 1990. The state ranked 25th while Washington -- home of Microsoft Corp., led the nation with a 51 percent increase.

In conducting its study, the AEA identified 45 high-tech categories in three broad areas. None of those categories address slot machine technology, which likely fell into a software category, a spokeswoman for the association said. She added that many of Nevada's jobs are within telecommunications categories.

Biotechnology, another area in which Nevada is emerging, also wasn't counted as a high-tech field.

Modern biotechnology is the practice of producing or improving products by altering the basic building blocks of all living organisms. Altering DNA has applications in the production of pharmaceuticals, medical devices, bioremediation, manufacturing materials and seed grains.

A separate report on the growth of biotechnology in the West portrays Nevada as a scientific wasteland. With 10 private research institutes exploring some form of biotechnology in Washington, Oregon, California, Arizona, Utah, New Mexico and Colorado -- and Idaho home to a major private bioagriculture program -- Nevada seems to be an island with few biotech jobs.

AgriBioTech Inc., a small company based in Las Vegas, is considered one of the world leaders in seed production, particularly in the grass and forage categories. However, AgriBioTech's strategy has been to acquire companies all over the country, so its employees are scattered nationwide and fewer than 50 are based in Nevada.

Hollingsworth said gaming is definitely a part of Southern Nevada's high-tech world, but he figures many of those positions don't get counted as computer jobs. He also pointed out that when developing statistical comparisons for high-tech jobs , Nevada faces some of the same comparisons it fights when making a case for increases in the diversification of the entire economy.

He said while the state is diversifying more, giant strides by the gaming industry offset the gains and leave other industries in the shadows of the new resorts.

"We felt we did pretty well, getting 3,300 new non-gaming jobs last year," Hollingsworth said. "Then Bellagio (and other resorts) adds 8,900 new jobs. What we helped get was excellent, but it really doesn't hold up when in a comparison."

Schwer said diversifying into more high-tech industry is challenging because "everybody wants a piece of it." He added that some states are offering economic incentives to convince companies to move.

"A lot of other states and their programs are giving money away and some contend we're being pretty smart by just holding our own," Schwer said. "We're not Silicon Valley. But some companies are attracted to Nevada for other reasons (like the) low taxes and the regulatory environment we have. We're really a lot more accommodating than California."

California ranks in the top five in every category in the AEA study.

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