Despite thousands of layoffs ahead of and during the harshest recession in two generations, high technology remains a significant contributor to Idaho’s economy, according to a report released today by the Idaho Department of Labor.

Despite an employment contraction that began in 2007 at Micron Technology Inc. and washed through the industry, high-tech still accounted for 7 percent of both total employment and business establishments in Idaho in 2008 and, more importantly, 17 percent of total wages.

Figures for 2008 are nearly a full percentage point below the sector’s 2006 peak for employment and payroll, but high technology continues to pump billions of dollars a year into Idaho – nearly $4 billion in wages.

Even after the sector went into decline, Idaho still ranked 29^th in the nation in the percentage of its work force employed in high-tech, 31^st in the percentage of businesses in the high-tech sector and seventh in the ratio of the average high-tech paycheck to the average wage statewide. High technology workers in Idaho averaged over $70,000 a year in 2008 compared to the statewide average wage of just under $34,000 – 87 percent higher. That was little changed from the peak year of 2006 although the state’s ranking nationally was third that year.

High technology goods, primarily computer chips, have also dominated the state’s exports, typically running at over 70 percent of total value until 2008 and 2009 when they slipped under 65 percent.

While still a boon to the state overall, the economic impact of high technology varies regionally. Nearly half the 2008 payroll was in the southwestern part of the state, Idaho’s most populous and the home of Micron. Eastern Idaho claimed a quarter of the wages, benefiting from the Idaho National Laboratory’s presence and the spin-off businesses it fosters.

South central Idaho, known primarily for agriculture, had a surprising 18 percent of the high-tech payroll.

In all three cases, the percentage of high-tech wages was higher than the region’s percentage of the state population.

The other three regions of the state had only fractional shares of high-tech wages well below their proportions of the population.

And even though the sector has suffered a setback during the recession, a number of high technology occupations remain on the list of those that pay well and will be in high demand in the years to come. Among those on the Department of Labor’s projected “Hot Jobs” through 2016 are computer software engineers, system analysts and administrators and computer support specialists.

The report - “Idaho High Technology Business Scan” - is available online at http://lmi.idaho.gov/.