Economy of Syracuse

Syracuse ’s economy has faced challenges over the past decades as industrial jobs have left the area. The number of local and state government jobs also have been declining for several years. Syracuse’s top employers are now primarily in education and in the service industry. University Hill is Syracuse’s fastest growing neighborhood, fueled by expansions by Syracuse University and Upstate Medical University, as well as dozens of small medical office complexes.

Top employers

The top employers in the Syracuse region and the size of their workforce, as of January 1, 2006:
Syracuse University: 7,371
State University of New York Upstate Medical University: 6,400
National Grid: 4,989
Wegmans Food Markets: 4,717
Oneida Nation and Oneida Nation Enterprises: 4,700
St. Joseph’s Hospital Health Center: 3,307
Magna International: 3,000
Verizon Communications: 2,750
Penn Traffic Company: 2,700
Lockheed Martin Corp.: 2,350
Loretto: 2,204

The Canadian Magna International bought the New Process Gear Division of New Venture Gear, saving it from being shut down by Daimler-Chrysler. Several smaller companies in the area continue to add a small number of jobs. In June 2004 the Bank of New York announced it would bring up to 800 jobs to Downtown Syracuse. In August it was reported that the job growth rate of the area was 1.4%. In October Lockheed Martin announced it would add up to 300 electrical, mechanical, and software engineering positions by 2007.

In January 2005, AXA, which recently purchased MONY, announced it was bringing 300 more jobs downtown, and Sutherland Global Services said it would add 125. Other companies that continue to grow in the area include Welch Allyn, Anaren, and Sensis Corporation. Today the Syracuse area has no extremely large employers, but rather many smaller ones, which provides for a certain amount of stability. Additionally, eight of the area’s top eleven employers are in education or the service industry, which tend to be much more stable than the manufacturing industry.

The Syracuse area’s unemployment rate of 5.0 percent is comparable to the national one of 4.8 (March, 2006). Throughout 2006, the area has continued to gain jobs over the previous year’s figures. During February and March 2006, the area’s job growth rate tied with New York City for the highest in the state.