Working from Home & Mass Transit Use

The former is increasing while the latter decreases; a sign of the future, that’s what this article from City Journal suggests.

An excerpt.

Expanding mass-transit systems is a pillar of green and “new urbanist” thinking, but with few exceptions, the idea of ever-larger numbers of people commuting into an urban core ignores a major shift in the labor economy: more people are working from home.

True, in a handful of large metropolitan regions—what we might call “legacy cities”—trains and buses remain essential. This is particularly true of New York, which accounts for a remarkable 43 percent of the nation’s mass-transit commuters, and of other venerable cities, such as San Francisco, Washington, Boston, Philadelphia, and Chicago. Together, these metros account for 56 percent of all mass-transit commuting. But for most of the rest of the country, transit use—despite often-massive infrastructure investment—has either stagnated or declined. Among the 21 metropolitan areas that have opened substantially new urban-rail systems since 1970, mass transit’s share of work trips has declined, on average, from 5.3 percent to 5 percent. During the same period, the drive-alone share of work trips, notes demographer Wendell Cox, has risen from 71.9 percent to 76.1 percent.

Meantime, the proportion of the labor force working from home continues to grow. In 1980, 2.3 percent of workers performed their duties primarily at home; by 2015, this figure had doubled to 4.6 percent, only slightly behind the proportion of people who commute via mass transit. In legacy core–metropolitan statistical areas (MSAs), the number of people working from home is nearly half that of those commuting by transit. In the 47 MSAs without legacy cores, according to the American Community Survey, the number of people working from home was nearly 250 percent higher than people going to work on trains or buses.

The areas with the thickest presence of telecommuters—including cities such as Austin, Raleigh-Durham, San Diego, Denver, and Seattle—tend to have the greatest concentration of tech-related industries, which function well with off-site workers. In San Jose, the epicenter of the nation’s tech industry, 4.6 percent of people work from home, exceeding the 3.4 percent who take mass transit. Other telecommuting hot spots include college towns like Boulder, where over 11.6 percent of workers work from home, and Berkeley, where the share is 10.6 percent.

Leading telecommuting centers tend to be home to many well-educated, older, and wealthy residents. Communities such as San Clemente, Newport Beach, and Encinitas in Southern California, as well as Boca Raton in Florida, all have telecommuting shares over 10 percent. Perhaps older, well-connected people are more inclined to avoid miserable commutes, given the chance to do so. As the American population skews older, the economy will likely see more workers making such choices.

Another important demographic force contributing to the work-from-home inclination is Americans’ continuing move to lower-density cities, which usually lack effective transit, and to the suburbs and exurbs—where 81 percent of job growth occurred between 2010 and 2014. While most metropolitan regions can be called “polycentric,” they are actually better described as “dispersed,” with central business districts (CBDs) and suburban centers (subcenters) now accounting for only a minority of employment. By 2000, more than three-quarters of all employment in metropolitan areas with populations higher than 1 million was outside CBDs and subcenters.

Home-based work could be the logical extension of this dispersal—and modern technologies, from ride-sharing services to automated cars, will probably accelerate the trend. A recent report by the global consulting firm Bain suggested that greater decentralization is likely in the coming decades. A 2015 National League of Cities report observes that traditional nine-to-five jobs are on the decline and that many white-collar jobs will involve office-sharing and telecommuting in the future. The report also predicts that more workers will act as “contractors,” taking on multiple positions at once.

About David H Lukenbill

I am a native of Sacramento, as are my wife and daughter. I am a consultant to nonprofit organizations, and have a Bachelor of Science degree in Organizational Behavior and a Master of Public Administration degree, both from the University of San Francisco. We live along the American River with two cats and all the wild critters we can feed. I am the founding president of the American River Parkway Preservation Society and currently serve as the CFO and Senior Policy Director. I also volunteer as the President of The Lampstand Foundation, a nonprofit organization I founded in 2003.
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