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UTB-CBIRD Report: “At The Crossroads” Economic Development 91 The average annual wage in Cameron County in 2000 was approximately $20,000, while for the State of Texas this figure was in excess of $35,000. Three factors account for most of this disparity. ⇒ Cost of living drives wages up in the larger urban markets of the state; these urban areas increase the average without creating upward pressure on wages in less developed labor markets of the state. ⇒ Several Cameron County clusters are concentrated in lower value-added activities. ⇒ Some clusters, most notably Construction, face downward pressure on wages due to the available labor in the informal economy. Table 5.2 compares average annual wages in Cameron County, as of 2000, for each cluster to the average annual local wage, and to the average annual Texas wage for each cluster. The two clusters at the low end (less than 75%) of the local wage structure (General & Personal Services and Recreation & Leisure) employ a total of 16,000 workers, approximately the same as the employment of the 14 clusters at the high end of the wage scale (125% or greater). This average rate of low wages may be explained in part by the substantial number of part-time laborers in General & Personal Services and Recreation & Leisure. Indeed, wage rates in these clusters are roughly in line with the generalized wage differential between the County and the State. However, 20% more of Cameron County’s workforce is engaged in these two low-wage clusters than is the case statewide. Only one cluster in Cameron County, Aerospace & Defense, provides average wages in excess of the Texas average. However, this cluster has only about three regionally-based establishments with small and declining employment. Also important to consider are the growing clusters in Cameron County that pay less than 60% of the state average such as Business Services and Finance & Real Estate. For example, these clusters are generally associated with larger urban economies, providing a wide range of services to an active private sector. With the region’s multinational manufacturing base, opportunities may be found to expand these clusters, while also increasing local average wages. County has developed high value added components of the cluster. The raw data do not account for the lower cost of living in Cameron County, so Civic Economics has classified high and low wage clusters based on 60% and 75% of Texas wages. The actual average annual wage in Cameron County in 2000 was approximately 60% of the statewide average. It should be noted that this wage data does not, and cannot, account for wages paid in what is known as the informal economy. The informal economy, a reality for thousands of Texans, is made up of those whose earnings are not reported to government agencies. For many, particularly those with limited job skills or undocumented immigration status, the cash economy is the only alternative. For others, a cash economy is chosen in order to skirt taxation or to evade law enforcement. In neither case are their earnings reflected in this data. One Region – One Future It is estimated by the INS that in October 1996, Texas was home to 700,000 illegal immigrants, which is 14% of the national total. Given the projected annual increase, the total number of illegal immigrants in Texas today is probably around 1,000,000. One million is a large number of people to insert into an “informal” or cash economy. The current workforce in Texas’ “formal” economy is just over 10 million people… Statistics for projections on illegal immigrants: U.S. Dept. INS “Estimates, Fiscal Year, 2000” Statistics on TX workforce: Texas Workforce Commission December 2002
UTB-CBIRD Report: “At The Crossroads” Economic Development 92 Table 5. 2. Cameron County Cluster Wages, 2000 Cameron County Cluster Wages, Relative to Average Local Wage, 2000 125% or Greater of Average Cluster #Emp. 75% - 125% of Average Cluster #Emp. Less than 75% of Average Cluster #Emp. Aerospace & Defense 116 Above Average Wages General & Personal Services 5,022 Utilities 337 Semi Conductors 4 Recreation & Leisure 10,841 Energy Resources 34 Logistics & Distribution 3,338 Telecom Services 731 Industrial Machinery 36 Transportation Equip. 1,954 Biotechnology 61 Software 36 Food Products 1,549 Electronics 693 Mining 6 Wholesale Trade 4,100 Health Services 15,845 Materials 1,265 Construction 4,426 Industrial Supplies 1,139 Below Average Wages Chemicals & Plastics 526 Business Services 5,971 Transportation Services 609 Consumer Goods 242 Finance & Real Estate 3,736 Telecom Equipment 3 Mass Media 837 Textiles & Apparels 4,398 Retail Trade 13,933 Agribusiness 1,522 Cameron County Cluster Wages, Relative to Average Texas Wages, 2000 75% or Greater of Average Cluster #Emp. 60% - 75% of Average Cluster #Emp. Less than 60% of Average Cluster #Emp. Aeorspace & Defense 116 Recreation & Leisure 10,841 Business Services 5,971 Transportation Equip. 1,954 Logistics & Distribution 3,338 Transportation Services 609 Textiles & Apparels 4,398 Industrial Supplies 1,139 Mining 6 Materials 1,265 Electronics 693 Wholesale Trade 4,100 Agribusiness 1,522 Food Products 1,549 Finance & Real Estate 3, 736 Retail Trade 13,933 Health Services 15,845 Utilitites 337 Consumer Goods 242 Construction 4,426 General & Personal Services 5,022 Energy Resources 34 Telecom Services 731 Industrial Machinery 36 Nonclassifiable 73 Chemicals & Plastics 526 Mass Media 837 Software 36 Biotechnology 61 Semiconductors 4 Telecom Equipment 3 Source: IMPLAN Una Region -- Un Futuro
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CAMERON COUNTY/MATAMOROS AT THE CRO
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For George and Ronya Kozmetsky Dedi
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There is no choice in whether this
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University of Texas at Brownsville;
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SECTION 4. EDUCATION & TRAINING INT
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SECTION 6. CONCLUSIONS & RECOMMENDA
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Tables 3. 1. Respondents' Professio
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SECTION 6 Figures 6. 1. Border Secu
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Cross-Border Patient Needs: Develop
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UTB/TSC Student Profile Wage Compar
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UTB-CBIRD Report: “At the Crossro
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Page 59 and 60: ⇒ EDUCATION & TRAINING INTRODUCTI
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APPENDICES
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APPENDIX B. SURVEY INSTRUMENT Pleas
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QUESTION 3: Please circle your best
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APPENDIX C. CLUSTER ANALYSIS METHOD
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APPENDIX D. SHIFT-SHARE ANALYSIS Sh
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APPENDIX E. TRANSPORTATION INFRASTR
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Table E.3 indicates that while sout
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volumes. The Port of San Diego also
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The Port of Brownsville has over 33
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cargo operation and continued devel
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⇒ Top Five User Requirements 1. I
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BIBLIOGRAPHY
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Duca, John V. and Mine K. Yucel.
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Rylander, Carol Keeton. Texas Regio
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PROJECT PARTNERS
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UTB-CBIRD The Cross Border Institut
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IC² Institute, The University of T
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