Opportunity Newark - Initiative for a Competitive Inner City

Transportation, Logistics
& Distribution Services
Introduction
Newark’s status as a major hub for international and
national shipping and distribution of goods is unquestionable.
The city’s location — adjacent to the largest port
on the eastern seaboard and amidst one of the country’s
largest consumer bases — provides companies shipping
into the United States with immediate access to 21 million
consumers and, within a day, access to an additional onethird
of the country’s population. 14 Newark also provides
quick access to New York City and the Mid-Atlantic market,
one of the richest consumer bases in the United States.
Investments and collaborative efforts by the state, city
and private entities have positioned Newark to capitalize
on the opportunities within the Transportation, Logistics,
& Distribution Services (TLD) cluster. Currently, over $1 billion
has been invested to dredge Newark’s harbor in order
to allow port access to the largest, post-panamax ships. 15
An additional $918 million is currently being invested to
enhance airport facilities, allowing Newark Liberty International
Airport to capture increasing amounts of airborne
cargo as well as increasing numbers of passengers. 16 Collaborative
projects such as Portfields, Portways, and the
Comprehensive Port Improvement Plan, are underway in
an effort to ensure Port Newark can handle increased
cargo loads efficiently and to revitalize unused lands in
the port area.
In addition to business development initiatives, several
workforce development efforts are underway to help Newark
residents obtain TLD-related jobs. Most significantly,
the Newark Workforce Investment Board (WIB) has been
working to create a port-specific One-Stop Career Office.
Located in the port, this office will specialize in placing
Newark residents in port industry jobs (e.g., trucking, warehousing,
light assembly). Additionally, $1.6 million has
recently been awarded to the Council for Airport Opportunity
to help them continue placing residents from Newark
and surrounding counties into airport jobs. 17
The business and workforce development opportunities
within the cluster, however, are so significant for the private
sector and Newark residents alike that additional
resources must be leveraged to enhance existing efforts
and ensure that their full potential is realized. With over
1,025 job opportunities projected to be added within the
cluster annually through 2012 18 and with current openings
in some TLD occupations 19 additional efforts will ensure that
Newark fully capitalizes on the potential growth within the
cluster and that Newark residents gain access to the available
jobs. With such apparent demand and potential for
Newark within TLD, OpportunityNewark chose to focus on
devising strategies to increase Newark’s competitiveness
as a TLD business location and to address opportunities to
help Newark residents obtain jobs within the cluster.
Description of the Cluster
Compared to the Region, Newark is growing as a hub for
logistics and distribution services. During the 1998 to
14 A. Strauss-Wieder, Inc. Warehousing and Distribution Center Context: NJTPA Brownfield Economic Redevelopment Project. 2/01.
15 The Port Authority of NY & NJ. Port Authority Facilities & Projects in City of Newark Presentation. 12/16/04. Note: Post-panamax containerships are
some of the largest ships to transit the Panama Canal’s smallest locks.
16 Ibid.
17 The Port Authority of NY & NJ. Press Release. Successful Airport Job Placement Program to Continue Assisting Residents Living Near Port Authority
Airports. 2/27/06.
18 New Jersey Department of Labor and Workforce Development. Essex County Estimated and Projected Employment, 2002-2012. 8/20/04.
19 Seamen’s Church Institute. Study on employment needs in trucking industry in Port Newark/Elizabeth. 6/05 – 8/05; ICIC Interviews.
OpportunityNewark: Jobs and Community Development for the 21st Century 26