Valley Economy Remains Robust, Survey Finds

For the second consecutive year, the San Fernando Valley’s economy has turned in a robust performance based on new jobs, payroll, building permits and other measures, according to a comprehensive report from the San Fernando Valley Economic Research Center at Cal State Northridge.

The report shows that private sector payroll rose more than 9%, to $23.8 billion, from 1997 to 1998. The number of private sector jobs rose to about 630,000, and construction permits for repairs and remodeling showed increased activity in almost every category.

The report, which is scheduled to be released at today’s 11th annual Business Forecast Conference of the Valley Industry and Commerce Assn., indicates that by nearly every measure, the Valley economy is continuing to recover from the one-two punch of the early 1990s recession and the 1994 Northridge earthquake.

“Overall, it’s a positive report,” said Shirley Svorny, director of the center. “It looks like we’re coming along. We’re observing an economy that’s showing signs of strength consistent with the regional recovery.”

The report confirms that the Valley remains a service-based economy, with 45% of the jobs falling into that category--and a third of the service jobs falling in the entertainment industry.