SC Council on Competitiveness Releases 2020 SC Logistics Study Revealing an Increased Industry Impact On State Economy
The study reveals the impact of logistics in South Carolina, including revenue growth, employment, economic contribution, industry wages, and more.
(Columbia, SC) The SC Council on Competitiveness has released its 2020 SC Logistics Economic Impact Study to highlight the logistics sector’s role in South Carolina’s economy and its growth over the past decade. The study also reveals the impact of COVID-19 on the logistics industry.
The study, completed by University of South Carolina research economist Dr. Joseph C. Von Nessen, updates the overall economic impact, employee wage averages, and employment growth rates from the 2017 study, in addition to showing the increased reliance on technology within the logistics industry.
The study shows several increases since the 2017 study, including an overall increase in economic impact of over 4% from $32.9 Billion to $37.2 Billion, employment growth exceeding 7% from 113,865 jobs to 139,650 jobs, and an impressive wage increase across the cluster. Notably, for employees in embedded logistics (those logistics functions existing within a firm in service of that firm’s operations), the average annual wage is $76,592, nearly 70% higher than the state average.
“After reviewing the results of our study, we are very encouraged by the direction and future of the logistics cluster in South Carolina,” says Taylor Jackson, Director of SC Logistics at the Council. “The results are not only a clear indication of the hard work and leadership of our logistics firms, but they also highlight the importance of developing the next generation of our technically skilled logistics workforce.”
The study also shows growth comparisons to other state business clusters, and the connectivity between the Council’s Logistics and Technology/Cybersecurity clusters (SC Tech and SC Cyber). The percentage of Logistics cluster expenditures within the state’s technology cluster has tripled over the past decade, showing a symbiotic relationship between technology and logistics.
“Logistics has always been a critical part of our economy,” said Susie Shannon, President and CEO of the South Carolina Council on Competitiveness. “2020 has highlighted how vital it is to our daily lives that we manage the start-to-finish process of how we make, move, and deliver the products we want. From home building supplies and automobiles, to medicines and groceries, logistics touches every product, in every business, every day. Our success as one of the nation’s top advanced manufacturing states would be impossible without a strong logistics sector.”