Each New Public Relations Job Creates a Total of 1.7 New Jobs in Los Angeles CountyLOS ANGELES (Oct. 25, 2010) — The Los Angeles Chapter of the Public Relations Society of America (PRSA) today released an independent economic impact report that found public relations agencies contribute more than $445 million to Los Angeles County’s economy annually, while each new public relations job creates nearly two new jobs.
- Economic impact of the 445 public relations agencies located in Los Angeles county and the estimated 3,030 people, including professionals and administrative staff, employed by consultancies and 731 independent practitioners; and
- Employment and wages of more than 10,000 public relations professionals who work in other industries, including aerospace, financial, government, automobile manufacturing and pharmaceuticals.
Total Impact: $445 million for Los Angeles County’s economy
Firms in the industry spend money on goods and services such as office supplies, rent and insurance, and the wages paid to their employees support households spending on goods and services, such as groceries, clothing and medical care.
“This spending creates a ripple effect that helps support additional industries in the region, making the total economic impact of the public relations industry larger than just its direct activity,” according to the report.
PRSA-LA believes the economic impact of the public relations industry in the county is considerably higher. The report does not account for communications departments at corporate offices or government entities in Los Angeles because public relations budgets are not broken out by those businesses or agencies.
According to the report, “it is clear that the reach of public relations goes far beyond the single industry and is felt throughout the economy.”
Value of a Job: One new public relations job creates nearly two jobs
Industry analysis: Public relations is a growth profession
Employment growth in the public relations consultancies has outpaced advertising services in Los Angeles since 1990. Over the 18-year period ending in 2008, employment at public relations agencies rose 23 percent – from 2,466 to 3,030 – while overall employment in Los Angeles County dropped 5 percent.
Moreover, there were an estimated 731 self-employed public relations professionals in Los Angeles County in 2008. The average wage of public relations agency employees was $78,129 – more than 50 percent higher than the average wage in Los Angeles County.
Professional analysis: Average Los Angeles County salary exceeds national average
The average annual wage for public relations managers across all industries in Los Angeles County in 2009 was $113,070, and for specialists $66,820. This is higher than the averages at the national level, $101,850 and $59,370 respectively.
The employment data in the professional analysis do not include the professionals employed by public relations consultancies or who are independent practitioners.
PRSA-LA’s industry analysis can be found on the PRSA-LA website.
The Los Angeles Area Chapter of the Public Relations Society of America (PRSA) is comprised of more than 500 public relations professionals, representing many of Southern California's corporations, public relations agencies, independent practitioners, academic institutions and health organizations.