commuting

Report: Housing costs, traffic congestion motivate workers to seek balance beyond Silicon Valley

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In another sign that Silicon Valley isn’t as gilded as it once was, more tech workers want to leave, according to the Woo data. Almost 30 percent of Bay Area workers surveyed in the first quarter indicated they wanted to relocate, compared with 22 percent in the quarter before. New York was highest in demand.There are a number of growing tech hot spots outside Silicon Valley, May said, most of which have a lower cost of living. And that ties into the fact that people surveyed are putting a greater emphasis on work-life balance. “People are changing their priorities,” he said.There’s evidence the exodus away from Silicon Valley has started already. In 2014 more people left Silicon Valley than moved in, for the first time since 2011, according to a study by the Silicon Valley Competitiveness and Innovation Project. More than 7,500 residents hit the road, the study found. The researchers blamed quality of life issues such as skyrocketing housing prices and increasing traffic congestion.

Source: Tech workers lower salary expectations amid economic uncertainty – San Jose Mercury News

It’s time for Silicon Valley to progress to the Information Age — using the information and communications technology it innovated — and out of the Industrial Age model of centralized commuter offices and mega corporate campuses. This technology now allows information workers to do the same work they do in Silicon Valley in the cloud. That way, they can skip the daily commute and live where housing is more affordable.

San Francisco Bay Area at decision point as population, sprawl and congestion grow unsustainably

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The Bay Area’s population was boosted by 90,834 people — the size of Santa Barbara — between 2014 and 2015, according to estimates in a U.S. Census Bureau report, dramatically outpacing housing and transportation needs of the region, experts say. […] the relatively steady upswing in the past five years, policymakers say, underscores deficiencies in housing supply and public transportation. “What should be a great story about job growth and very desirable communities is instead a story about housing displacement and gridlock,” said Gabriel Metcalf, president of SPUR. Roadblocks to increasing the region’s housing stock, he pointed out, include zoning laws that prohibit high-density housing, prolonged project approval processes and the fact that many voters are homeowners not directly hurt by soaring home prices and who want to minimize congestion for themselves. The unevenness, especially when new residents are living far from their workplaces, has increased strains on public transit lines. The crowded commuter trains were cast into an ugly spotlight in the past month as mysterious power surges knocked dozens of cars out of operation, and service shut down between the Pittsburg/Bay Point and North Concord stations.

Source: Bay Area’s population grows by more than 90,000 in a year

The San Francisco Bay Area is at a decision point. As this story points out, housing market dynamics in this large geographic region of nine counties increase the distance between where residents work and where they can afford to live, overloading highways and public transit systems. This extracts enormous costs on residents’ daily time budgets, pocketbooks and overall quality of life.

The situation is unsustainable. The Bay Area must now decide whether it will continue to suffer, carrying on as if it were still in the less populated pre-Internet 1970s — when the aging Bay Area Rapid Transit District operated efficiently and within design capacity — or leverage its considerable information and communications technology moxie to replace daily commute trips to distant offices.

California Commuters Continue to Choose Single Occupant Vehicles | Center for Jobs and the Economy

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Attendant with the increased reliance on single occupant vehicles, workers are also spending more time commuting. The number of workers commuting longer than 30 minutes grew from 3.2 million (30.5% of commuters) in 1980 to 6.5 million (40.6%) in 2013 and to 6.8 million (41.4%) in 2014. This trend stems in large part from the growing congestion on California roads, but also reflects the continuing influence of housing costs on the commuting choices California workers are able to make. As the state’s regulatory systems continue to drive up housing costs especially within the coastal urban areas, workers also continue to rely heavily on single occupant vehicles to expand their housing affordability options, even in face of the additional time and travel costs associated with these longer commutes.

Source: California Commuters Continue to Choose Single Occupant Vehicles | Center for Jobs and the Economy

The report goes on to note one of the best (and I would add lowest cost) alternatives to mitigate commute transportation demand is reducing the need to commute in the first place:

Working at home continues to be the fastest growing alternative commuting mode, although at less than a million workers out of a total of 17 million statewide, its potential as a broader solution remains unfulfilled.  However, the ability of employers to expand this option and provide the flexibility many workers desire remains challenged by the ever-growing body of California-only employment regulations and their associated litigation risks.  Further expansion of this commuting mode will likely remain tied more to the self-employed and higher-income professionals rather than applying to a broader range of workers and income levels.

The obvious conclusion: In order to reduce commuting, knowledge work and management practices must be redefined for the 21st century where information and communications technology (ICT) makes it possible for all levels of workers to work remotely from home or in satellite and co-working spaces in their home communities. And not just self-employed and higher income professionals given the high cost of housing in central metro areas that pushes lower income earners out to the edges.

There’s another bonus that is certain to pique the interest of employers concerned about ever rising spending on health benefit costs. Having staff work in their communities frees up time to engage in healthier lifestyles and provides greater access to health promoting behaviors. I recently completed a comprehensive white paper on this topic. For more information, contact me by clicking the email icon at the upper right of the page.

Last rush hour may be drawing near as Southern California transit agencies report shrinking ridership

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“I don’t know if this is long-term, but it doesn’t feel like it’s temporary when we’ve been dealing with 36 straight months of declining ridership,” said Darrell Johnson, chief executive of the Orange County Transportation Authority.The decline suggests that Southern California policymakers are falling short of one of their longtime goals: drawing drivers out of their cars and onto public transportation to reduce traffic congestion, greenhouse gases and the region’s reliance on fossil fuels.

Source: Southland transit agencies report shrinking ridership as investments continue to grow – LA Times

The last rush hour may be drawing near in a region infamous for some of the worst rush hour traffic in the United States. Once a region becomes so geographically large and heavily populated as Southern California (and other metro areas including Atlanta, Washington DC and the San Francisco Bay Area), the transportation system becomes saturated and can no longer move people efficiently within reasonable transit times.

Public transit cannot remedy that inefficiency once a tipping point of traffic congestion is reached, often taking longer to reach a destination than driving and reducing incentive to use it. Neither can adding more freeway lanes, which drives up automobile commuting and only buys time until congestion once again snarls traffic a decade or so later.

The good news is information and communications technology (ICT) has matured to the point that office workers no longer need to commute to an office distant from their communities — a pattern enabled by freeways. They can now work in their communities in home offices and co-working spaces. In that regard, ICT can succeed in achieving the long held goal of transportation and regional planners to reduce automobile use for daily commute trips as well as support environmental objectives such as reducing carbon emissions. ICT could already be a factor in reduced public transit ridership as office workers remain in their home communities at least part of the work week.

The post-Industrial Age live-work future

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Over the next couple of decades, expect a post-Industrial Age live-work residential settlement paradigm to establish itself. A hallmark will be the diminishment of daily commuting to work by knowledge and information workers. Instead, they will live in close proximity to their work.

Those with cosmopolitan tastes and able to afford downtown living are looking to live in urban centers and will continue to do so, sparking demand for central city housing. They will live within walking distance or a short bus ride from their offices.

Others will prefer small town living closer to nature and outdoor activities, residing on the fringes or outside of major metropolitan areas in smaller communities of 50,000 or fewer residents. Rather than the transportation infrastructure and automobiles that brought people to work in distant communities, they will rely on telecommunications infrastructure to bring their work to the communities where they live.

The trend will also affect suburbs that were built up in the drive-to-work post-World War II period. Suburbanites will increasingly work in their residential communities some or all of the workweek in home offices and shared co-working centers. That will significantly reduce rush hour transportation demand, taking cars off overburdened highways that cannot efficiently move large numbers of workers to centralized, commute in offices. And not a moment too soon since they are reaching a major maintenance interval, decades after they were first built.

Suburban office parks are dying because young people don’t want to drive there | MNN – Mother Nature Network

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At a New Year’s Eve party, I was talking to a business exec running a tech company located in a suburban office building. He was complaining about the number of times he would interview a person who would say he wasn’t crazy about taking the subway and then a bus all the way out to the ‘burbs every day. The exec got increasingly frustrated and at one point responded “So get a car! That’s what grown-ups do when they get jobs!” The candidate responded that he didn’t know how to drive, didn’t have a license, and would keep looking for a job that allowed him to use a bike or transit. This scenario has played out more than once, so the company is now looking for new office space downtown. The suburban office building in his business sector is functionally obsolete. It may well become what we used to call a “see-through” — a glass box with nothing inside.

Source: Suburban office parks are dying because young people don’t want to drive there | MNN – Mother Nature Network

There’s actually a bigger story here. Centralized commuter offices are also falling out of favor because they come with substantial geographical access challenges in sprawling metro areas. Plus as the story notes, millennials aren’t keen on bearing the non tax deductible expense of getting to and from them by car in congested daily commute trips.

The solution here isn’t moving the office — a 20th century approach — but rather moving the work by leveraging today’s 21st century information and communications technology to make work more accessible without the time and money suck of the daily commute. That way, people can work in their residential communities rather than having two communities: one in which they live and another where they work, located in a distant suburb or downtown.

The ultimate killer app: Ending the slog of the daily commute to the office

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The robust development and distribution of information and communications technologies (ICT) has been accompanied by the innovation of applications. Thirty years ago, it was word processing to replace typewriters and dedicated word processors and spreadsheets to replace calculators and paper accounting ledgers. Ever since, tech entrepreneurs have been seeking the next “killer app” with potential for widespread adoption, such as today’s growth of “med-tech” devices to monitor biometrics.

Now with pre-ICT-era traffic congestion still clogging many metro areas and impeding access to jobs, a major killer app is finally scaling up to solve the problem: utilizing the Internet and remote data storage in the cloud to bring information and information workers closer together. ICT disrupts the commute (a long overdue and welcome disruption) by distributing work out of high cost office towers to communities where workers live. As transportation demand exceeds capacity and commutes have gotten longer in many metro areas, ICT has become the ultimate killer app to overcome the time and distance (and related access costs) separating them.

Conversation with Michael Shear on distributed office spaces

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Much of the discussion around the decentralization of knowledge work out of centralized commute-in offices is on telework — which for many connotes working from home. But that’s just one way today’s advanced information and communications technologies (ICT) can be utilized to manage transportation demand and traffic congestion, particularly for those who lack suitable home office space or don’t wish to work at home. Another is distributed office spaces located in communities where knowledge workers live offering social interaction, professional collaboration and IT support without the long commute and the stress and wasted time of rush hour traffic. Instead of thinking of access to centralized commuter offices via transportation infrastructure, a new way of thinking is emerging that flips the focus to providing access to knowledge workers where they live via ICT infrastructure.

Michael Shear heads the nonprofit Broadband Planning Initiative and Strategic Office Networks LLC (Website). He works with communities and organizations through public-private partnerships to establish and manage distributed workplace networks. These benefit knowledge workers by making work more accessible and employers by providing access to a broader labor market and better staff retention. Communities also gain “gas dollars” that would otherwise be spent on commuting and related costs by keeping them in the community. With increasing traffic congestion and reduced proximity to jobs in many metro areas as well as concerns over natural and human caused events in urban centers posing a disruptive threat to organizations, Shear believes a tipping point for broader adoption of distributed community office spaces is at hand. He has written several LinkedIn posts on the topic that can be viewed here.

Conversation with Laurent Dhollande, CEO of Pacific Workplaces and Cloud VO

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Commuting sucks. But so can working at home, which while avoiding the commute often lacks in the sense of community that for many sparks engagement and creativity. And not everyone has a suitable home office environment.

This podcast’s guest Laurent Dhollande, CEO of San Francisco-based Pacific Workplaces and Cloud VO, offers a solution: shared co-working spaces located in communities where people live offering fast Internet connections and the amenities of the centralized commuter office — sans the commute to a different community.

These community-based facilities fit nicely with the maturation of information and communications technology and its increased adoption, making time and location increasingly less important in knowledge work. This is the sense of history over the longer term, but it has not yet reached a tipping point, Dhollande observes. Many large organizations with staff living at the affordable edges of metro areas haven’t yet embraced the idea of distributed staff or have learned to manage them effectively.

Brown: Californians need ‘lighter, more elegant’ lifestyle | Local News – KCRA Home

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Brown said in order to deal with climate change, Californians will have to make changes in the way they live.”We’re going to be able to be create a lighter, more elegant lifestyle over time through technological innovation,” said Brown.”We do need to change our habits, live closer to where we work, reduce the power of our automobiles, or get them into an emission free kind of technology,” he said

Source: Brown: Californians need ‘lighter, more elegant’ lifestyle | Local News – KCRA Home

As governor of the state that innovated much of the world’s information and communications technology (ICT) that decentralizes knowledge work and obsoletes daily commuting to accomplish it, Brown’s view that Californians should “live closer to where we work” reflects outdated Industrial Age thinking.

Moreover, it ignores housing market economics that push affordable housing to the far edges of metro regions, necessitating the very commuting and its associated carbon emissions that Brown decries, as noted by The (San Francisco) Bay Area Council:

The housing market has reached a crisis point. Our region’s workforce is commuting longer times, from farther distances, and paying a greater share of household income for housing, reducing quality of life and forcing businesses and families to relocate.

Instead, Brown should encourage organizations to better utilize ICT to reduce daily commute trips and decentralize knowledge work out to the communities where people live so they can work at home or in shared co-working centers.