Florida and Texas lead remote work hiring in the U.S. – Gusto survey

SAN FRANCISCO, UNITED STATES — The rapid expansion of remote work during the COVID-19 pandemic triggered a seismic shift in where companies hire talent across the United States. 

A new analysis by payroll and HR platform Gusto reveals that this geographic reshuffling of hiring has persisted even as remote work stabilized in recent years.

Cities in Florida and Texas emerged as big winners, with places like Dallas (12.1%), Houston (17.6%), and San Antonio (23.1%) all gaining significant shares of hiring. 

Austin (9.9%) and Miami (5.2%) initially saw explosive growth but have slowed as costs of living rise.

Smaller, more affordable cities like Boise, Colorado Springs, and Salt Lake City also maintained elevated hiring levels compared to before the pandemic. 

“Companies that shifted their hiring toward their cities have not pulled back in any meaningful way,” said Tom Bowen, an economist at Gusto.

On the other hand, major coastal cities like San Francisco and San Jose continued to lose hiring share even after remote work leveled off in 2022.

Before the pandemic, these cities were central to hiring activities, commanding 35% of the share, which has since declined to around 29%.

“During the height of the pandemic, many workers left major cities, relocating to smaller cities and towns across the country. This left major cities with relatively less available talent while at the same time increasing the talent availability in the cities where workers moved,” Bowen explained.

The analysis was based on a sample of over 30,000 companies using Gusto’s platform between 2019-2023, with a workforce spanning multiple industries and job roles.

“Our analysis indicates that the shift to remote work may have permanently weakened the relationship between geography and work, and understanding these dynamics is essential for policymakers, employers, and workers navigating the post-pandemic labor market,” Bowen concluded.