The results of the 2013 Otis Report on the Creative Economy were unveiled today at an event produced by Otis
College of Art and Design, held at the Broad Stage in Santa Monica, CA.Speakers included California State Senator Ted Lieu (Chair of the Joint Committee of the Arts, and Chair of the Business, Professions and Economic Development Committee); Los Angeles Economic Development Corporation’s Chief Economist Robert Kleinhenz; Director, Western Region of the Actors Fund Keith McNutt; Otis President Samuel Hoi, California Arts Council Director Craig Watson; and Executive Director of Arts for L.A. Danielle Brazell.
The UCIRA reports that “Otis has commissioned this annual report from the Los Angeles County Economic Development Corporation since 2007, underscoring its commitment to measuring, benchmarking, and assessing trends of the creative economy. The Otis Report was expanded this year to include data for the entire state.
“Significant findings in the 2013 Otis Report on the Creative Economy include:
-In the Los Angeles region, the creative sectors supported 1 in 7 wage and salary jobs, with a net economic output contribution of 10.4% of the region’s gross total.
-The Los Angeles regional creative industries sustained 726,300 workers who earned labor income of $50.6 billion.
-California’s creative economy contributed 7.8% of the gross state product in 2012. Across the state, with a total of 1.4 million workers, the creative industries accounted for directly or indirectly 9.7% of all wage and salary employment, or roughly 1 in 10 jobs.
-Entertainment, fashion, and furniture and the decorative arts were the largest industries in California’s creative economy but nearly 6 of 10 (56%) creative occupations are found outside of the creative industries.
-The Los Angeles region is undisputedly the creative nexus of the state, with over 44% of California’s workers engaged in creative occupations.
-By 2017, creative economy employment will be up by 3.1% or 12,600 jobs from 2012 levels. Creative industry employment in the Los Angeles-Orange County region will total 416,500 wage and salary jobs by 2017.
“The Otis Report has firmly established that the ‘creative economy’ is a powerful force, both in Southern California and in the state,” said Otis President Samuel Hoi. “Signals abound that creativity and innovation are pivotal to the economy and general well-being of people and communities. Artistic services and intellectual capital are inarguably essential to the 21st century economy, which is dynamic, knowledge-based, and increasingly global.”
“Los Angeles Economic Development Corporation’s Chief Economist Robert Kleinhenz stated, “The health of the state economy depends on continued progress in the U.S. economy and among its major trading partners. Improvements in the consumer sector will be front and center in both California and the nation, as households respond to declining unemployment, increases in income, stronger real estate markets, and stock market gains.”An addendum to this year’s Otis Report is “L.A. Creates,” a special report by Director, Western Region of the Actors Fund Keith McNutt, detailing the way in which deliberate, collaborative, and regional efforts can support and develop the region’s creative industries.Lead sponsors for this year’s event are the California Arts Council and Mattel. Other support came from the James Irvine Foundation, Nike, Sony Pictures, City National Bank, The Boeing Company, Ovation, and the City of Los Angeles Department of Cultural Affairs.On Wednesday, February 12th in Sacramento, CA, the 2013 Otis Report on the Creative Economy will be presented at an informational hearing of the Joint Committee on the Arts. Senator Ted Lieu will convene the hearing in the state’s capitol to examine the role the creative sector plays in the state’s economy. The hearing starts at 10AM and is open to the public.”