With all of the changes and growth across the High Desert, we asked local employment resource professionals what has changed in the workforce landscape and how they see new challenges arising.
Chris C Piper
Area Manager
BBSI Central Oregon
BBSI.com/CentralOregon
What has changed in the past five years in Central Oregon’s employment landscape?
Over the past five years, Central Oregon has experienced significant job growth, although recent growth has slowed and become concentrated in specific sectors. Notably, the healthcare and social assistance sector has been a major driver of job creation. The construction industry has also rebounded strongly. While the labor market has generally been tight with low unemployment rates, there has been a slight easing recently. The aging population is also becoming a more significant factor, with a substantial portion of the workforce nearing retirement.
For example, between November 2023 and November 2024, private education and health services in the Bend MSA saw the most significant job gains. Total nonfarm employment in Deschutes County increased by 3.1% from January 2024 to January 2025, with gains concentrated in private education and health services, leisure and hospitality, and trade, transportation and utilities.
What do you expect to change in the next five years for Central Oregon’s employment landscape?
Looking ahead, Central Oregon is expected to continue experiencing positive population growth, although potentially at a slower pace than in recent years, with smaller communities outside of Bend possibly seeing higher percentage increases due to the lower cost of living. Job growth is anticipated to continue, driven by persistent demand in healthcare, housing, vehicles and recreation. Advanced manufacturing and technology sectors are also likely to see capital investment and growth. There’s optimism regarding potential business development projects, particularly in advanced manufacturing, high technology and lifestyle and scientific product companies. Industrial land development in areas like Juniper Ridge in Bend and potential urban growth boundary expansions in places like Madras suggest further economic expansion.
Projections indicate that Central Oregon will see a faster job growth rate (9%) compared to the overall state (8%) between 2023 and 2033. The strongest growth is expected in private educational and health services, construction and professional and business services.
What and where are the largest growth sectors or growth areas?
The largest growth sectors in Central Oregon are projected to be:
- Private Educational and Health Services: This sector is expected to see substantial growth due to the aging population and increasing demand for healthcare.
- Construction: Driven by population growth and infrastructure needs, construction is projected to grow significantly.
- Professional and Business Services: This sector has shown steady growth, particularly in professional, scientific and technical services.
- Leisure and Hospitality: Central Oregon’s tourism sector continues to be a significant contributor and is expected to see strong growth.
In terms of growth areas, while Bend has been a central hub, smaller communities like La Pine, Madras, Terrebonne and Redmond may see higher rates of population growth due to the lower cost of living. Industrial development in areas such as Juniper Ridge in Bend and near the Madras Airport also indicates specific geographic areas of economic growth.
What are the biggest challenges employers face in our region?
The biggest challenges employers in Central Oregon face include:
- Workforce Shortages: Many employers report difficulty in finding and retaining workers across various sectors. A significant percentage of job vacancies are reported as hard to fill.
- High Cost of Housing: The high cost of housing in the region makes it difficult for businesses to attract and retain employees, as potential hires may reject job offers due to the unaffordability of living in the area.
- Intergenerational Workforce Management: Employers are navigating a workforce with up to five generations, each with different expectations and career approaches, making management and succession planning complex.
- Rising Costs: Increased costs of leasing, building, labor, products and transport put financial pressure on businesses.
What are the biggest challenges our workforce faces in our region?
The biggest challenges the workforce in Central Oregon faces include:
- Affordability of Housing: High housing costs make it challenging for many workers to live in the region, potentially leading to longer commutes or the inability to accept jobs.
- Workforce Shortages Impact: While it might seem counterintuitive, workforce shortages can lead to increased workloads and burnout for the existing workforce.
- Evolving Skill Requirements: Automation and technological advancements in some sectors mean the workforce needs to adapt and acquire new skills.
- Healthcare Access: While the healthcare sector is growing, access to affordable and quality healthcare services remains a concern for the workforce.
Additional comments?
Central Oregon’s economy has shown resilience and growth, particularly in the healthcare, construction and professional services sectors. The region’s natural beauty and outdoor recreation opportunities continue to be a draw for both residents and tourists, influencing the economy. However, the high cost of living, especially housing, poses a significant challenge to sustained and equitable economic growth. Addressing workforce shortages through training, competitive wages and tackling housing affordability will be crucial for the region’s future economic health. The increasing prevalence of automation in some industries, like manufacturing, also necessitates a focus on upskilling and reskilling the workforce to adapt to changing job demands.
*Sources: CBN, Oregon.Gov, Business Oregon, EDCO, Bend Chamber of Commerce, Common Sense Institute, Visit Central Oregon
Chris Petty
Owner
Express Employment Professionals
expresspros.com/us-oregon-bend
What has changed in the past five years in Central Oregon’s job market?
We’ve seen strong growth in health care and social services, especially in Bend and Redmond. Construction and tech have also grown, but not as fast. Job growth has slowed a bit recently, but we’re still ahead of many other regions. We are seeing a reduction in the number of fully remote and hybrid roles over the past year as many Central Oregon businesses are bringing workers back to the office.
What do I expect in the next five years?
Health care will keep growing as our population ages. Construction will stay strong with more people moving here. I also think we’ll see more demand for skilled workers in tech and the trades.
Where are the biggest growth areas?
Health care is the biggest, especially in Deschutes County. Construction and professional services are also growing fast. Redmond is becoming a hotspot for new job development, particularly in the manufacturing sector because Redmond has the land to support the growth.
What challenges do employers face?
It’s hard to find and retain good workers in low-mid range paying jobs. Housing costs make it tough for employees to live nearby, and turnover is high in lower-wage jobs.
What challenges does our workforce face?
Affordable housing is the biggest issue. Wages have not kept up with the cost of living, and it’s hard to find the training require for better-paying jobs. The availability of affordable Childcare also continues to be a challenge for our region.
Sam Lambert
Vice President
Mid Oregon Personnel
midoregonpersonnel.com
What has changed in the past five years in Central Oregon’s employment landscape?
Central Oregon has experienced rapid job growth far outpacing the rest of the state. Healthcare, technology, construction and manufacturing have all seen significant gains. The increase in remote work options has had a real impact on Central Oregon’s overall growth and our local economy.
What do you expect to change in the next five years for Central Oregon’s employment landscape?
We expect to see continued population growth and at the same time we are going to continue to see a larger shift in workforce dynamics with more Baby Boomers retiring. AI has already had a large impact on daily life and will continue to grow as a powerful tool. Healthcare, construction and professional services are all expected to add large numbers of new jobs. The manufacturing sector will also grow over the next five years with many new and expansion projects already underway.
What are the biggest challenges employers face in our region?
Inflation along with a growing regulatory burden have driven up the cost of doing business. Tariffs and uncertainty have caused short-term pain and made long-term planning more difficult. Talent acquisition and retention have always been a challenge but over the last few years this has become increasingly difficult for many employers. Wages have been rising but employees are struggling to keep up with the cost of living. Employers really need to be strategic and forward thinking with their recruitment efforts as well as compensation packages to provide their workforce with what they need.
What are the biggest challenges our workforce faces in our region?
Increased cost of living has created a situation where many dual income families are struggling just to make ends meet. On a local level our biggest challenges are affordable housing and childcare costs. These are not new challenges but they have become critical. It is going to take a continued effort on the part of the private sector along with local and state governments to create long-term workable solutions to these issues. Your company will not be as successful as it could be without a happy and healthy workforce who feel valued by their employer. Understanding the challenges your workforce is facing and making efforts to provide them with what they need to face those challenges can be a tough balance but it is not insurmountable. Our local economy has a bright future but it is going to take the combined efforts of everyone involved to guide our growth and overcome the challenges that will come with it. We are excited to be a part of that.
