Evaluating Quality of Life Factors in Business Site Selection
As businesses evaluate potential locations post-pandemic, they increasingly prioritize regions with a high quality of life. This trend aligns corporations with areas where people choose to live, according to site selection expert Tom Stringer from Stringer Site Selection in New York. States are emphasizing quality of life to attract business investment.
Reflecting this shift, CNBC has adjusted the weight of the Quality of Life category in its 20th annual America's Top States for Business study, now comprising 11.6% of a state’s total score. The assessment considers factors such as crime rates, air quality, healthcare, childcare costs, inclusion of laws, and reproductive rights.
Nebraska's robust Prescription Drug Monitoring Program enhances its health profile, contributing to a low drug-related death rate of 8.7 per 100,000 people, the best in the nation according to the United Health Foundation. It also benefits from clean air as reported by the American Lung Association.
Massachusetts excels in healthcare accessibility, featuring the highest concentration of primary care physicians and a low uninsured rate, partly due to healthcare reforms initiated in 2006 by then-Governor Mitt Romney. The state supports strong worker protections, including mandated paid sick leave.
North Dakota leads in affordable childcare availability, although recent budget constraints have reduced subsidies and discontinued some assistance programs. Meanwhile, Virginia, boasting one of the lowest violent crime rates in the country, attributes this success to its Ceasefire Virginia initiative, which targets gun violence reduction.
New Hampshire maintains an inclusive environment despite lacking early voting facilities, and it has achieved a 44% reduction in violent crime over the past decade. Conversely, Hawaii faces challenges in childcare affordability, though initiatives like the "Ready Keiki" program have expanded preschool classroom availability.
Connecticut stands out for its low illicit opioid use and high dental care participation, yet it struggles with air quality issues. Minnesota is noted for strong reproductive rights and worker protections, high in health metrics. New Jersey's healthcare system is effective, though affordability remains an issue state leadership seeks to address with proposed employer fines for lack of insurance provision.
Maine has achieved the lowest violent crime rate nationally and tightened gun laws following a mass shooting, although it still faces health-related challenges, particularly with drug-related deaths. Vermont excels in health metrics and personal rights but confronts a homelessness issue, with recent legislation allocating $83 million to diversify shelter options.
These factors directly impact states' rankings and attractiveness to businesses seeking advantageous operational environments.