SOUTH ORANGE, NJ — Seton Hall University provides a significant impact on New Jersey’s economy, totaling more than $1.6 billion annually, according to a new, independent analysis that looked at the societal and economic impact of the university through an assessment of its annual operations, capital investments, ancillary spending, and the additional earnings or “wage premium” of its 100,000-plus alumni.
The study, conducted by Econsult Solutions Inc., which is based in Philadelphia, Pa., also included a survey of volunteer service performed by students, faculty and employees, showing that 3,000 volunteers provide almost 50,000 hours of aggregate service to the community each year — in addition to the economic impact.
“Since 1856 Seton Hall has been dedicated to being a home for the mind, the heart and the spirit,” SHU President Joseph E. Nyre said. “We are also pleased to be an externally looking, active and engaged citizen of the region, state and nation. Our economic and societal impact goes to the heart of our mission. Our students, faculty and staff are each day challenged to prove ‘what great minds can do’ — at Seton Hall and in the world at large.”
According to the report, Seton Hall’s campuses in South Orange, Newark, Nutley and Clifton support more than 9,700 jobs throughout the state; in addition, the impact of the university’s spending on operations and capital improvements alone average in excess of $600 million annually.
Ancillary spending in the community — that of students, visitors and event participants, including those who attend Seton Hall cultural and sporting events, such as men’s basketball games — totals $68 million per year. The Seton Hall men’s basketball team plays its home games in New Jersey’s largest city, Newark.
The wage premium, the amount in additional salary that the university’s alumni receive because of their Seton Hall education and their degree, totals $927 million per year in the state of New Jersey, according to the report.
“This study confirms what New Jerseyans have long known: Seton Hall is an economic and social powerhouse that is pivotal to the state’s economy,” state Sen. Richard Codey said. “Its graduates populate the highest levels of numerous fields, including business, law, health care, education, science and government. I am proud to represent the university in the New Jersey Senate as part of the 27th District.”
Michele Siekerka, president and CEO of the New Jersey Business and Industry Association, said: “Seton Hall is at the forefront of educational institutions in our state. And its contribution to the vitality of our economy is evident — not only as a creator and supporter of jobs, but also through its preparation of well-trained and work-ready graduates to fill them.”
The study also examined the economic impact on those earning a Seton Hall degree over the course of a career, noting, “a recent analysis by the Center for Education and the Workforce at Georgetown University found that Seton Hall produces a 40-year return on investment totaling about $1.2 million per (graduate).”
The Georgetown analysis used data on the average net price and salary/earnings from the U.S. Department of Education’s College Scorecard. Notably, it ranked 1,761 public and private colleges and universities in the United States for return on investment over the course of a graduate’s workforce career. The additional $1.2 million in earnings for Seton Hall graduates placed the university at 191 among the 1,761 schools, or within the top 11 percent.
“This earnings metric is significant because it captures educational return on investment over the course of a career,” SHU Provost and Executive Vice President Katia Passerini said. “Seton Hall has been lauded by ranking organizations across the United States and is regularly included in The Princeton Review’s ‘Best Colleges,’ as well as U.S. News & World Report, which this year ranked the university among the top third of all national universities, and The Wall Street Journal/Times Higher Education ranking, which placed Seton Hall among the top 35 percent of the ‘Top Colleges and Universities’ nationwide. It does not surprise me, however, that we placed even higher in an analysis that focused solely on return on investment. Seton Hall graduates are using their college experiences to go on to successful, productive careers.”
Delivering a top-ranked return on investment for its graduates presumably begins with fostering opportunities to attend. As part of its affordability initiative, Seton Hall provided more than $149 million in scholarships and financial aid in the most recent academic year.
The university’s activities further spur spending and investment that produces significant tax revenues at the federal, state and local levels. Nationally, more than $368 million is generated annually, while the state of New Jersey receives an additional $64 million per year.
On a local level, annual operations alone at the university result in $270 million in total output within South Orange Village, the university’s home since 1861, supporting 2,160 jobs with $150 million in earnings. That number rises to $504 million in total output within Essex County, which is home to all three Seton Hall campuses, supporting 3,680 jobs with $234 million in earnings. Within South Orange, ancillary student and visitor spending generates $23 million in total output, supporting 260 jobs with $7 million in earnings; that number rises to $56 million in total output within Essex County, supporting 490 jobs with $18 million in earnings.
Seton Hall averaged $39 million annually in investments in new buildings, major renovations and large-scale maintenance projects on its campuses. Significantly, that number is expected to increase over the next few years as substantial building projects and improvements are underway with more expected. In South Orange, the economic impact of the university’s capital investments and major investments equaled $35 million in total output, supporting 160 jobs with $9 million in earnings. In Essex County, those numbers rise to $62 million in total output, supporting 300 jobs with $17 million in earnings.
Seton Hall’s impact was found to extend well beyond these econometric measures. Significant service programs undertaken by the university as part of its mission provide additional, impactful value to its local and regional communities. The report made particular note of this, adding, “the broader returns the university produces for the community, region and society,” which come from its “core functions of education, research and service, … yield profound benefits to the neighborhoods immediately surrounding campus as well as to society as a whole.”
“At Seton Hall we invest in our students and in our communities,” Nyre said. “They are in a sense one and the same, and our mission as a Catholic university requires it. This analysis has quantified that to some extent, but in many ways it’s the unquantifiable aspect that most resounds: At Seton Hall we cultivate involved and caring citizens and do our best to be good neighbors.”
Report says Seton Hall U produces $1.6B annual economic impact on New Jersey added by Editor on
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