The tech jobs market is powerful because it ever was
However nonetheless a combined bag of information on the market
After the massive corporations performed mega layoffs at first of this yr, it could be pure to assume that the tech unemployment charge would skyrocket. If we take into consideration tech jobs as purely IT, engineering and developer sorts of roles, then these jobs are positively nonetheless in demand and fewer affected than you may think.
There’s an enormous issue working within the favor of tech professionals searching for work: They’re wanted in each the expertise trade and throughout different industries that additionally require employees with the identical technical expertise. These non-technology corporations are lastly getting a shot at a few of the higher expertise that has been locked in tech trade jobs for the previous few years.
Nonetheless, while you add tens of 1000’s of individuals to the unemployment payroll, it’s certain to have an effect finally — even when all these jobs weren’t pure tech jobs.
Proper after the most recent jobs numbers got here out earlier this month, the variety of job openings throughout all sectors fell to its lowest stage in two years. What’s extra, CompTIA discovered that tech job posting quantity was down, suggesting that corporations may need put hiring on maintain, a minimum of for the quick time period.
This hardly appears shocking, provided that the Fed has been elevating rates of interest for the final 19 months with the precise purpose of cooling the financial system. In reality, over the past yr, charges ballooned from 1.68% in July 2022 to over 5% at this time. The makes an attempt appeared to have labored if the declining jobs information is any indication.
Fed rate of interest hikes from July 2022 to July 2023 Supply: FRED
After we seemed on the tech jobs outlook in February, we anticipated it to be worse than it was, however tech jobs development remained surprisingly sturdy. As we speak, the image isn’t fairly as shiny — although not terrible — however there may be clearly a shifting panorama for tech employees.
And it’s possible you’ll ask your self, how did we get right here?
It’s possible you’ll recall (or might have stricken it out of your reminiscence as a result of trauma), however in March 2020, we went right into a lockdown. That precipitated the financial system and tech jobs to plunge briefly, however all through that yr and into 2021, corporations started recognizing that there was a enterprise alternative in having so many employees at house.