IT Job Market Shrinks in January
IT job market lost 1,400 jobs in January plus most organizations have halted IT hiring. . .
IT Job Market Shrinks in January - Even with the overall unemployment rate falling to 6.6% there was a decrease in the total number of IT jobs as measured by the BLS data that was just reported. 1,400 IT jobs were lost in January and in the last 12 months only 75,500 jobs were created with most of those added in November.
The CEO of Janco Associates, Mr. Victor Janulaitis said, "The employment data is not as good as the fall in the national unemployment rate suggests and it seems to be worse for IT Pros. If you factor in the participation rate, the true national unemployment rate would be around 12.7%. Janulaitis added, "That data is causing many companies to consider wither they should expand IT staffs. Based recent interviews of 105 CIOs in the last two weeks, we see that CIOs have become more cautious as have their companies. Janulaitis said, "Add to the employment data the slowness of the recovery and it is not a good picture. "
The CEO added, "IT Pros are feeling the brunt of the hiring slow down as the average salaries they command are 'easy targets' for those trying to contain costs. " In Janco January 2014 IT salary survey we found that the average compensation for all IT Professionals is $79,289 without the cost of major benefits like health insurance and company contribution to 401Ks. "
Growth of IT Job Market (updated)
As a result of Covid-19, 33,200 IT jobs were lost in 2020. In 2021 213,100 jobs were added to the IT Job Market - Recovery Continues in spite of inflation and high energy costs
Data complied and forecast updated by Janco Associates with data as of October 2022
IT Hiring Plans
This chart is not the originally published one, rather it is updated with the current data based on the analysis by Janco Associates, Inc. For the latest IT Employment Data click here.
IT Job Market Growth
When Communications jobs (shrinking source of IT Jobs)
are excluded there is a trend for IT Job Market
growth across all other sector of the IT Job Market.
The three month moving average shows a continuing downtrend in the number of jobs added. From a review of the latest BLS data, Janco has found that there was a net increase of only 4,300 jobs in the last three months.
The labor market participation rate rose slightly but still is at a 30 year low of 63%. There are 3,200,000 fewer individuals working than in 2007. The CEO said, "The over-all labor participation rate continues to be lower this year than and other prior year. This alone will make it a very difficult process and does not bode well for IT expansion and hiring. "
Labor Force Participation
Labor Participation Rate in the low 60's
Inflation is pushing more people back into the active labor market
Over 99.78 plus million people in the U.S. are not counted in the labor force - see reasons why not working.
Net Change in Number of IT Pros Jobs
Updated with the latest IT Job Market statistics
Historic IT Job Market Growth Trend
For current analysis of this data, go IT Job Market Size to see the historic job market growth trend data
Data as of October 2022