CIOs are Hiring - IT job outlook improves
IT job market improved as 13,200 new IT jobs were added last month - 69,000 jobs added in last 12 months
Park City - UT – CIOs are Hiring - IT job outlook improves - The overall unemployment rate improved slightly to 6.9%; however, the job market participation rate fell to 62.7%. Janco estimates that another 500,000 individuals have left the overall labor market. The CEO of Janco Associates, Inc. , Mr. M V Janulaitis said, "In the case of computer science and IT professionals, 13,200 jobs were added in September and a cumulative 69,000 jobs in 2014. That however is less than the 70,000 plus Computer Science professionals who graduated from US universities in the last 12 month". The CEO added, "There continues to be a surplus of entry level IT Pros which is dampening salaries and limiting mobility within IT related jobs. " Mr. Janulaitis said, "On the plus side, the employment data for IT professionals shows a positive trend with the lasts month's increased IT job growth. However IT job opportunities tend to be in selected technical areas such as security, compliance, and BYOD support. " Janulaitis added, "Based on interviews of 113 CIOs in the last several weeks, we conclude that CIOs remain cautious as they think that it may not be until early next year that they may significantly expand their staff size. In support of this, Janco's Mid-Year 2014 IT salary survey Janco found that the average compensation remained flat for all IT Professionals and is $79,376 without the cost of major benefits like health insurance and company contribution to 401Ks. "
Updated with Latest Data - Includes impact of recovery from reopening
A robust hiring trend for IT Professionals - the recovery is slowing however, there are a number of jobs unfilled by IT Pros. The primary culprit is the lack of qualified individuals to fill the open positions.
Based on BLS data analyzed by Janco over the last 12 months over 200,000 IT jobs remained unfilled due to a lack of qualified individuals. However the number of unfilled jobs trend line is down as the economy softens and CIOs and CFOs look to control costs and eliminate requisitions for positions that cannot be filled.
From a review of the latest BLS data, Janco has found that there was a net increase of 27,500 jobs in the last three months. The three month moving average for new IT jobs is now showing positive job growth.
The labor market participation rate remains at a 30 year low of 62.7%. 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 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.
The latest data for more read on...
Data points to robust hiring of IT Professionals with 37.3K jobs filled in the last 3 months.
Note - that includes the adjustments by the BLS to the initially reported data.