Hiring frenzy drives rapid expansion of opportunities for IT Pros
IT job market grew by 217,800 in 2021- the largest expansion of the IT Job market since DotCom
Janco reports that 2021 job growth exceeded 2020 by 251K jobs which included several adjustments to the original data reported by the BLS. The three-month moving average trend for the creation of IT Pros jobs continues to trend up. According to the latest BLS data analyzed by Janco there are now 3.83 million jobs for IT Professionals in the US. For 18 months in a row, there has been an increase in the number of jobs added to the IT job market. The hiring of IT Pros is robust. This is true across all industries. Growth could even be greater if there were more qualified IT Pros.
IT Job Market - January 2024
There has been a major shift in the creation of new IT Jobs - AI and economic slowing are the drivers. The IT Job Market shrank by 57,400 jobs in FY 2023. This number is subject to change as the BLS can adjust the data for December.
The CEO of Janco Associates, Inc., Mr. M. Victor Janulaitis said, “There has been a hiring frenzy by enterprises of all sizes. Companies and CIOs are moving rapidly to expand the role of IT in day-to-day operations. They have moved e-Commerce, security, social media engagement, and digital presentation to be top agenda items. He added, “That impacts the governance of Information Technology. To address this need, Janco has just released its IT Management Tool Kit . This tool kit plays a key role in the governance model necessary to support this journey. The offering provides IT management with critical tools to help in the recruiting, compensation, and infrastructure adjustments to successfully manage in these challenging times.”
Janulaitis added, “Based on our analysis, the IT job market and opportunities for IT professionals will continue to be robust. CIOs are posturing to hire more staff and expand technologies to address blockchain processing and security applications. The worst is over and now the focus will be on retaining existing staff and adding new capabilities to the IT infrastructure.”
He said, “The inflation threat is real and salaries for new hires need to be higher – we estimate 6-10%. At the same time, salaries for existing staff are not keeping up with inflation, and salary pay range compression is occurring. Those factors, along with the reluctance to get back in the office, are driving attrition rates up in many IT functions. “
The CEO added, “In our 2022 IT Salary Survey, we have found that in 2021, actual IT salaries for existing IT staff and middle managers increased by just over 2% (not keeping up with inflation) while new hires are paid 5-6% more than existing staff. That salary disparity is a driver of employee dissatisfaction and an increase in attrition rates.”
Janulaitis added, “To help CIOs and HR managers we have launched our CIO and IT Manager Newsletter. We will publish articles on at least a weekly basis to identify issues that CIOs and IT managers need to focus on. It will be a paid subscription offering. In addition to the articles, paid subscribers will receive complimentary copies of selected Janco IT Infrastructure offerings as they are released. Also, they will be offered special pricing for Janco’s compensation and HR-related products.”