It’s been a slow but steady burn, but all signs for tech hiring rebounds are trending up. Industry-leading associations share the following:
“CompTIA’s ‘State of the Tech Workforce 2024’ forecasts net tech employment1 spanning the aggregate tech sector and tech occupation workforces reaching 9.9 million workers this year, an increase of more than 300,000 net new workers. This represents a projected year-over-year gain of 3.1%, reversing the modest increase of 1.2% during 2023.”
TechServe Alliance, a leading association for IT and Engineering staffing firms, notes in their monthly IT employment index:
“At this point in the cycle, we are looking more at the trajectory of IT employment rather than absolute gains. With April marking the fourth consecutive month of gains after 23 months of no growth, it appears we are moving in the right direction,” observed Mark Roberts, TechServe’s CEO.
Per Scholas, a technology skills training provider targeting underrepresented communities in tech, with chapters across the U.S. shares:
“While tech layoff rates were indeed high in 2023, tech hiring rates are also very high, and tech workers are still in great demand. In job search site Indeed’s 2023 annual ranking of U.S. “best jobs,” eight of the top ten jobs were tech jobs, and the outlook remains the same for 2024.”
With the undercurrent showing that we have cautiously turned the corner, there are several trends defining the bounce-back of the tech sector including location, skill sets, flexibility, and technology innovation.
What Types of Tech Skills Are in Demand?
Of course, AI and machine learning roles have shown tremendous growth across most industries. Research indicates 35% of global companies report using AI in their business and over 50% of companies plan to incorporate AI technologies in 2024. Boston Consulting Group shares that “AI and machine learning emerged as the most in-demand skills in 2022, and jobs for data scientists more than tripled over the past five years.”
However, foundational and core tech skills are still essential to the majority of tech roles and also present more opportunities for cross-over roles, universal application of skills, and the ability to upskill/reskill to incorporate in-demand AI specialties. Sources indicate a high demand for professionals with skills in:
- Cybersecurity
- Data Science and Analytics
- Cloud Computing
- Software Development
- UI/UX Design
Bureau of Labor and Statistics just released its updated Occupational Outlook at the end of April and indicates that four of the fastest growing occupations from now through 2032 include:
Data Scientists (35%), Information Security Analysts (32%), Software Developers (26%) and Computer and Information Research Scientists (23%)
In addition to hard skills, emphasis on soft skills continues to rise as the integration of the traditional IT department permeates most organizations as the cornerstone of their business and services. Collaboration, problem-solving, agility, and communication are just a few of the professional skills most employers seek for a well-rounded technical professional who will contribute to the organization’s growth.
Where Are the Tech Jobs Located?
The concentration of tech jobs has expanded in the last decade beyond what used to be the Big Tech hubs on the West Coast. California as a state still leads the pack in terms of tech jobs available, but the top 10 states for tech jobs put all U.S. regions on the map for tech hiring.
- California
- Texas
- New York
- Florida
- Virginia
- Washington
- Illinois
- Massachusetts
- Pennsylvania
- Georgia
Interestingly, though, even the states landing outside of the top 10 present significant upside than even some of the top performers for tech hiring, in terms of long-term projected growth and median salary when factoring in cost of living. For example, both Colorado and Arizona, number 14 and 16 respectively on the list, show a 10-year growth rate of 22% in tech occupations, with median salaries mirroring the range found in the top 10 states.
This becomes particularly important as the availability of remote work hovers around 27-32% according to Monster.com for most states. While that is lower than in previous years and we continue to see a shift towards traditional office policies and hybrid work environments, remote work is still an option, especially in tech, and increases the target areas from which to look for work and to hire talent.
- Related reading: Tech Job Outlook in Los Angeles, Denver and Phoenix
Next Steps in Tech Hiring
As it relates to both job seekers and hiring companies, the demand for tech is continuing to rise. To remain competitive as a top candidate, it’s critical to sharpen your skills, increase your networking radius, and seek out employers that align with your goals and values. Likewise for employers, to attract top talent, you can widen your search, consider flexible working options, and hone in on skills that can grow within your organizations. In both instances, the guidance from an experienced tech staffing agency, with expertise in top markets can offer an advantage. Contact Prosum today to discuss tech hiring options.
