Bad news job hunters, the IT job market is still struggling
- Tech layoffs have reduced the number of IT jobs available, report claims
- SMBs are most likely to hire highly skilled IT workers
- AI and cybersecurity skills remain in hot demand
Almost 71,000 IT positions were lost across 2023 and 2024 as the industry continues to grapple with tough economic conditions, geopolitical tensions and ongoing skills shortages, new research has claimed.
A report by Janco notes how although the trend is slowly improving, with 48,600 jobs lost in 2023 compared with 22,300 in 2024, the reality appears to be that IT jobs remain increasingly difficult to acquire and retain.
The news reflects a broader trend of tech industry layoffs, which were amplified by post-pandemic budget cuts and shifts in working routines, including return-to-office mandates marking the end of flexible working.
IT jobs are hard to come by
Just two weeks into 2025 and layoffs.fyi has tracked nearly 1,400 redundancies in the sector. The good news is that signs of recovery are being seen – 152,000 IT roles were eliminated in 2024, compared with 264,000 in 2023. Note that layoffs.fyi tracks redundancies, not the total job losses that Janco’s report details.
Despite the growing need for developers who can handle artificial intelligence models, the technology has also slimmed down many workforces due to its ability to handle mundane, repetitive tasks, threatening knowledge workers across the globe.
It seems that smaller and mid-sized companies are now leading the way in terms of hiring efforts, primarily seeking workers with AI and cybersecurity skills.
It’s not necessarily all bad news for the tech sector, though. CompTIA recently reported that December 2024 tech unemployment rates had dropped to 2%, the lowest in 13 months. That compares with the US average across all sectors of 4.1%.
Network support specialists, tech support specialists and computer programmers were found to be the most in-demand without requirements for extensive college degrees.
Looking ahead, these are among a growing list of studies and reports confirming that the skills landscape is evolving, with AI and cybersecurity continuing to lead the way. Workers looking to futureproof their careers should consider upskilling in these areas for their best chances of survival.
Via The Register