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Employment Picture for IT Professionals is Not Improving


A net gain of 6,600 seasonally adjusted IT jobs in April - only 20,600 jobs added in the last 3 months - more job seekers have stopped looking for jobs with the participation percentage being the lowest it has been since 1980 not a recipe for bright short term future

Janco has found that market for IT Professionals continues to struggle. IT reflects the malaise of the US economy and added only 6,600 jobs in April while the total job market increased by only 115,000 which is well below the number of new jobs needed to drive a strong recovery. In addition, the number of individuals leaving the job market continues to increase with a participation rate falling to 63.6% -- the lowest it has been since 1980. In California the overall unemployment number is 11% and Nevada tops state unemployment at 12%. Janco has found that national unemployment rates have a direct impact on the confidence and ability of CIOs to implement new initiatives and expand their staffs.

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Labor Participation RateLabor Force Participation Rate April 2012

In a continuing survey of CIOs hiring trends Janco has found that CIOs are not as optimistic as they were earlier this year. Many of the CIOs interviewed by Janco do not feel that overall hiring will improve significantly until sometime in 2013. The CEO of Janco, Mr. Victor Janulaitis said, “In telephone interviews in late April of 98 US based CIOs we found that most have some short term needs that are of a ‘temporary’ nature. CIOs are continuing to keep the overall FTE (full time equivalent) headcounts level and do not see any increase in permanent staffing within the next several months. "   Janco’s CEO added, “A few CIOs in selected areas like SF Bay Area and Boston are bullish, however for the most part CIOs continues to remain cautious. ”

He added, “One in five CIO’s are looking to hire lower level staff within the next 3 months to fill short term needs. Many are looking for contractors and consultants with particular sets of skills to meet the demands of mobile computing. In addition some of these same CIO are looking towards implementation process to allow users to use their own personal devices - BYOD (Bring Your Own Device) - to minimize capital expenditures and improve ROI. ”

CIO Hiring Trends
CIO Hiring Plan Trends

IT Job Market Employment Trends

IT Job Market Growth Moving Average

There was a net increase of 6,600 seasonally adjusted (gain of 13,300 unadjusted) IT jobs in April according to the latest BLS data. There was an improvement in computer system design and related services accounted of 11,400 jobs (gain of 18,300 unadjusted) and 700 jobs (gain of 2,000 unadjusted) in data processing hosting. These were offset by losses of 3,900 jobs (loss of 6,100 unadjusted) in telecommunications and 1,600 jobs (gain of 500 unadjusted) in Other Information Services.

Employment Data

Employment Change

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