IT Hiring Slows Further
IT job market monthly growth has trended down for the three months. Economic picture is uncertain and CIOs are again controlling both spending and hiring.
The latest BLS data shows a slight increase in the number of new IT Jobs - 2,500 jobs added in September. The CEO of Janco Associates, Mr. Victor Janulaitis said, "Based recent interviews of 94 CIOs in the last 30 days, we concluded that CIOs are again in a mode of controlling spending. In addition, as part of the 2014 budgeting process they are 'constrained' in the number of initiatives that they can plan for in the coming year. There is significant uncertainty in which way the economy is going. " In addition Janulaitis says, "Over two thirds of the CIOs interviewed say that the network infrastructure, which many have not been able to update because of budget limitations, they have in place is making it more difficult to implement new technologies without significantly increase costs. " He added, "…they all need larger budgets and staff to deal with this. "
The three month moving average points to a worsening of the hiring environment. From a review of the latest BLS data, Janco has found that there was a net increase of only 2,500 jobs in September - another slowing in IT hiring. There was an improvement in computer systems design and related services of 4,500 jobs (versus 2,400 added in August); data processing and hosting related services gained 200 jobs (versus 100 jobs lost in August); Telecommunications lost 2,700 jobs (and 3,200 in July); and other information services gained 500 jobs (versus 2,000 IT jobs added in August).
The labor market participation rate remained at a 30 year low of 63.2%. There are 3,200,000 fewer individuals working than in 2007. 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.
Health Care vs. Financial Services Job Growth
The health care job market continues to be a bright spot on the overall US labor market and is one area where IT Pros can go with the flow and find job opportunities. The implementation of Electronic Patient Records is one of the driving forces in the increased opportunities in this area. The chart below depicts the total labor market in this sector.