IT Job Market Growth Anemic
IT job market growth is only 400 job in November, 4,300 in the last 3 months and 70,700 jobs in the last 12 months. . .
The latest BLS unemployment rate has gone down, but the data paints a grim picture for the IT job market. Only 400 IT jobs were added in November and in the last 12 months only 70,700 jobs were created. The CEO of Janco Associates, Mr. Victor Janulaitis said, "The employment data is not as good as the fall in the national unemployment rate suggests and it seems to be worse for IT Pros. If you factor in the participation rate, the true national unemployment rate would be around 11.8%. Janulaitis added, "That data is causing many companies to consider wither they should expand IT staffs. Based recent interviews of 104 CIOs in the last two weeks, we see that CIOs have become more cautious as have their companies. Janulaitis said, "Add to the employment data the upcoming January 1st sequester cuts and the uncertainties caused by the status of the recovery it is easy to understand the reasons why prospects for an improved job market are not great. "
The three month moving average shows a continuing downtrend in the number of jobs added. From a review of the latest BLS data, Janco has found that there was a net increase of only 4,300 jobs in the last three months.
The labor market participation rate rose slightly but still is at a 30 year low of 63%. 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.