In 2020, for this first time since the dom-com bust of 2000-2002, IT salaries remained flat and the year ended with fewer jobs than it started. Despite a pandemic-plagued 2020, things are looking up in 2021 across the hiring industry and specifically for the IT industry. This is good (great!) news for both employers and IT and tech candidates.
Recovery by the numbers
Both IT professionals and the tech sector saw job growth in January 2021, even as the overall U.S. economy struggled. If you’re like me, you’re probably asking what that means in real numbers. Well, it means that there were 19,500 new U.S. tech sector jobs (both technical and nontechnical positions at tech vendors). Additionally, the number of IT-related job listings grew by about 26,000, surpassing 232,000.*
Now that we know how the year started, we can turn to identifying how we think the year will turn out.
Good. Better. Best.
Monster’s Future of Work report, a global survey of candidates and employers, reveals the industries poised for growth, what’s changed most since COVID-19 and what candidates say they need most from their employers. The report is definitely worth downloading and reading. Most interesting in the report is what I call the “good-better-best” in hiring news.
- The Good: 82% of U.S. employers plan to hire new employees this year with 93% feeling confident they will find the right candidates
- The Better: 42% of respondents plan to replace or backfill open positions
- The Best: 40% of respondents plan to fill for new positions with nearly half (49%) of all tech industry respondents intending to create new jobs in 2021.
It’s all about the Jobs.
So, the million dollar question is, what will all those new and backfilled jobs be?
Throughout the pandemic, we saw an increased need for IT support services as companies transitioned to remote working. Today, though, firms are starting to focus once again on the long term and less on pandemic-related responses. This means candidates can expect to see an increased need for project management, software development and engineering, and data-related proficiencies as companies move toward achieving their long-term apps and services goals.
2021 and beyond
Here at TeamUP Staffing, a specialized engineering staffing resources firm focused on contractors, consultants and temporary positions in the engineering (software/hardware) and technology industries, we work with employers and IT/tech candidates to understand not only how they are responding to the COVID-19 challenge, but also where their needs are both today and long beyond tomorrow.
Per the 2021 Future of Recruiting Study published by CareerArc, 76% of U.S. companies say hiring demand will return to pre-pandemic levels this year. With a positive hiring outlook, I believe that the following industries are key ones to watch for growth:
- Tech: 2020 was a big for tech companies. Tech doesn’t rely on brick-and-mortar storefronts for business to continue, but instead operates almost entirely online, as most IT professionals can work remotely.
- Healthcare and health tech: Look for hiring across a wide variety of healthcare-focused organizations, including frontline providers and virtual medical care. The trickle down means that there will be an increased need for health IT and advanced medical device professionals.
- Fintech: Even before the pandemic, the financial services industry was trending toward online banking and trading. COVID-19 accelerated the transition away from a brick-and-mortar presence, so we’ll likely see more jobs in the online banking and fintech sectors.
Partner with the right IT staffing firm
Here at TeamUP Staffing, we are living what the data is reporting. Employers are hiring and we have a full arsenal of qualified chip design, embedded software, big data and cloud candidates looking for new opportunities. Whether you’re looking to elevate your project team or your career, TeamUP Staffing can help ensure the right project fit. Contact us today to get started.
*CompTIA industry association