Startups

Tech hiring slows even as employers post record open positions

A surge in IT job listings to three-year highs masks a contraction in actual hiring, with technology sector roles declining and unemployment ticking upward.

·2 min read
Tech hiring dips despite spike in job postings
Tech hiring dips despite spike in job postings

Employers nationwide posted more than 272,000 new IT positions in September, reaching a three-year peak, according to analysis from CompTIA released Friday. Yet the technology sector itself saw IT roles fall by over 10,000 positions during the same month, and overall tech hiring across all industries dropped by roughly 6,000 roles based on CompTIA's examination of U.S. Bureau of Labor Statistics data.

The contraction in hiring pushed IT unemployment higher, climbing to 3.3% in September from 3.1% the previous month, though this remains below the national unemployment rate of 4.2%.

Skills shortages persist despite demand signals

Enterprise leaders frequently cite capability gaps as a primary obstacle when discussing challenges with technology rollouts. The shortage of qualified tech workers has forced organizations to spend hundreds of thousands on external consultants and has left software investments underutilized. Concerns about responsible AI deployment are also being held back by insufficient expertise, even as enterprises push to expand their use of these tools.

The expansion in available positions reflects corporate confidence in technology as a competitive advantage, though organizations are proceeding with caution, according to Seth Robinson, VP of research at CompTIA. Traditional roles such as software engineers, systems administrators and technical support specialists continue to see steady demand, with their core functions remaining largely consistent despite the emergence of AI-related skills.

The number of active job postings jumping to the level that it did is a signal that the gap between demand and supply is not only still there, but it's maybe growing a little bit

Seth Robinson, VP of research at CompTIA

Recruitment opportunities in a shifting market

The current hiring landscape presents advantages for technology leaders seeking to recruit, according to Daniel Zhao, chief economist at Glassdoor. He suggests that organizations can pursue talent that would be difficult to attract during periods of stronger job market competition.

This can be an environment where it's beneficial to try to find talent that would be too hard to compete for in a hotter job market. That might mean looking at other industries or employers that aren't doing as well to see if there's talent you can poach there, or if there have been layoffs in other industries that can be a place where you can look for talent.

Daniel Zhao, chief economist at Glassdoor