The technology industry is now full of wrinkled faces. Stock and cryptocurrency prices are sinking and anxiety is on the rise. Every day he reports a technology company or a new company that informs him that the employee has been fired or suspended. It happened again on Tuesday when Coinbas, a crypto exchange, said it was reducing its workforce by 18 percent.
The pain is real for people who are losing their jobs, but behind it is a bigger picture: the job market for tech companies and people with high-skilled skills are on fire and will continue to be so, at least for now.
Unemployment rates for high-tech jobs in the U.S. are approximate. As soon as a company announces a freeze on the layoffs or hiring of people with these skills, ZipRecruiter sees other employers looking to find and hire them, according to Julia Polla, a career economist at the career website. On average, every tech-savvy employee looking for a job receives more than two job offers, employee Robert Half told me.
“When people say things are slowing down, I ask,‘ What data? ’” Said Ryan Sutton, Robert Half, the district’s chief technology officer. “Everyone means the stock market is down. If so, the stock market is not always an indicator of hiring. ”
People who specialize in technology jobs have told me that hiring has slowed down in some areas as the stock market has fallen and fears of a recession have escalated.
But they say that right now, the worst thing you can say about the technology job market is that it’s gone crazy.
The market for technological talent and all kinds of employees in technology companies is so hot that even hiring specialists are constantly on the hunt. Georgena Frazier, a real estate rental contractor for Divvy Homes, was trying to persuade Frazier to work for her company every time she spoke to potential new hiring candidates this year.
There are two major reasons for employees to continue on demand. There is a long-term trend for companies looking to hire more tech workers, and the number of skilled candidates has not kept pace. In addition, hiring of many technology companies is still growing since the first months of the pandemic, when many companies froze or fired hiring staff when they had to hire staff when the business did not collapse.
Susan Dominus, a staff writer for The New York Times Magazine, described the power of tech workers to jump from job to job and demand and often demand compensation and working conditions in a wonderful article published in February.
“I was really surprised that a tech contractor didn’t leave anything to chance,” Dominus told me. “Even if someone accepted the offer, he continued to hire for the job. In case that person threw out the second one, another better offer appeared.”
There are signs that technology hiring has cooled. Shauna Swerland, chief executive of Seattle’s Fuel Talent recruitment firm, said she has seen some large tech companies suddenly pause their plans to hire specific positions, sometimes ending up with job candidates in the middle of second or third interviews.
A few companies like Coinbase, Twitter and Redfin have canceled a small number of job offers for people who have accepted them. Experts in technology recruitment have said that completed job offers are unusual when there is no recession or widespread crisis like a pandemic. Some companies, Coinbas said on Tuesday, may have hired too many people last year when technology went too fast.
Stephanie Ciccone-Nascimento, who trains technology staff, said she was recently surprised when a company offered a candidate a job to sign up for an award. (There was a job offer left.) “There was this post-pandemic moment where the candidates had a lot of power to demand what they wanted,” Ciccone-Nascimento said. “That’s pretty much overturned.”
Being a little less empowered with employers can make you feel disoriented for tech workers, but you don’t feel for them.
More people are now working in technology-related professions than a year ago, according to U.S. government data from ZipRecruiter’s Pollak on various categories of technology work. Elon Musk, who was concerned about the economy this month and said that Tesla should reduce salaried workers, also said that the carmaker would probably have more employees in a year than now.
Sutton said half of the tech workers Robert Half speaks of have not changed jobs for several years. He said they were probably doing less than new hires as technology salaries have risen in the last two years. (Yes, many high-paid tech workers are saying that they may be underpaid.)
Ciccone-Nascimento said he would recommend tech workers to continue in their current jobs if they could, but he also sees this moment as a manic demand for technology specialists in many areas. “There are always jobs,” he said.
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Before you go
Are the drone package deliveries real this time around? Amazon said it plans to do it by drone this year in the United States. (The company does not yet have regulatory permission to do so.) It would be about nine years since Jeff Bezos said the delivery of Amazon drones could be a reality in four to five years.
Chinese companies are taking equipment to make computer chips: U.S. officials concerned about technology competition with China say the country is building a home chip industry faster than the U.S. can expand its home chip manufacturing, Bloomberg News reported. (Subscription may be required.)
How virtual reality can help children with autism: Gautham Nagesh writes for The New York Times about a company developing virtual reality lessons to help behavior therapists, speech therapists, special educators, and parents working with children with autism.
A Pittsburgh lawyer and grandmother had no clue that he had beaten three professional footballers in pickleball. With “These Guys,” a group photo went viral online. (Pickleball is a tennis-like paddle game. I had to look into it.)
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