Dive Brief:
- Employers across the U.S. economy added 197,000 tech positions in March, a sign of recovery from previous pullbacks, according to a CompTIA analysis of U.S. Bureau of Labor Statistics data. Unemployment for tech positions remained unchanged from last month at 2.2%, well below the general unemployment rate of 3.5%.
- Job postings for tech positions rose to nearly 316,000 in March, up 38% from February's total. Administrative, manufacturing and finance and insurance companies led the surge for tech job postings.
- Tech sector employment declined slightly by more than 800 positions last month, marking the third-straight month of losses. Tech sector employment declined by almost 11,200 jobs in February, as official data began to reflect the impact of layoffs.
Dive Insight:
A wave of layoffs roiled the technology sector in recent months, as employers showed more financial prudence given signs of economic trouble. But ongoing demand for tech talent across a wide range of industries shows the resilience of the tech labor market.
While job cuts in tech have slowed, they haven't stopped. Layoffs in 2023 have already surpassed last year's levels, with nearly 168,000 workers laid off at more than 500 tech companies, according to Layoffs.fyi.
IT spending projections, another key health indicator for the technology space, suggests executives will continue to invest in tech capabilities. Global IT spending is set to grow 5.5% this year, according to Gartner projections. A prior forecast had expected a more conservative growth rate of 2.4%.
The increase in tech job postings is a notable positive, according to Tim Herbert, chief research officer at CompTIA.
“While caution is in order given the state of uncertainty, the data suggests segments of employers may be stepping back into the tech talent market," Herbert said in a release.
