Demystifying the Mixed Signals from the Tech Job Market

While there are plenty of jobs posted online, many tech professionals believe it’s become increasingly difficult to land interviews and offers for technical positions, even if you’re highly qualified.

On the one hand, new postings for tech positions hit 200,000 in June, and numerous surveys show that CIOs can’t find the specialized talent they need to fill artificial intelligence/machine learning (AI/ML), e-commerce and blockchain roles.

On the other hand, the broader economy lost 22,000 tech occupations in June, and recent posts on Reddit and Quora show that longtime tech workers are struggling to find new positions.

Why is the tech job market sending mixed signals?

The market is not as hot as it was, even in fields like cybersecurity, noted Dan Lohrmann, field CISO for Presidio and award-winning blogger and author. However, the appetite to hire varies by industry and region, with Lohrmann noting that federal, state and local governments are continuing to hire cybersecurity pros. It’s a similar situation with other specializations and industries.

To help you make sense of the current market and conduct a successful, targeted search, here’s a look at the underlying reasons why you may be having a hard time finding a job.

There’s a Skills Mismatch

The problem is you have a growing number of unemployed people (147,000 in June) with legacy skillsets competing for a shrinking pool of jobs, explained Victor Janulaitis, CEO of Janco Associates.

When more applications come in for fewer jobs, it slows the hiring process down.

For example, Janulaitis’s firm’s data shows that it takes three to six months to find a new job supporting legacy systems and technologies, and just two to three weeks to land a job that requires AI or blockchain skills. Therefore, these two groups have different experiences and perceptions of the tech marketplace.

If you’re having trouble finding a job, your best bet is to update your toolbox to include skills that are increasing in demand and value. In fact, close to 70 percent of leaders say they would rather hire a less experienced candidate with AI skills than a more experienced person without them, according to a recent report.

Employers are Risk Averse

Companies that have been forced to shed jobs are now afraid of hiring someone who is over-qualified or under-qualified for a position and will end up leaving when the market swings back. In short, they are willing to wait for the perfect fit, rejecting candidates who don’t have specific soft skills or certifications.

Another telltale sign of this “Goldilocks principle” is the fact that companies are freezing positions and changing job descriptions, levels and compensation after they start interviewing, leaving candidates in the lurch.

Many job ads haven’t been properly vetted within the organization, Janulaitis explained. A manager starts interviewing to see who they can attract. If they find someone, then they request approval to hire; however, that can trigger a reevaluation of the entire project or change the hiring profile or salary grade, which puts the hiring process on hold again.

The best way to ease an employer’s concerns is to reach out in a meaningful, targeted way. Showing enthusiasm for the company’s objectives and illustrating your fit with its culture and goals can make you seem like someone looking for a future career, not just a paycheck.

“I’ve personally seen people land jobs and even jump up two or three rungs on the ladder by conducting a targeted search that focuses on companies and roles that match their skills, experiences and interests,” Lohrmann said.

Employers Want to Keep the Door Open

Many of the tech companies that conducted sizable layoffs want to maintain some sort of presence in the talent marketplace, so they have a pool of potential candidates to fill key roles when they become vacant.

Several of Lohrmann’s colleagues have mentioned that it seems like some private sector companies always have openings and are always interviewing… but they’re not actually hiring. In some cases, managers are so busy after downsizing that they simply don’t have time to interview, so the requisition expires before an offer is made, he added.

Financially sound companies are generally open to making opportunistic hires when the market slows. To uncover those opportunities and present yourself as a game-changer, request an informational interview through someone in your network.

Not All Openings Are Equal

In-house recruiters are given priorities and put their efforts toward positions that are harder to fill and critical to meeting the goals of the organization. If a team can get by without filling the role you happen to be pursuing, and plenty of people are applying, then the hiring process can drag on forever.

It’s the Economy

Economic uncertainty, global instability, high interest rates and the promise of productivity gains from AI are all causing some sectors to contract and cut jobs while others grow, deceivingly leaving the macro numbers unchanged. In fact, the term rolling recession is being used to describe the current economic situation, particularly in the U.S.

For job seekers, a rolling recession means that it will be easier to get employment in some industries and metropolitan areas while others will be more difficult. Also, the slowdown in IPOs creates a trickle-down effect on the entire tech ecosystem, which depends on such activity for growth.

“While experienced tech workers tend to make less in the public sector, I encourage them to view their careers as a marathon, not a sprint,” Lohrmann said.

Unspent budgets are lost opportunities, so many local, state and federal government agencies will be adding staff before the end of the year. Best of all, you can gain valuable experience that will make you more attractive to all future employers.