In 2024, the number of advertised IT jobs took a hit compared to last year, according to the Recruitment and Employment Federation (REC). We’re seeing a decline across various tech roles, bringing us back to the hiring levels we saw before the pandemic.
Matt Monette, the country lead at Deel, echoed these findings. He noted that after an intense period of tech hiring, many companies have become cautious. Widespread layoffs over the past two years made businesses think twice about expanding their teams again, which has led to fewer job postings in specific areas.
However, there’s a bright spot. Deel’s data indicates increased demand for specialized professional services roles. For instance, hiring for accountants skyrocketed by 74% globally. This shift points to businesses prioritizing financial stability, especially in these unpredictable economic times.
The landscape of tech hiring has shifted dramatically over the past five years. During the pandemic, we saw a surge in demand for IT professionals as people relied more on technology while working from home. This was followed by the “great resignation,” where many tech workers sought new opportunities, changing the job market once again.
While REC’s figures show a downturn in advertised tech roles, interest in tech talent remains strong. As technology continues to evolve rapidly, individuals and businesses need to equip themselves with essential digital skills.
The research from REC, which collaborates with Lightcast to gather data from numerous job boards, revealed that most IT job postings have plummeted by at least 40% year-on-year. IT user support technician roles faced the steepest decline, with a 47.1% drop. Demand dropped for IT networking professionals by 40.7%, from nearly 61,000 job ads in 2023 down to about 36,000 last year. Meanwhile, management consultant/business analyst and web designer roles also saw a significant drop of nearly 42%.
Programmers and software developers still rank among the most in-demand roles, with over 192,000 positions advertised in 2024. However, even this number reflects a 44.8% decline from last year’s peak of over 348,000 postings.
Several factors contribute to this drop in job ads. A shortage of skilled tech workers means that hiring the available talent is becoming more competitive. Many companies are opting to train their staff internally, looking to build the necessary skills from within.
Economic uncertainty has also led employers to pull back on tech projects, which has sparked concerns about job security and caused many businesses to pause their hiring efforts.
Despite these challenges, Neil Carberry, REC’s chief executive, anticipates a rebound in tech hiring as the economy improves and companies begin investing more in technologies like artificial intelligence. He described 2024 as a tough year for IT professionals seeking jobs, a stark contrast to the high demand observed during and right after the pandemic. He believes these roles will recover quickly as businesses shift towards IT transformation in a recovering economy.