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Report: IT Job Market Continues To Slow

U.S. IT job growth has been in a downward slump so far this year, according to analysis of April data from the U.S. Bureau of Labor Statistics.

While there were 11,700 new IT jobs reported in January, only 4,600 new IT jobs were added in April, according Janco Associates Inc. There have been three months of job declines so far this year. Janco, a consulting firm and publisher based in Park City, Utah, drew those estimates from April data released by the Bureau of Labor Statistics this month.


IT hiring trend, April 2012 to April 2013. Source: Janco Associates Inc.

The decline in IT hiring tracks with the attitudes of 98 CIOs surveyed by Janco in the North American market. Janco's research indicated that less than one in 10 of those CIOs planned to add personnel to their IT departments.

On the whole, there's a downward trend for all of U.S. labor, as more than 9.2 million workers have left the labor force since 2008, according to Janco's research. The April 2013 labor force participation rate of 63.3 percent is estimated by Janco to be at "the lowest level since the 1970s." That general labor market slump could also affect IT hiring.

"Until those percentages turn around, the overall recovery will be weak at best," said Victor Janulaitis, Janco's CEO. "If that is the case, then there is a strong possibility that IT demand will be low."

The few positive signs for IT pros in terms of job prospects are seen with "mid-level security and compliance managers to assist with the implementations of more 'web-enabled' applications and meeting compliance requirements," according to Janulaitis.

On the other hand, a salary survey by Janco based on January data found that IT salaries have remained mostly "flat."

About the Author

Kurt Mackie is senior news producer for 1105 Media's Converge360 group.

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