Job gains, layoffs and Microsoft CEO’s concerns

Read an analysis of CompTIA’s recent tech jobs report to learn what Satya Nadella predicts for the next two years in the industry.

Image: VAKSMANV/Adobe Stock

The tech company added 17,600 employees in December 2022, despite layoffs in recent months, according to the U.S. Bureau of Labor Statistics.

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Which tech sector added jobs?

CompTIA’s analysis of the BLS report found employment growth in four out of five sector categories, marking the 25th straight month of net tech employment growth in December. Here are his four sectors that have landed jobs in December 2022:

  • There are 1,096,100 jobs in the manufacturing of PCs, semiconductors and components.
  • Data processing, hosting and related cloud services. There are 439,900 jobs.
  • Other information services and search portals, there are 444,900 jobs.
  • IT and custom software services/systems design, 2,461,800 jobs.

Telecommunications, which had 657,000 jobs in the sector last December, is down 2,500 from November.

Employers added an estimated 130,000 skilled workers in December, lowering the technical job unemployment rate to 1.8%, compared with 3.5% nationwide, according to CompTIA.

where is the tech job?

Most In-Demand Technical Jobs

Tech vacancies fell for the second month in a row, but still totaled over 246,000 in December.

CompTIA chief research officer Tim Herbert said in a statement: “Despite headcount cuts, more employers continue to hire tech talent than they fire them.”

Within the industrial sector, professional, scientific and technical services (38,654), finance and insurance (33,538) and manufacturing (26,763) reported the most activity.

CompTIA analysis shows that 30% of all tech job openings are for positions in emerging technologies such as AI, or roles that require emerging technology skills. Software developer and engineer positions accounted for about 30% of job openings last month. IT Support Specialists, IT Project Managers, Systems Engineers and Network Engineers were also sought.

In the technology sector, three occupational categories increased in employment in December: IT services and custom software development (+7,200), other information services such as search engines (+6,600), and data processing, hosting and related services (+5,600). I picked up the pace.

Cities and States with the Most Tech Jobs

Washington, New York City, Chicago, Los Angeles and Dallas lead the list of subway markets with the most tech job postings, while Richmond, Virginia, Tallahassee, Florida, Lansing, Michigan and Las Vegas have the biggest months. Recorded. According to CompTIA, employer job postings have increased month over month.

The states with the most AI job openings in December were California, Virginia, Texas, Massachusetts, and New York. Except for Virginia, four other states have seen their AI job postings decline since November.

What about layoffs in the tech industry?

Recent layoff announcements by tech companies may not be immediately reflected in government reports, such as BLS’ Job Situation report on Friday, CompTIA warned.

Last week, Salesforce announced plans to cut its workforce by 10%, or about 7,000 jobs. The company also plans to close some offices. In addition, Amazon also says he will cut 18,000 jobs starting next week. This represents about 6% of the company’s total workforce of 300,000. Other tech companies that have laid off staff include Meta, Cisco and Twitter.

It’s not all bad news. Amazon’s AWS cloud business is set to add new employees this year, despite job cuts across the larger organization. AI software company Aisera also announced plans to add 50 new hires from 40 to 50 in the first quarter of 2023.

Microsoft’s Nadella predicts a bumpy technology road

Microsoft chairman and CEO Satya Nadella issued a cautionary memo last week, saying the tech sector needs to prepare for two more years of bumpiness before it can grow again. In October 2022, Microsoft announced plans to lay off workers.

Over the long term, Nadella said the growth prospects for tech companies will be strong, thanks to emerging technologies such as AI.

The current downturn the tech industry is feeling is due to the demand spurred by the COVID-19 pandemic starting to taper off. Combined with the recession in some parts of the world, this has resulted in a “normalization,” Nadella said.

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