in short
- According to the first State of Tech Employment Spring 2024 report, U.S. tech job openings fell by 2% in the first quarter of 2024 and are now down 47% from their peak in April 2022.
- In Q1 2024, the number of AI-related jobs increased due to strong demand for generative AI expertise. The number of 5G-related job openings also increased, but demand for cloud-related expertise decreased sequentially.
- Employment density in the industrial automation industry now exceeds that of any other industry, with telecommunications coming in last.
why is it important
- Understanding in-demand skill sets helps companies fine-tune their hiring strategies and allows job seekers to focus on building critical skills.
- Understanding the hiring intensity of industry peers can provide companies with insight into competitive hiring practices and workforce strategies.
The big picture: U.S. tech job openings are down overall, but AI jobs are up.
According to IoT Analytics' first 85-page State of Tech Employment Spring 2024 report, the number of tech job openings in the first quarter of 2024 was down 2% compared to the fourth quarter of 2023. This makes Q1 his seventh consecutive quarter of declines in overall tech job openings in the US. The total number of job openings is currently down 47% from its post-COVID-19 peak in April 2022. For comparison, the U.S. Bureau of Labor Statistics reports that overall monthly job openings fell by 27% over the same period, indicating that the technology industry is definitely performing better. Hit by the recent economic slowdown.
But on the bright side, in February 2024, the number of tech job openings increased month-over-month for the first time since the start of the recession, by 3% compared to January 2024. A.I. AI-related fields are discussed in detail below.
The State of Tech Employment report analyzes more than 1 million U.S. job postings to determine which technology expertise and skills are in demand, and the hiring strength of more than 450 companies across a variety of sectors. is being evaluated. Below are his three key findings from the report that reflect the state of technology employment heading into Q2 2024.
This article is based on the following information:
The state of technology employment in spring 2024
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Key finding 1: AI jobs are on the rise
Overall, there are many job openings that require specialized knowledge. A.I. AI-related fields are up 4% quarter-over-quarter, and AI itself is up 8% quarter-over-quarter.The most impressive thing is the recruitment Generation AI (GenAI) expertise grew 38% sequentially in Q1 2024, and this jump drove a 3% increase in tech job openings in February 2023.
In recent historical context, AI jobs have followed a similar trajectory to other technology jobs, peaking around April 2022 and declining significantly since then. But in January 2023, i.e. OpenAIChatGPT — The rate of decline in AI-related job openings began to stabilize, but other fields continued to decline. By July 2023, the number of AI-related jobs began to increase, increasing by 18% by February 2023.
This upward trend in AI-related job openings correlates with the growing interest in AI among corporate executives. Compared to Q4 2022, the number of quarterly earnings calls mentioning AI in Q1 2024 increased by 19 percentage points, from 13% to 32% of calls.
Management is concerned about labor shortages and skills gaps in this sector, creating a need to upskill existing and future employees. Companies appear to be concerned about losing their existing AI talent. GoogleCo-founder Sergey Brin personally calls employees to persuade them not to relocate OpenAI. Other executives (such as Cognizant and Accenture) have emphasized the need to develop skills internally.
Key executive quotes on upskilling AI
“In 2023, 90% of employees worldwide will spend time learning, 270,000 employees will have earned at least one new skill proficiency, and 88,000 will have completed an AI and generative AI course. doing.”
Ravi Kumar– Cognizant CEO, February 6, 2024
“Invest more in people than technology. […] There is no AI-enabled workforce that will be available for hire in one, two, or three years. You have to take your employees with you. Develop they. “
Paul Dougherty – CTO, AccentureDecember 12, 2023
If you take a closer look at AI-related job openings, python Skills are critical to AI roles. 52% of all AI job postings mention skills, far more than any other programming language. C++ (12%) or R (8%).Relevant expertise TensorFlow (14%) and pitorchi (11%), both machine learning libraries also play an important role. Cloud-related skills are also in high demand in AI jobs. azur (15%) Toppings AWS (10%) Regarding the skills mentioned.
The growing demand for AI-related skills and expertise will naturally impact the salaries of skilled workers with desirable skills. According to the platform Comprehensive.io, the median salary for skilled employees involved in AI work is currently $172,000 per year, 17% higher than the salary of a software engineer with a similar experience level.
Key finding 2: 5G and WiFi job openings are increasing, while most other connectivity technologies are decreasing.
Currently recruiting 5G Expertise grew 13% quarter-over-quarter in Q1 2024, the largest increase in connectivity job openings. This is in line with what IoT Analytics observed at his 2024 Mobile World Congress in Barcelona, Spain. There, his 5G technology advances that improve quality and performance and enable private 5G connectivity were on full display.
WifiIn the first quarter of 2024, the number of related job openings also increased, but only by 2% compared to the previous quarter.On the other hand, job openings will start in the first quarter of 2024. 4G, cellular, bluetoothand Lola Expertise decreased by 3%, 6%, 9%, and 15% sequentially, respectively.
Note: IoT Analytics plans to release an updated 5G market report in Q2 2024 as part of IoT connectivity and hardware coverage.
Key finding 3: The number of cloud-related job openings has decreased significantly.
According to the Technology Employment Status Report, cloudThe number of related job openings in Q1 2024 decreased by 3% sequentially. Although this technology sector has the highest number of job openings in absolute terms, the drop in job openings is part of a continued downward trend since the peak of cloud job openings. As we discussed in our recent State of IoT Spring 2024, cloud revenue growth will decline significantly in 2023 as many companies focus on cost optimization. This has also had an impact on cloud-related recruitment. Job postings primarily include companies building products and services in the cloud and seeking expertise in leveraging specific hyperscalers.Jobs mentioned AWS Down 2% from the previous quarter, azur (-2% QoQ), and google cloud (-4% QoQ).
Other notable findings from the State of Technology Employment report
State of Tech Employment isn't just about changing expertise and skills related to technology job openings. We also take a closer look at hiring intensity (the number of published jobs per 100 current employees) and layoff data for specific companies and industries.
intensity of employment
Of the seven industries tracked in the report (including the umbrella “Other”), the Industrial Automation industry had the highest median hiring density in Q1 2024, per 100 current employees. The number of open positions was 3.1. By comparison, the median employment density for all industries tracked was 2.4 people.
four industrial automation Companies that stand out in terms of employment density are:
- johnson controls international plc Recruitment strength was 6.2
- siemens Recruitment strength was 4.8
- schneider electric Recruitment strength was 4.4
- ABB Corporation Recruitment strength was 4.3
companies Telecommunications The industry has the lowest median hiring intensity, with only one open position per 100 employees in Q1 2024. Here are some examples:
- AT&T The recruitment strength was 1.05.
- verizon The recruitment strength was 0.83.
- orange The recruitment strength was 0.26.
dismissal
Some technology companies continue to lay off employees, albeit on a much smaller scale than a year ago. In the fourth quarter of 2023, there were approximately 24,000 technology layoffs compared to 167,000 in the first quarter of 2023. The regions with the most reductions are:
- Human Resources Department – Our tracker shows cloud computing and virtualization technology companies based in the United States. vmware will cut 44% of its human resources staff in 2023.
- marketing – Our tracker shows software companies based in the US InformaticaFor example, we will cut 16% of our marketing team in 2023.
- support – US-based technology giant microsoftFor example, according to our data, we will reduce our support staff by 18% in 2023.
More information and read more
Want to learn more about the latest technology market trends?
The state of technology employment in spring 2024
An 85-page report detailing the current state of technology jobs, demand, talent shortages, and employment trends.
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