IT employment grew by just 700 jobs in 2023
IT employment in the U.S. barely grew in 2023, with an estimated net gain of only 700 jobs after massive layoffs, a stark contrast to the 267,000 added in 2022. Commenters describe a markedly harsher market—especially for mid‑career and senior roles—citing overhiring during the pandemic, aggressive cost-cutting, offshoring and remote-friendly hiring abroad, and increasing reliance on tools like LLMs as key factors. Some see signs of stabilization in late‑2023 hiring and argue demand for good engineers will persist, but many report prolonged unemployment, age discrimination, and a sharp shift in bargaining power toward employers.
Overall sentiment on 2023 IT job market
- Many posters report 2023 as the worst tech market they’ve seen in a decade or more, despite macro headlines about “soft landing” and “low unemployment.”
- Hiring was easy in 2021–2022; 2023 is described as “horrible,” with ghosting, far fewer recruiter messages, and much tougher interview funnels.
- Some see recent months (late 2023 / early 2024) as a tentative improvement, especially with more interviews appearing around year‑end and new budgets.
Experience level, age, and perceived value
- Senior and staff‑level engineers with 15–30+ years experience report sharply reduced interest, suspected age discrimination, and difficulty finding roles, even when willing to take pay cuts.
- Others argue that employers often see better cost–value in mid‑career “senior” devs (~5 years experience).
- Some note that new grads and juniors face especially poor prospects and a lack of structured training/apprenticeship programs.
Offshoring, near‑shoring, and geography
- Many describe large US companies shifting headcount to India, Latin America, Canada, and Europe, often via subsidiaries rather than traditional outsourcing vendors.
- Several report US teams shrinking while teams in India, Mexico, Canada, or EU grow, with long‑term intent to move entire functions abroad.
- Counterpoint: posters in parts of Europe (e.g., Netherlands) and Australia say they still get frequent recruiter outreach and relatively strong local markets, though pay is lower than in US tech hubs.
Immigration, labor costs, and unions
- Some tie weak hiring to a desire for cheaper labor (offshoring or H‑1B), arguing there’s no true shortage of IT workers, only of workers willing to accept lower wages.
- Others push back that offshoring will occur regardless of domestic immigration policy.
- Debate over unions: some see unionization as a way to resist offshoring and worsening conditions; critics argue it would hurt competitiveness or reduce entry opportunities.
AI, productivity, and “overstaffing” narratives
- Several claim LLMs significantly increase individual productivity and may reduce demand for junior roles or “grunt work.”
- Others think current AI is still too error‑prone to replace substantial engineering labor.
- Twitter/X is cited as evidence that many tech companies were overstaffed; skeptics counter with its financial struggles, advertiser flight, and degraded quality.
Coping strategies and alternatives
- Common advice: live below means, build large savings, broaden skills (full‑stack, LLMs, new frameworks), and consider non‑SV industries (manufacturing, utilities, med‑devices).
- Some advocate bootstrapping SaaS or indie projects, but others stress how crowded and capital‑intensive software markets have become.