Big Tech Hiring Freeze – An opportunity for Jobseekers
In the last few months, we have seen hiring freezes coming from tech giants (such as Microsoft, Tesla and Google) as well as layoffs from a number of start-ups (think Robinhood, Coinbase and Getir). Some think it’s the sign of an oncoming recession and the bursting of the tech bubble, but perhaps it’s just a ripple rather than a tidal wave.
In fact, the cooling of the tech boom may hold opportunities for start-ups and smaller companies, as well as jobseekers, as we see a redistribution of workers.
Bursting the Covid Bubble
The tech sector has been thriving these last two years despite, or perhaps thanks to the pandemic. Uniquely suited to quickly adapt to home- and remote working, tech companies took less of a hit than other sectors of the economy. Especially start-ups which catered to a locked down world or benefitted from people being able to spend more time online had incredible successes. Food delivery services such Getir, Gorillas an Just Eat in particular boomed – and the demand for their services often brought on hiring sprees and rapid company expansion.
However now that the world is slowly trying to right itself and people are returning to their pre-pandemic habits, the exponential growth of such companies is often no longer sustainable. This means that many of these companies are now laying off people, to restructure and readjust for more sustainable growth and expectations.
Perhaps it sounds far more alarming than it needs to be though. According to Indeed, over-all job postings are 67.2% up from pre-pandemic levels, and specifically software development postings have increased by 125.1%.
While large companies might be instituting hiring freezes due to slumping profits, this may mean an opportunity for smaller companies and start-ups.
Some head-hunters and recruiters are convinced that with recent lay-offs and slow-downs, the attractiveness of the tech giants may be decreasing. Those looking for a cultural shift, or looking to avoid a drawn-out hiring process, might just fit right in at a start-up or smaller company.
But while the tech industry might be experiencing a downturn, the prospects for its workers remain good. The need for tech talent and expertise permeates all sectors of the economy, from the consumer industry to government and public services. If you know where to look, you will find a job.
Recession Proofing
Beyond just looking, its about making yourself “recession proof” as a candidate. Last year Indeed published a list of 51 in-demand tech skills, featuring things like Artificial Intelligence, Cloud Computing and Software Engineering at the top.
The main objective then, is to learn new skills and gain certifications (think AWS or Snowflake) to position yourself as a knowledgeable candidate for any jobs you apply to. By adding to or improving your skillset, you make yourself valuable to a current employer, and an attractive candidate for anyone wanting to hire you. Recognising what kinds of skills and qualifications are in demand, as well as what kind of industries might be out to hire tech talent is key.
