It’s starting to feel like 1999 all over again for Alan Boehme, the year the dotcom/digital economy hit its high-water mark and the IT job market peaked. On the one hand, that’s a good thing. “IT is in vogue again,” says Boehme, CIO of Juniper Networks. “It is not just for cost-cutting. It’s seen as key to growth.”
On the other hand, it’s a nightmare. Growing on average by 12 percent year over year, the $2 billion company’s appetite for business-enabling IT systems is insatiable. And so is Boehme’s need for IT staff. His hiring activity picked up about 30 percent last year, when he had 60 open positions. The market for tech talent is increasingly competitive, says Boehme, particularly where he sits in Silicon Valley.
Boehme’s experience is borne out by the numbers. Nearly two-thirds of CIOs who had staffing forecasts projected an increase in headcount, according to Gartner’s 2006 “IT Market Compensation Study.” Of those, almost 19 percent anticipated an uptick of 10 percent or more, compared with 5.2 percent in 2004 and 17.9 percent in 2005. Overall employment in the tech sector has increased since the second quarter of 2005 and is now at its highest level in four years, nearly matching prerecession IT employment highs, according to Forrester Research. A tightening labor market may be good for technology workers, but it’s a challenge for CIOs.
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