More than a third of tech workers surveyed said they’re concerned about layoffs in the next year, and 40% said they’ll likely be affected if their company implements layoffs, according to an Oct. 17 report from Indeed.
In addition, 34% of tech talent said they’re actively looking for work now, and 70% said they’re likely to start looking for work if layoffs occur at their current company but they’re not impacted.
“The tech workforce is rapidly evolving, with a growing demand for highly skilled professionals to meet the industry’s needs,” the Indeed report said. “Employers continue to face challenges in recruiting technology employees, especially as tech job openings have shifted post-pandemic.”
In a survey of 1,100 workers in high-demand tech roles, the total number of tech pros looking for jobs has increased by 86% since January 2020. Tech talent seems to be taking more control of the hiring journey, with 61% finding new roles on their own in 2024, as compared to 55% in 2023. Workers appear to be relying on their personal networks more than recruiters.
When researching job opportunities, 69% of tech workers named benefits as the top priority, especially work-from-home flexibility. Other benefits that job seekers said they find valuable but companies are less likely to offer included sign-on bonuses, four-day workweeks, unlimited paid time off, a la carte benefits and tuition reimbursement.
Well-being incentives are also a big differentiator for tech talent, Indeed said. For instance, well-being at work served as a top driver of retention, with 76% of survey respondents saying they researched companies before applying to look for information about employee happiness and workload.
About two-thirds of employees said they’re likely to stay at a company with mentorship programs, and most tech workers said they’re more likely to look for a new job internally if they feel properly supported at their current company.
Notably, tech pros with 5-10 years of experience were more likely to apply for internal roles instead of outside roles, which highlights the need for companies to invest in upskilling, Indeed said.
In August, tech companies announced the most job cuts in 20 months, with a focus on adopting artificial intelligence and automation tools, according to a report from a Challenger, Gray & Christmas report. Overall hiring intentions fell to the lowest year-to-date total since data tracking began in 2005, reflecting economic uncertainty and shifting market dynamics, the firm’s SVP said.
But in mid-2024, 95% of tech leaders reported challenges finding skilled talent and nearly two-thirds reported a skills gap in their department, according to a Robert Half report. In response, HR pros need defined hiring and retention plans in place to ensure talent challenges don’t put projects and priorities at risk, the report found.
In an ongoing tight labor market, employees now expect their employers to invest in their well-being, according to a report from The Conference Board. However, employee-reported levels of well-being have stagnated, which means HR leaders may need to adopt a different approach to boost productivity and retention. This could mean linking well-being initiatives to C-suite priorities such as leadership development, culture reinforcement and talent acquisition and retention, the report found.