US will need half as many IT-savvy staff in 2001

US-based hi-tech workers seeking a new employer and job-hunters looking to break into the sector are set to find it tough going this year. Demand for technology staff is set to fall 44 per cent through 2001 over last year, according to research from the IT Association of America.

Companies with 50 or more staff last year hired 1.6 million people for technology-related posts. This time round, the figure is set to drop to 900,000, according to data from the ITAA survey leaked to the Washington Post.

The ITAA contacted managers with responsibility for hiring tech staff at 685 large US firms.

Clearly, hiring is taking place, but the drop suggests employers are limiting themselves to replacing staff and only creating new posts when absolutely necessary.

The reason? The ITAA report claims the hiring slowdown is due to the economic slowdown, according to the Post. It also blames a rise in the job market of the number of workers with little or no experience in the sector. While such staff may have found positions during earlier boom-times, that's no longer the case. ®