The US IT jobs market has faced significant challenges in 2025, with recent downward revisions to May and June's Bureau of Labor Statistics (BLS) data revealing a more severe sector slowdown than initially thought.
Key Findings:
- May and June job growth was overestimated by 125,000 and 133,000 jobs, respectively, leaving just 19,000 and 14,000 new jobs added in those months.
- IT Job Market shrank by 26,500 year-to-date, with 10,300 jobs lost in July alone.
- IT-sector unemployment rate rose to 5.5% in July, significantly higher than the national rate of 4.2%.
The current year-to-date IT jobs market losses compared to 2024 - Click to enlarge
Uncertainty and Its Impact:
- Economic instability and AI inflation are major factors dragging down IT hiring.
- Demand remains for specific roles: Developers, software engineers, system architects, support specialists, and cybersecurity experts are still in demand.
- AI competency is key: While AI-exclusive roles haven't grown, positions requiring AI skills are seeing higher demand.
Industry Reactions:
- Janco CEO Victor Janulaitis criticized the BLS revisions, calling them "unacceptable."
- CompTIA noted some bright spots, particularly in roles with AI competency.
Political Fallout:
- US President Trump fired BLS Commissioner Erika McEntarfer, alleging data manipulation to make him look weak.
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