Tech jobs decline as US hit with rising costs and economic instability
A number of studies reported a decline in tech jobs in September as the US continues to get squeezed by geopolitical and economic instability. Tech consortium CompTIA said 10,350 positions in the technology sector were lost in September, lower than the 14,700 positions cut in August. But economy-wide, tech jobs — which include IT roles not associated with tech sector — took a bigger hit. Tech…
In September, the United States experienced a decline in tech jobs due to rising costs and economic instability. The tech consortium CompTIA reported a loss of 10,350 positions in the technology sector, which was lower than the 14,700 positions cut in August. However, tech jobs across all industries saw a significant decrease, with 6,000 fewer jobs added than in August.
Only 29,000 nonfarm jobs were added in September, falling short of expectations. Tech worker unemployment rose to 3.3%, but remained below the national rate of 4.2%. Despite the decline, tech companies announced a staggering 10,799 job cuts in September, a 77% increase from August. The tech sector has now cut 165,925 jobs this year, a 54% increase compared to the same period in 2025.
Employers are now taking a cautious approach to hiring due to rising costs, political uncertainty, and the possibility of surging healthcare costs. Despite fewer job cuts compared to August, Andy Challenger, chief revenue officer at Challenger, Gray & Christmas, stated that employers are being selective, prioritizing strategic business needs.
The mismatch between job cuts and new IT job postings indicates a search for specific skills, with AI-related skills being highly sought after.
Written by urgent.news from Computerworld's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
