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Home Careers in IT > Job Seeker Services > 2009 IT Job Outlook > Hiring Trends Among Consulting and Staffing Firms
 
  

 

In the midst of the current economic downtown, some companies are still hiring. There are some  staffing firms who are experiencing an increase in demand for temporary workers. Because of the uncertainty they face in forecasting financial growth, firms are increasingly turning to temporary workers to complete project assignments. Many companies have projects that have to be completed, despite budget constraints. According to staffing service Robert Half International, firms that are unable to add full-time employees during periods of economic uncertainty, often bring in professionals on a temporary basis.  In the current environment, it can be difficult for firms to project their long term hiring needs.  As a result, temporary workers are used to maintain productivity, while minimizing the cost associated with hiring a full time employee. One advantage of companies hiring temporary workers at the time of an economic downturn is the ability to choose from a larger pool of qualified candidates.  

 

 

Purpose of Study

 

From an overall perspective, temporary employment services are experiencing growth and the prognostic outlook is favorable, but how does this growth affect those looking for work in the Information Technology field? The aim of this study is to determine what types of hiring trends exists among IT consulting and staffing firms and what disciplines within the IT field are experiencing the demand. Research was done on approximately 10 consulting and staffing firms. The companies that were selected are listed below:

 

 

Ajilon Consulting

Arcus

Blackwell Consulting Services

Comsys

Computer Resource Solutions

DSR Management

Manpower

TEKsystems

VisionIT

VOLT Information Sciences

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Findings

 

For the companies examined, the need for software developers appears to have the highest demand for those seeking IT workers. Software developer jobs, ranged from Java and C++ to  mainframe Cobol and SAS jobs. Although companies have transitioned from Cobol to other languages, some larger companies, as well as federal agencies have legacy code to maintain. Most software developer jobs listed were for web developers and those who work with web based languages such as Java, .Net and PHP.  According to www.cbtjobs.com, the programming languages that are in demand today include C++, Java, and other object-oriented languages, as well as newer, domain-specific languages that apply to computer networking, database management, and Internet application development. The site mentioned also believes that their will be an increased demand for Java programmers.

 

Software Development

/Implementation

Developer-

Software Engineers

Program

/Project

Managers

Business/

Systems Analyst

QA/Testing

Data Analyst

Data

Warehouse/BI

ERP

 

Other(Technical Writers, Trainers, Etc)

 

 

 

 

 

 

 

 

Ajilon Consulting

42

7

12

12

3

5

10

Arcus

9

1

4

2

 

 

1

Blackwell Consulting Services

3

1

 

 

 

 

 

Comsys

104

47

52

28

4

13

26

Computer Resource Solutions

2

 

 

 

 

 

 

DSR Management

1

 

1

 

 

 

 

Manpower

49

15

23

14

6

23

14

TEKSYSTEMS

193

28

20

15

7

38

4

VISIONIT

16

10

13

3

2

 

9

VOLT Information Sciences

56

10

21

24

8

 

11

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

In the area of infrastructure and support, the demand for networking and help desk professionals appears to have the highest demand. According to the government’s Occupational Outlook Handbook, employment of network administrators and engineers is expected to increase much faster than average, as firms will continue to invest heavily in securing computer networks. Since an entire enterprise can rely on the network administrator, these jobs are critical and in much demand. According to an interview of an IT recruiter, Teksystems.com stated that, "by far, the workers most in demand are those who can set up, maintain, and design networks. A typical technical worker with about four years of experience can command a really good salary, benefits, and even a flexible schedule."

 

 

Infrastructure/

Support

Networking

DBA

Help Desk/

Desktop

Support

Security

Other

(Technical Writers,

Trainers, Etc)

 

 

 

 

 

 

Ajilon Consulting

18

5

4

 

10

Arcus

 

1

3

 

1

Blackwell Consulting Services

 

 

 

 

 

Comsys

52

7

7

10

16

Computer Resource Solutions

 

 

 

 

 

DSR Management

 

 

 

 

 

Manpower

43

4

19

3

14

TEKSYSTEMS

56

31

13

16

4

VISIONIT

9

2

6

1

9

VOLT Information Sciences

7

7

34 (*20)

3

11

 

 

   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trends that affect the number of IT jobs

 

When exploring IT hiring trends among temporary staffing firms and consulting companies, certain factors such as outsourcing and the hiring of H1B workers have to be considered. The shift of sending IT jobs overseas and bringing  in IT workers from other countries to the United States is a hotly debated issue that seems to affect the  Information Technology sector at an increasingly rate. It also tends to affect IT workers at a higher rate than some other job sectors. These jobs are usually outsourced to consulting firms. These firms also bring individuals in on H1B visas.

 

Outsourcing can occur onshore, here in the United States or offshore. According to a study by the state of Virginia, the model for outsourcing is becoming increasingly global. Per the Wall Street Journal, March 2009, India has emerged as a key location for multinational consulting firms for the global delivery of services. Some companies, such as IBM have been steadily building their workforce in India and other locations while reducing the number of workers based in the U.S.  In addition, ComputerWorld, stated that some firms are replacing workers with H1-B employees at a growing number. This has affected IT workforces in some small communities. This article stated that there is a possibility that  restrictions such as the ones in the stimulus package could possibly cause more work to be done offshore rather than here in the United States. A lot of these firms  offshore long term as well as project work overseas.  IT workers have been significantly impacted by this trend.   The pool of jobs for IT workers in the United States can be reduced by consulting firms that ship work overseas, or who have a base here and bring in workers from other countries to perform the work. Some of the larger consulting firms, may acquire a project from a larger corporation and then subcontract it out to a smaller firm.  Company A may be looking for a contractor and is limited to a preferred list of vendors, that he may choose a resource from. In order to cut their costs, these firms who are on the vendor’s list may sub-contract out to Company B. Company B may be based in another country, but has H1B workers here in the United States. Company B will then hire an H1B worker to perform the work. The trend of outsourcing, whether offshore or onshore as well as the bringing in of H1B workers has been going on for quite some time. It affects projects that are lengthy in duration, but it can also affect short term contracts as well.

 

 

Conclusion

 

As companies cut budgets and seek ways to complete projects, they contract with consulting companies and staffing firms to hire resources.  This allows companies the opportunity to have projects completed without the overhead of a full time employee.  Because of this shift, temporary staffing and consulting firms are a good place for IT professionals to seek jobs, especially during the economic downturn.  Although there is an increase of  job opportunities with consulting companies and staffing firms, it can be impacted by project work being done overseas or being done by workers who come in  from other countries, to do IT work. Whether globalization is a threat or an opportunity, has yet to be determined. Globalization has produced a higher pool of IT talent and employers have access to talent from around the world. In the midst of the economic recession, jobs are available, but strengthening job skills may be a good idea, in order to compete more effectively in the IT job market.