Dive Brief:
- Tech hiring contracted in January as employers navigate an uncertain economic environment, according to CompTIA data published Wednesday. The IT training and certifications firm reviewed U.S. Bureau of Labor Statistics data for the report.
- The IT sector shed 20,155 jobs in January, a shift mostly driven by cuts in the telecommunications sector, according to CompTIA. Across the economy, an estimated 2,000 technology positions were cut during the month.
- Unemployment among technology professionals also rose slightly during the month, reaching 3.6% compared with 3.3% in December. This change bucked the trend of national unemployment which fell slightly from 4.4% to 4.3%.
Dive Insight:
While it shows decline, the January data also fits a cyclical hiring pattern. Tech job posts rose 13% in January, totaling more than 465,000 active positions.
“This follows a pattern seen in previous years where employers slow their hiring searches at the end of one calendar year and accelerate hiring activity to start the new year,” CompTIA said. “The increase in new tech job postings was evident in several industry sectors.”
Employers and technology jobseekers are trying to adapt to complex conditions, as businesses contend with market volatility, budget constraints and shifting priorities amid AI adoption.
“The American economy in early 2026 is probably confusing to most Americans — the labor market looks increasingly weak, but stock markets are hitting all-time highs,” said Cory Stahle, senior economist at Indeed's Hiring Lab, in an email to CIO Dive. “The low-hire/low-fire environment continues for now, and the declining unemployment rate is always a welcome sign.”
Tech providers have also conducted high-profile layoffs in recent months. Amazon said it cut 16,000 roles at the end of January, atop an earlier wave of 14,000 cuts last October. IBM also announced in November it planned to cut thousands of roles amid a shift to increase its focus on software. Home Depot trimmed 800 jobs last month at its Atlanta store support center, mostly targeting the company's tech organization.
“In the face of ongoing uncertainty, workers are likely to continue hugging the jobs they do have,” Stahle said. “Unemployed workers will continue to face limited choices and long job hunts.”
