After a strong recovery in IT employment since August 2020, job growth in the sector slowed to a trickle in November due to a scarcity of talent, according to data released from the TechServe Alliance, the national trade association of the IT and engineering staffing and solutions industry.

IT employment in the US rose by 0.04% month over month in November — up by 2,200 jobs — to nearly 5.4 million jobs. Looking at growth on a year-over-year basis, IT employment has risen by nearly 3.2%.

"While uncertainty about the impact of the omicron variant did somewhat impact the IT sector, the slowdown in the IT jobs market is more related to the supply squeeze on available talent rather than demand,” TechServe Alliance CEO Mark Roberts said. “Our members are telling us that their clients’ IT hiring needs are still unmet and projects are getting delayed because of lack of qualified IT professionals.”

There is currently little likelihood the domestic talent pipeline will significantly expand in the foreseeable future, according to Roberts.

“This is causing not only strong wage growth but also a need to offer a flexible work environment,” he said. “In this tight labor market, what candidates want really matters and could make or break the success of IT initiatives.”

The TechServe Alliance also reported that engineering employment rose by 0.16% month over month in November to total employment of nearly 2.7 million. The increase was 3.38% on a year-over-year basis.