While IT hiring has gone down significantly as we enter 2009, finding the right talent and qualified candidates continues to be a challenge even in a less competitive supply environment, according the findings of a report released by Veritude, a staffing services provider.

The research, which was first conducted in the second quarter of 2008 and then in the fourth quarter, polled HR and IT professionals involved in hiring IT staff. In contrast to the bullish Q2 results, the Q4 survey revealed that 38% of respondents said IT staff decreases were planned. Budget restraints and corporate layoffs were the most cited reasons for these decreases in IT hiring.

But while hiring has gone down, the need to get those IT jobs done still remains, leading to increased use of contract workers as temp-to-hire staff, the report said. The number of respondents who plan to hire temp-to-perm IT staff more than doubled, from just 27% in early 2008 to 56% by the end of the year.

Despite the recent influx of candidates because of layoffs and reduced hiring, finding qualified candidates with the right skills and cultural fit still remains the top IT hiring challenge (53%). The availability of those individuals with in-demand and difficult-to-find IT skills changed only slightly. However, a significant change from early 2008 to 2009 is the increased need for programming language skills, doubling from 15% to 30%.Additionally, business intelligence and enterprise solutions skills are also hot, the report said.