Most of the laid-off tech workers in the US find work shortly after starting their search, as employers continue to look for workers, according to a new ZipRecruiter survey.
About 79% of workers newly hired after a tech company layoff or shutdown found a new job within three months of starting their search, according to a ZipRecruiter survey of new hires. This is slightly below the 83% share of all laid-off workers who were employed during the same period.
Nearly four out of 10 previously laid-off tech workers found work less than a month after they started looking.
“Despite the widespread layoffs, hiring freezes, and cost-cutting taking place in tech, many tech workers are finding reemployment remarkably quickly,” said Julia Pollak, chief economist at ZipRecruiter. “They’re still the most sought-after workers with the most in-demand skills.”
Workers previously employed in other industries, including entertainment and leisure, transportation and delivery, and manufacturing, also found new jobs quickly, the survey showed.
The job market for tech workers is slowing as the broader economy falters under the pressure of Federal Reserve interest rate increases and high inflation. Layoffs and hiring freezes are occurring at startups and large tech companies such as Amazon.com Inc. and Facebook parent Meta Platforms Inc. that hired aggressively early on in the pandemic. The cuts are hitting workers in tech jobs, such as software engineers and other corporate roles including recruiters.
At the same time, tech firms that are cutting are outnumbering those that are hiring.
A smaller share of tech workers spend a long time looking for jobs after being laid off. According to ZipRecruiter, about 5% of laid-off tech workers who found a job between April and October spent more than six months looking for a job, compared to 26% of those hired between August 2021 and February 2022.
Short-term tech job searches have become somewhat less common as the labor market slows compared to the start of the year. According to ZipRecruiter, among people who have recently lost their jobs and previously worked in tech, 37% found a new position within one month of starting their search. Compared to 50% in the February survey.
According to ZipRecruiter, about 74% of workers recently hired after losing a job or being fired from a tech company have stayed in the industry. Others who previously worked at technology companies moved to work in industries such as retail, financial services and health care during the six months that ended in mid-October.
Employers are generally quick to respond to job candidates, likely out of fear of losing them in a competitive market with a historically low unemployment rate of 3.7%.
9 out of 10 ZipRecruiter survey respondents said they heard back from a recruiter or hiring manager within a week of applying for a job.
ZipRecruiter’s latest survey surveyed 2,550 US residents who started a new job in the six months ending in mid-October.