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May 07, 2008
The future of tech jobs
A recent report said jobs in the technology fields increased at a relatively slow rate last year, surprising many analysts. So what's happening with the industry? Listen
Dr. Mike Walden, North Carolina Cooperative Extension economist in the College of Agriculture and Life Sciences at N.C. State University, responds:
"Well, the technology sector and it's jobs are still growing, but I think your point is that, yes, we did have a slow year last year, and I think there are a couple of things going on. First of all, the tech sector is very much remembering what happened in the late 1990s, when they expanded very rapidly and then got caught in the tech bubble, and the bursting of that bubble in the late 1990s and early 2000. And many tech companies had to slash employment. So I think companies today are being more cautious, more careful about how many folks they are increasing, they are adding, particularly when they see signs of a slowing economy. The second issue is that the domestic tech industry is changing. There is more consolidation as the industry matures. Also there is a focus on jobs in innovation and on service and away from manufacturing. The manufacturing component is in many cases going to foreign factories, where labor is cheaper. I think we will still call this the century of technology, but it is not going to be the booming century of technology in terms of jobs that many thought we would have at the close of the last century."
Posted by Dave at May 7, 2008 08:14 AM