Postings for Canadian tech roles are down in a big way, Indeed revealed this week.
Tech roles on the job search company’s platform have dropped 32% since May, well ahead of a 9% drop across all sectors.
“We’ve gone from really a market in full-out overdrive, where there are such plentiful opportunities for job seekers and really tough competition for employers trying to fill these roles… to one where the situation is a little cooler,” Indeed senior economist Brendon Bernard informed the Canadian Press. “Employers still looking to fill these jobs might have a bit of an easier time while job seekers probably won’t have the same level of options that they did.”
According to Bernard, tech postings still remain above pre-Pandemic levels. However, he is anticipating a shift from tech workers ruling the driver’s seat to “more urgent job seekers” as companies big and small lay off staff—including Canadian tech darlings such as Ottawa’s Shopify, Vancouver’s Hootsuite, and Toronto’s Wealthsimple.
Before layoffs, tech job postings were up more than 115% above pre-pandemic levels, with senior roles seeing 150% more activity, Indeed research shows.
Vancouver’s tech scene now employs 92,000; Toronto employs more than 220,000, according to CBRE data. Overall, the North American tech market has created nearly two million jobs in the past decade, with roughly a quarter of those roles being created just within the last two years.
However, with a broader downturn spurring global market volatility and much of the “new normal” not panning out, these bold figures are at risk of reversal.
In 2022, nearly 150,000 tech workers have been laid off globally across more than 900 companies, according to data from aggregator Layoffs.fyi.
Bernard believes the best defence for Canadian tech against the threat of global downturn is to enter the fray with a roster of financially stable companies.
“What happens with the overall industry going forward is going to depend both on the interaction with employer demand and job seekers but also on the health of Canadian tech companies more broadly,” Bernard told Tara Deschamps for CP.
And it is worth noting that not all sectors or roles are experiencing the same hiring market currently.
While many commerce-based platforms are recoiling from a recent drop in digital spending back to pre-pandemic levels, the semiconductor business and cybersecurity field cannot seem to hire talent fast enough.
As for roles, certain positions like software engineer remain in high demand across sectors. Less Ctechnical and less senior roles may have a harder time rebounding from layoffs.
Overall, CBRE believes that the tech sector may continue to outperform other sectors regardless of market challenges.
“Tech industry job growth remains well above the national average,” the firm’s recent report states. “Economic headwinds in the year ahead likely will slow but not end high-tech job growth.”