Finance, Insurance and Real Estate Industry and New England Region Anticipate Greatest Demand for IT Talent

Oct 3, 2000

MENLO PARK, CA -- Chief information officers (CIOs) forecast a net 21 percent increase in the hiring of information technology (IT) professionals in the fourth quarter of 2000, according to RHI Consulting's quarterly Information Technology Hiring Index. Twenty-four percent of executives surveyed said their firms plan to add IT personnel in the upcoming quarter, while only 3 percent expect staff reductions. Seventy-two percent of CIOs foresee no change in hiring activity, an increase of three percentage points over the previous quarter when 69 percent of technology executives said they would maintain their present staff levels.

The national poll includes responses from more than 1,400 CIOs from a stratified random sample of U.S. companies with 100 or more employees. It was conducted by an independent research firm and developed by RHI Consulting, a leading consulting services firm that provides information technology professionals on a project and full-time basis.

"A strong economy, driven by rapid advancements in technology and consistent Internet growth, is resulting in ongoing demand for technical talent nationwide," said Katherine Spencer Lee, executive director of RHI Consulting. "As technology is further integrated with business objectives, we will continue to see a greater need for those skilled in systems design and implementation as well as network architecture."

Spencer Lee added that in the current competitive hiring environment, more and more companies are trying to distinguish themselves from other employers by reassessing their work environments, management practices and compensation packages to attract and retain the best talent.

Regional Outlook

The New England1 region is expected to see the nation's strongest hiring activity through the end of the year, according to the survey. Thirty-two percent of CIOs in these states plan to add IT personnel, while 1 percent anticipate a decrease in staff levels. The net 31 percent hiring increase is ten percentage points above the national average. "The region's high-technology and financial services firms are seeking individuals to support e-business initiatives and other growth opportunities," Spencer Lee said. "Those skilled in web development -- Javascript, Cold Fusion, XML and active server page (ASP) -- in particular, are highly sought-after."

Technology executives in the Pacific2 states are also optimistic about hiring in the next three months. Twenty-nine percent of executives plan to expand their IT departments and 3 percent forecast reductions, for a net 26 percent increase in hiring activity. "With steady expansion in the region's high-tech sector, demand for talent at all levels remains strong," Spencer Lee said.

Employment projections are also expected to exceed the national average in the West South Central3 region, where CIOs forecast a net 25 percent increase in hiring, and in the Mountain4 states, where executives predict a 24 percent rise.

Industries Hiring

IT executives within the finance, insurance and real estate industry project particularly strong hiring activity through the end of 2000. Forty-three percent of CIOs plan to expand their technology departments, while 6 percent expect personnel reductions. The resulting net 37 percent represents an increase of 27 percentage points from the third quarter.

Employment growth is also forecast above the national average in the construction sector, where CIOs expect a net 34 percent increase in staffing activity over the next three months.

The following charts provide breakdowns by region and industry:

IT Hiring: Comparitive Data

Information Technology Hiring Index: By Region

Information Technology Hiring Index: By Industry

RHI Consulting is a leading provider of technology professionals for the Internet economy. With more than 100 locations in North America, Europe and Australia, the company offers specialized consulting services, on a project and full-time basis, for IT initiatives ranging from e-business development and multiplatform systems integration to network engineering and technical support. For more information about RHI Consulting or to learn about online job search opportunities, please visit

1 Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, Vermont
2 Alaska, California, Hawaii, Oregon, Washington
3 Arkansas, Louisiana, Oklahoma, Texas
4 Arizona, Colorado, Idaho, Montana, New Mexico, Nevada, Utah, Wyoming

print Print   email E-mail   rss RSS