New England Region and Wholesale Industry Project Greatest Demand

Jun 30, 2000

MENLO PARK, CA -- Chief information officers (CIOs) remain optimistic about information technology (IT) hiring in the third quarter of 2000, according to RHI Consulting's quarterly Information Technology Hiring Index. Twenty-six percent of executives said they plan to hire additional personnel in the next three months, while just 2 percent foresee staff reductions. The net 24 percent increase in hiring activity remains on par with second-quarter 2000 projections.

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.

"E-business initiatives continue to fuel hiring activity as more and more firms rely on the web to expedite internal processes, increase productivity, and market products and services," said Katherine Spencer Lee, executive director of RHI Consulting. "In addition to Internet-related expertise, companies nationwide are actively seeking those skilled in network architecture, database design and technical support."

Spencer Lee added that as the need for skilled technology talent grows, businesses are focusing on training, including offering professional development programs for internal employees as well as entry-level candidates from universities and technical schools. Resources are also being directed toward the retention of existing staff through benefits such as flexible work schedules, flatter organizational structures and employee recognition programs.

Regional Outlook

The New England1 region is expected to see the strongest hiring activity during the third quarter, according to the survey. Thirty-five percent of CIOs in these states plan to add IT personnel, while none expect to decrease staff levels. The net 35 percent hiring increase is up eight percentage points from the region's second-quarter forecast and is eleven percentage points above the national average.

"Technology and financial hubs continue to drive IT hiring in the greater Boston area," Spencer Lee said. "Attractive business conditions throughout the region are resulting in an increase in the number of start-up operations as well as expansion among established firms." She noted that individuals skilled in web development, Java, Javascript, HTML and active server page (ASP), in particular, are in demand.

CIOs in the Pacific2 states also anticipate staffing activity above the national average, with a net 30 percent hiring increase projected. In the South Atlantic3 region, a net hiring increase of 27 percent is projected, according to the technology executives surveyed.

Industries Hiring

CIOs within the wholesale industry forecast particularly strong hiring activity in the third quarter. Forty percent of IT executives plan to expand their technology staff, while only two percent expect personnel reductions. The resulting net 38 percent represents an increase of 19 percentage points from the second quarter.

Employment growth is also forecast above the national average in the business services sector, where CIOs expect a net 34 percent increase in hiring, and transportation and professional services, where technology executives in each industry foresee a net 28 percent increase in staffing activity over the next three months.

Information Technology Hiring

IT Hiring: Comparative 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 over 100 locations in North America, Europe and Australia, the company offers specialized consulting services, on a project or 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, Rhode Island, Vermont
2 Alaska, California, Hawaii, Oregon, Washington
3 Delaware, Florida, Georgia, Maryland, N. Carolina, S. Carolina, Virginia, Washington D.C., W. Virginia

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