IT Job Market Poor

IT Job Market poor and is trending down

IT Job Market poor
IT Job Market growth poor – trending down

IT job market poor as growth continues to trend down.  This year, only a little more than one half  (53% – 66,600 jobs) of that number of new IT jobs were created. Telecommunication job growth continues to be slow and still has not recovered from the Verizon strike earlier in the year. Where the Verizon strike was about limiting shipping jobs overseas it did not cover companies that continue to outsource telecommunication jobs.

Year to date there are 47,400 fewer new jobs in 2016 than in 2015.  The forecast for all of 2016 is only 75,600  new jobs will be created for the year versus 129,400 in 2014 and 112,500 in 2015.

That is not a good sign for IT Pros who are looking to advance and for overall compensation for IT professionals.

IT Median Salaries 2015 vs. 2016

Historic versus current salaries IT Professionals

In the process of capturing the data for Janco’s 2017 IT salary survey to be released in January, the trend for IT salaries remaining flat seems to be continuing.

You can get a free copy of the full survey if you provide 10 valid data points and use a corporate e-mail address. Free e-mail accounts like gmail or yahoo do not qualify as we have no way to verify the accuracy of the data provided.
Order Salary SurveyDownload Selected PagesDownload Selected Pages

 

Wall Street Journal quotes Janco forecast

Wall Street Journal quotes Janco IT Job Market forecast

The Wall Street journal quotes Janco for the 6th time this year. That is a record for the firm and its CIO.  In addition, there are two more months to go.

You can go to their blog at http://blogs.wsj.com/cio/tag/janco-associates/ and see the quotes.

IT Job Market Growth for 2016 versus 2015
IT Job Market Growth for 2016 versus 2015

The topics reported on this year come under the following titles:

  1. IT Job Growth Down in October: Analysis – CIO Journal
  2. Compensation Up for Top-Earning CIOs: Analysis – CIO Journal
  3. IT Hiring Down in September –  WSJ Economy
  4. IT Hiring Rebounds in June, but Overall Growth Remains Slow –  WSJ Economy
  5. IT Job Growth Hit Five-Year Low in April –  WSJ Economy
  6. IT Hiring Continues to Slide – CIO Journal

With this latest quote Janco is now viewed by many enterprises as the go to sources for IT job market and IT salary information.  This keeps it in line with the long-term identification of Janco and its CIO as a leader in the field of IT management information.

Janco continues to keep tabs on the IT Job Market, IT Compensation, and trends that impact the overall infrastructure and strategy of IT and the CIO who are in charge. With this in mind Janco has identified 3 common skills that sucessful CIOs have.

  1. Successful CIOs are both visionary and pragmatic\
  2. Successful CIOs focus on ROI improvement of IT
  3. Successful CIOs inspire the enterprise and expand the business impact of IT

Order CIO Job Description

 

10 findings on highly paid CIOs a

10 facts on highly paid CIOs

The 36 highly paid CIOs have average base salary is $510,000 with total average compensation of $3.6 million.

Janco has just updated its list of highly paid CIOs for the last year. The data is from public sources including SEC fillings.  The data shows that this group of individuals is not only very diverse but also completely integrated in the executive management planning and operational teams.

Interesting findings include:

  1. One quarter of this group of CIOs are women.  That is up from less than 10% in 1999.
  2. Just under 1 in five are minorities.  This group of CIO is racially diverse and are all well educated
  3. The median base salary $700K while the average base salary is $510K/
  4. The median total compensation $3.3 million and average total compensation is $3.6 million.
  5. All of the CIOs make most of their total compensation from performance bonuses and company stock.
  6. The average tenure is well over 60 months and these individuals have the probability of retiring from these jobs versus being terminated or leaving for greener pastures.
  7. All of the positions are Vice Presidents and most are Executive Vice Presidents. All have either CIO or CTO in their official titles.
  8. Over 60% have been in IT most of their careers. and have advanced to this position.
  9. Over 40% have operational responsibility for areas beyond IT and technology.  Technology is integral to the day-to-day operations
  10. All are integrated into the executive and operational management of the enterprises they are in. Typically IT is not in a “silo” isolated from the rest of the company.
toppaidcios-36
Highly paid CIOs – Public Companies

Janco and eJobDescription.com has conducted salary surveys of the IT Job market since 1989. The data from this survey has been published in the Computer Industry Almanac, the Wall Street Journal, the New York Times, eWeek, and many other business and industry publications. In addition over the years it has been featured on CNN, the Wall Street Journal, and several national and international media outlets.

Order Salary SurveyDownload Selected Pages

H-1B Makes up for poor educational system

H-1B Makes up for poor educational system

H-1B Makes up for poor educational system< according to industry leaders.

Massachusetts law prohibits employers from asking about applicants’ salaries

Massachusetts law prohibits employers from asking about applicants’ salaries

Massachusetts has enacted the nation’s first law prohibiting employers from asking about applicants’ salaries before making employment offers.

The new state law, which Republican Gov. Charlie Baker signed on Aug. 1, will require employers to offer a compensation figure upfront, rather than relying upon what the applicant made at a previous position. The requirements will not go into effect until July 1, 2018. Job applicants will not be compelled to disclose past or current salary or wages, but can still volunteer past salary information.

IT Hiring IT Job Descriptions IT Salary SurveyIT Salary SurveyJob Descriptions
Order IT Hiring Kit

The first-of-its-kind bipartisan law, S. 2119, was heralded by supporters as another avenue to strengthen equal pay laws. The law’s proponents said banning pre-offer wage disclosures addressed the subtle factors that can affect compensation decisions. As well, supporters said that using salary history as a means of determining how much a potential hire could be paid was unfair to women, arguing that it allowed a continuation of a pattern that statistically paid them less.

Another provision of the law requires that women receive pay equal to that of men in the same position, as well as men who perform work “comparable” to them. The Massachusetts law incorporates a wider standard than many other state equal pay acts. Other recently passed state equal pay laws, such as California’s 2015 equal pay measure, likely will depend on the courts to practically define “comparable” worth in the workplace.

Finally, the new Massachusetts law also addresses salary transparency. Employers will not be allowed to prohibit employees from informing others how much they are compensated. Supporters argued that transparency for wages would better identify gender pay disparities.

The bill passed the state legislature unanimously and had the support of several business organizations, including the Greater Boston Chamber of Commerce.

Similar attempts at introducing novel procedures to address equal pay have inspired copy-cat legislation in other state legislatures. Several states this year attempted to pass some form of equal pay legislation but the Massachusetts action is the first one to become law.

Top 10 Wearable Issues

Top 10 Wearable Issues

Top 10 Wearable Issues – Over 33% of all organizations surveyed by Janco have revealed they have more than 5,000 connected devices. Add to that, Cisco predicts there will be more than 600 million wearable devices in use by 2020.

These facts present a set of challenges for CIOs and IT enterprises of all sizes.

  1. Easy physical access to Data
  2. Records management, retention, and destruction
  3. Business continuity is significantly more complex
  4. Photos, Videos and Audio can be captured without anyone knowing it
  5. Instant access to outside Wi-Fi and cellular systems facilitates rapid dissemination
  6. Insecure wireless connectivity
  7. Lack of encryption
  8. Lack of formal policies with limited regulation or compliance –
  9. Software and Firmware version control
  10. Current MDM Policies Don’t Cover Wearables

Read On…

Top 10 Wearable Issues Download Selected Pages

Info Tech Executive Salaries have recovered from 2008 downturn

Info Tech Executive Salaries have recovered from 2008 downturn

Info Tech Executives Salaries for most IT executives have recovered from the downturn of 2008.  If you a CSO in a large enterprise then you have seen your salary rebound by 14.56%. This has been drawn for the Info Tech Executive Salaries data base that is maintained by Janco Associates.

More data is available in the full 2016 Mid-Year IT Salary Survey that is published by Janco Associates.

Order Salary Survey

Jobs where the salaries for IT executive have not recovered are limited to three (3) executive positions in large enterprises.  VP Administration (down 2.25%), VP Consulting Services (down 9.0%), and Director Productions and Data Centers (down 0.75

Info Tech Executive Salaries - Large Enterprises
Info Tech Executive Salaries – Large Enterprises
https://www.e-janco.com/salary.htm
Info Tech Executives – Mid-Size Enterprises

These are findings from the 2016 Mid Year IT Salary Survey.  Other interesting observations for the survey are that salaries for the last 12 months for most IT staff, other than executives have remained flat.

Median compensation for IT Pros
Median compensation for IT Pros

The data shows that CIOs and their bosses value the upper level decision making positions while they view the lower level positions as a focus of cost.

Order Salary SurveyDownload Selected PagesDownload Selected Pages

Other findings from the latest IT Salary Survey are:

  • In 2015 the IT job market grew by 112,000 versus 129,400 in 2014 and 74,900 and 21,800 in 2013 and 2012 respectively according to the Bureau of Labor Statistics (BLS).
  • IT compensation for all IT Professionals has increased by 0.64% in the last 12 months.
  • IT executive compensation across all organizations has shown another increase. The mean compensation for IT executives in large enterprises is now $147,260 (up 1.44%) and $131,384 (up 1.50%) in mid-sized enterprises.
  • Positions in highest demand are all associated with security, training, large data center management, distributed/mobile system project management, quality control, BYOD implementation, capacity planning and service level improvement.
  • Over the long term IT executives have fared better in large companies than mid-sized companies.
  • On shore outsourcing has peaked and companies are looking to bring IT operations back into their direct control and reduce operating costs.
  • Mandated requirements for records management systems and electronic medical records have increased the demand for quality control staff and custodians (librarians) of mechanized records.
  • Companies are continuing to refine the benefits provided to full time IT professionals. Though benefits such as health care are available to 80%, IT professionals are now paying a greater portion of that cost.

State unemployment numbers mask correct unemployment rate

State unemployment numbers mask correct unemployment rate

State unemployment numbers mask correct unemployment rate as they do not adjust for the number of individuals who have dropped out of the labor market.

State unemployment
State unemployment number do not reflect the number of people who have dropped out of the labor market.

In May 2016 there were 8 states with an unemployment rate of over 6% versus 7 in February 2016 with over 6% Unemployment. Alabama and Illinois have unemployment go up in the past 12 months as opposed to the other 4 states where unemployment levels have improved.

Order Salary SurveyDownload Selected PagesDownload Selected Pages

South Dakota and New Hampshire had the lowest jobless rates in May, 2.5 percent and 2.7 percent, respectively. The rate in Arkansas (3.8 percent) set a new series low. Alaska had the highest unemployment rate, 6.7 percent. In total, 16 states had unemployment rates significantly lower than the U.S. figure of 4.7 percent, 15 states and the District of Columbia had higher rates, and 19 states had rates that were not appreciably different from that of the nation.

Job Market grim for Information Technology professionals

 Job Market grim for Information Technology professionals

Job Market grim for Information Technology professionals as it is leading the way to fewer prospects for new jobs being created.  Just last month there were eight (8) states with unemployment rates in excess of 6%.  That along with the loss of 27,700 jobs makes many wonder if we are facing a possibility of a new recession.

US job market grim
8 states have unemployment in excess of 6% and that is with 94 million individuals who have have dropped out of the labor market making the true unemployment number closer to 13% – depression era levels,
 Job Market grim for Information Technology professionals
IT job market grim – Janco may revise its forecast for the IT job market to shrink if this trend continues.

Job Market grim for Information Technology professionals as 2016 fall behind 2015 in creating new IT jobs

IT Job Market growth is 57,300 worse in 2016 than 2015 as of May
If the loss of jobs continues at this rate all of the recovery achieved in the IT job market over the past several quarters could be lost.
Order Salary SurveyDownload Selected PagesDownload Selected Pages

CIOs investment in Infrastructure is on the rise

CIOs investment in Infrastructure is on the rise

CIOs investment in infrastructure is going up despite ongoing economic uncertainties.  They are investing in IT to improve operations, reduce costs, and enable strategies. IT budgets, hiring, and salaries are increasing slightly (see https://www.e-janco.com/Salary.htm) and CIOs are cautiously optimistic that this trend will continue into next year.

CIOs five (5) concerns are:

  1. Alignment of IT with the Business
  2. Security and Privacy
  3. Business Agility and Flexibility
  4. Business Productivity
  5. IT Time-to-Market / Speed of Delivery

CIOs five (5) largest IT investments are:

  • Big Data and Business Intelligence
  • Data Center Infrastructure
  • Enterprise Resource Planning
  • Application Software Development
  • Cloud Computing

CIO IT Infrastructure Policy Bundle (more info…) All of the policies below are included as individual MS Word files and a single PDF file. Electronic forms are all individual documents that are easily modifiable

  • Backup and Backup Retention Policy (more info…)
  • Blog and Personal Web Site Policy (more info…) Includes electronic Blog Compliance Agreement Form
  • BYOD Policy Template (more info…) Includes electronic BYOD Access and Use Agreement Form
  • Google Glass Policy Template (more info…) Includes electronic Google Glass Access and Use Agreement Form
  • Incident Communication Plan Policy (more info…) Updated to include social networks as a communication path
  • Internet, e-Mail, Social Networking, Mobile Device, Electronic Communications, and Record Retention Policy (more info…) Includes 5 electronic forms to aid in the quick deployment of this policy
  • Mobile Device Access and Use Policy (more info…)
  • Patch Management Policy (more info…)
  • Outsourcing and Cloud Based File Sharing Policy (more info…)
  • Physical and Virtual Security Policy (more info…)
  • Record Management, Retention, and Destruction Policy (more info…)
  • Sensitive Information Policy (more info…) HIPAA Compliant and includes electronic Sensitive Information Policy Compliance Agreement Form
  • Service Level Agreement (SLA) Policy Template with Metrics (more info…)
  • Social Networking Policy (more info…) Includes electronic form
  • Telecommuting Policy (more info…) Includes 3 electronic forms to help to effectively manage work at home staff
  • Text Messaging Sensitive and Confidential Information (more Info…)
  • Travel and Off-Site Meeting Policy (more info…)
  • IT Infrastructure Electronic Forms (more info…)

IT Infrastructure PoliciesDownload Selected Pages

H-1B program adversely impacts IT pros

H-1B program adversely impacts IT pros

The H-1B program is adversely impacting IT pros and the US job market as a whole.  The idea of the program was to make easier to attract talented individuals to work in the US.  It has now gotten to the point that it is just like manufacturing that the US has lost by encouraging companies to do it for “less”.

Companies like Tata (from India) are hiring workers at low wages from third world countries, moving them to the US so that US workers can train them, and ultimately be displaced via off-shoring or outsourcing.

The latest data from the Department of Labor shows that over 75% off all jobs foreign workers are getting visas for are in what they call the IT occupation.

 

h-1b program IT job families 75% plus of the visa jobs
h-1b program IT job families

Looking at the data, in 2015 only 112,000 new IT jobs were created.  At the same time the over 400,000 visa applications were filed by corporations for foreign workers.  There is something wrong with this picture as all of these jobs are high paying ones and the foreign workers are taking these jobs a wages that are lower than domestic IT workers would be paid.

IT job market growth slows

IT job market growth slows

YTD IT job market growth March 2016

IT job market growth slows even more in the past month.  Looking at
BLS’s data and the analysis done by Janco Associates it is very clear that job market picture for IT professionals is not as bright as it was last year.

In the first quarter of 2016 the total number of new IT jobs created was only 19,000 versus 33,900 in the first quarter of last year.  This is on a base of 3.3 million jobs.

When you analyze the data it becomes very clear that the IT job market is not growing as fast as it was last year.  In our interviews we discovered several causes:

Long term IT job market growth trendPolitical instability both domestically and internationally – This causes enterprises to hold off on investments.

Focus on short term profitability – Investments like those with IT tend to have a much longer break-even point even if the ROI is better.  With time there is risk and many C-level executives are paid on how well they are doing in the current period.

Outsourcing and H-1B workers lower demand for domestic IT pros – Both of those are like have a “guest worker” program.  Costs tend to be lower and there is less of a requirement for internal IT staff.

Domestic IT pros do not have current hot skills – Skills that are in the greatest demand are too new to be in universities and technical schools.  Potential employees know all about social media and smart phones.  They do not have a clue or desire to  “program” them.  Foreign students arrive with those skills.

Now those are not the only factors, but they are key to addressing the issue of how do we create more IT jobs for domestic employees.

Both in an individual’s personal career planning and an enterprise’s staffing, promotion and compensation it is important to have benchmarks on the levels that individuals are at.  To that end, one of the best objective ways to meet this goal is to have formal job descriptions and clear paths for promotion and compensation.

Download Selected Pages

Technology Application Trends

Technology Application Trends

Technology Application Trends – 2010 – 2015 was the true start of the digital technology revolution that fundamentally altered the way we live, work, and relate to one another. In its scale, scope, and complexity, this transformation was unlike anything we have experienced before.

Everything was affected – politics, media, social interactions, commerce and technology itself.

Often described as the 4th Industrial Revolution, this period of digitalization continues to intensify characterized by a fusion of technologies which are blurring the lines between the physical and digital spheres for the 21st Century Enterprise. The 4th Industrial Revolution is causing widespread disruption in almost every industry across the globe, with enormous change in the skill sets required to master this new landscape. We have tailored this year’s program to explore the exponential speed of current breakthroughs (which has no historical precedent), with the breadth and depth of these changes unleashing entire new systems of production, management, governance, and Information Technology.

As digital business now moves into the next phase, autonomous and algorithmic investments will be required to improve operational efficiencies, drive down costs to run IT, and deliver the self-funded returns necessary for additional innovation and business value creation.

We do not yet know precisely how the 4th Industrial Revolution will unfold, but one thing is clear: our response to it must be comprehensive and integrated, involving all global IT ecosystem stakeholders at the intersection of the public and private sectors, and within academia and civil society.

2016 Internet and IT Position Description HandiGuide Released

IT Job Descriptions

There are now 273 IT Job Descriptions available that that have been updated to meet the latest compliance and new technology requirements. The HandiGuide can be acquired in MS WORD and / or PDF format.  In addition we provide the option to get updates and free custom job descriptions.

The job descriptions that we have added are:

Client Server Application Framework

Client Server Application Framework

Client Server Application Framework article was written on the Upper Setting.  It not only defined what the future of mobile and IoT applications is, but it also defines an architecture that they have implemented with a unique tool kit.

Client Server Application Framework
Client Server Application Framework

The SDK provides a client/server application framework that implements an extendable binary protocol stack, supports SSL/TLS 1.2 connections, includes an extendable security framework, includes a keep-alive/heartbeat protocol and includes a C# API for Windows and Windows Mobile, a Java API for Android and Unix/Linux flavors and an Objective-C API for iOS and Mac.

A commercial product, DotNetCloudServer SDK, which is built on top of the DotNetOpenServer, includes support for remote method invocation (RMI), variable subscriptions and event notifications.

The full article is a definite must read for a CIO and their architecture development staffs.  In summary the article includes:

  • Architecture definition
  • Project approach
  • Security
  • Session Layer Protocol (SLP)
  • Capabilities Protocal (CAP)
  • Keep-Alive Protocal (KAP)
  • How to extend the architecture
  • How to create a server application
  • How to create an instance using app.config
  • How to create an instance programatically
  • How to create client applications
  • Links and 3rd party references

Upper Setting, Inc. – Upper Setting is a small Utah USA based software solution provider. They focus on providing software engineers with off the shelf tools, custom tools and software development services to quickly create secure real-time cloud based applications targeted for any server, desktop or smart mobile device.

World Class Organizations mobility a standard feature in IT applications

World Class Organizations mobility a standard feature in IT applications

World Class Organizations mobility –  CIOs are incorporating mobility into their IT applications and business operational solutions. All of the recent major advances in technology have moved mobility into the mainstream.  In addition, they are building on the average user’s mobile-device comfort level that exists due to smartphones.

The primary driver for this mobile-ready technology is simple: world class application solutions more easily meet evolving industry needs, and are accessible to broad range of top managers in a manner that matches the work styles – and even the personal lives – of the internal and external users who depend on them.

BYOD - mobility policy
BYOD – mobility policy

Business professionals typically carry one or more devices with them at all times. Over 85% of IT functions have moved out of the denial stage regarding the “bring-your-own-device” (BYOD) movement and are successfully managing the operational complexity created by employee-owned, multi-platform mobile devices connected to their networks.

In a recent Janco Associates survey of c-level executives – including CEOs, CFOs, and CIOs:

  1. 36% of respondents said that they currently access their organization’s core operational and financial data, via smartphone or mobile device.
  2. Only 23% of the c-level executives interviewed describe themselves as technology “early adopters” or “techno-centric.”

C-level executives and top managers are no longer tied to their desks, and while they are on the move, the information that they need moves with them. In previous generations of technology “mobility” and “productivity” were at cross-purposes, the latest generation of IT applications and business operational solutions has paired the two successfully, providing increased access to information that improves efficiency. In sum, c-level executives and top managers no longer have to be techno-centric in order to leverage world class IT applications and business operational across the enterprise.

In the case of mobile IT applications and business operational functionality, CIOs need to understand the business processes, and relate with other c-level executives and top manages, and understanding how mobile access of information changes the way the enterprise operates.

For instance, a mobile IT applications and business operational solution, allows managers to approve workflows on the go – something that would otherwise have to wait until the manager is back in the office.

In the world of mobile business management, production and operations managers have instant access to information about potential problems, and these managers can even authorize changes to expedite specific work orders or deliveries. Since this data is linked to the enterprise’s other applications, the cost ramifications of real-time changes will become immediately apparent to business and finance leadership as well.

Bring Your Own Device Policy updated to to meet Disaster Recovery, Business Continuity and Corporate Intellectual Property Requirements

Download Selected Pages