Firms stop tech hiring as budgets drop

August 21, 2008 by Sam Narisi

Posted in: IT staffing, In this week's e-newsletter, Latest News & Views

A new survey shows the slow economy is having an effect on IT staffing.

About 72% of businesses plan to cut back on IT hiring, according to a recent InformationWeek survey.

That drop correlates with a decrease in IT department budgets: 39% of companies say their technology budgets have dropped compared to last year, with another 28% saying it’s stayed the same.

Also, 40% said their original budgets planned for 2008 have been lowered in the past few months.

The good news: Though hiring may stay flat, companies don’t seem to be cutting staff. Most say the cutbacks will take place in companies’ budgets for new technology purchases.

Tags: budgets, hiring, IT staffing

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