production.
A survey conducted by the Rhode Island Technology Council (RITEC) suggests that 1,200 new IT workers could be hired in Rhode Island over the next two years.
In fact, it appears that increased competition for IT jobs – the result of widespread industry layoffs in recent months – may provide the greatest challenge to this spring’s technology grads.
“These new folks are competing with the dot-commers who have been laid off,” said Skip Nordhoff, manager of corporate recruiting at Bryant College’s Office of Career Services.
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Nordhoff said he noticed companies scaling back on college recruiting last spring, and is currently seeing a 20 to 40 percent decrease in the number of companies recruiting new college hires. Nordhoff said Rhode Island is also feeling the decline of IT companies in the Boston area, particularly the Route 128 corridor.
“The IT sector is reflective of the downward trend in hiring right now,” he said.
Many area companies have suspended programs that cater to recent graduates, such as internships, he said.
But there could be changes coming soon.
Last week, RITEC announced the results of its “State of Information Technology in Rhode Island” survey, which, based on 300 respondents, projects that an estimated 1,200 new IT workers are expected to be hired in the Ocean State in the next 24 months.
Based on responses to the RITEC survey, executives in the IT industry rate their number one concern as attracting, developing and retaining high-tech talent. Fifty-four percent of firms reported that IT training in Rhode Island meets their training needs.
After a small layoff at the end of the year, Charles L. Nault, chief executive officer of Warwick-based Atrion Networking Corporation, expects to increase his staff by 10 to 12 percent this year – down about 50 percent, he said, from previous years, when the company experienced “explosive” growth.
Nault said he has benefited from staff reductions at other area companies.
“Right now we are well able to find qualified people,” he said. “Many of our competitors have had layoffs and Cisco has laid off, so there is no shortage for us as we are very Cisco-centric.”
Brad Waugh, managing partner at Watch Hill Partners, headquartered in Providence, expects to hire at a much slower rate than in previous years, and he said given the current job market, he hopes to find the quality the companies need.
“We like to find people with both technical skills, as well as business acumen, and the business side comes from experience,” he said.
With signing bonuses and hefty starting salaries a thing of the past, career services experts at area colleges say a “back to basics” approach could be just what young job candidates need in leaner economic times. A return to traditional job searching skills – resume¢ writing, networking – may prove key to this spring’s IT grads hoping to secure their first post-college jobs.
“There are still opportunities out there – not as plentiful, though,” said Yvonne V. Harrison, director of career development and cooperative education programs at Worcester Polytechnic Institute. “They still have to have their game face on . . . This is the first time that students in this (industry) have had to deal with this kind of economy.”
More than in recent years, Harrison said she’s trying to impress upon students preparing to graduate the value in a strong job search strategy.
“I’m talking to students about the importance of networking in the job search process,” she said.
Nordhoff said that because of the increased competition, he has placed an added emphasis on understanding career fields and the mechanics of job searching for the students he works with.
“What will make the difference is the student’s approach,” said Harrison, who is encouraging students to be open to different types of possibilities.
And, she predicted, “Those students who opted to get summer internships and cooperative education programs will have an easier time.”
But just because hiring has slowed does not mean that it has flatlined. Job opportunities do exist, though in lower numbers than during the high tech boom of recent years.
On a national level, chief information officers (CIOs) anticipate a net 10 percent increase in the hiring of information technology (IT) professionals in the second quarter of 2002, according to RHI Consulting’s Information Technology Hiring Index. Fourteen percent of executives surveyed plan to expand their IT departments and 4 percent expect staff reductions. The net 10 percent increase is down one percentage point from the previous quarter’s forecast. The majority of CIOs, 81 percent, plan no change in hiring activity, up from 78 percent in the first quarter of 2002.
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 Menlo Park, Calif.-based RHI Consulting, which provides companies with information technology professionals on a project and full-time basis.
“Businesses remain cautious in their hiring efforts,” said Katherine Spencer Lee, executive director of RHI Consulting. “Companies are primarily focused on technology initiatives that offer bottom-line benefits, such as improved operational efficiencies, reduced spending over the long term or increased productivity.”
Lee said network security issues are also a high priority.
“There is strong demand nationwide for hands-on information security professionals who can implement firewalls, monitor systems for security breaches and guard against unauthorized use of servers,” she said.
CIOs in the New England states are among the most optimistic about employment activity in the second quarter, forecasting a net 16 percent hiring increase. In New England, 18 percent of technology executives expect to add staff and 2 percent foresee personnel reductions.
“The New England and West South Central regions are seeing strong growth at biotechnology and health-care firms, as well as at related manufacturers,” Lee said. “Businesses report demand for IT professionals at all levels, from technical support specialists to database developers and network security managers.”
