IT Labor Market Report |
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Beyond the Freeze:What Our Data Reveals About AI’s Impact on Tech |
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Exclusive analysis of 30,000+ IT roles |
The IT job market in the US appears frozen. |
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Demand for tech workers remains flat with few quits and layoffs. While stagnation is attributed to several factors, such as economic uncertainty and market conditions, our analysis reveals how AI is definitively shaping the IT labor market. |
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In “Beyond the Freeze: What Our Data Reveals About AI’s Impact on Tech,” we dig beneath the surface of more than 30,000 IT job assignments in our Acumen® Intelligent Workforce Platform to uncover patterns within our customer portfolio and assess how these trends align with broader economic shifts to help workforce leaders plan for what’s ahead. |
Access the IT Labor Market Report
What the data reveals beneath the surface: |
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AI roles are breaking through the ice: |
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AI-related job postings have grown from 5% in 2024 to 12% in 2025 but still represent a minority of the overall IT job market. |
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Generic developer roles are thawing fast: |
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Postings for broad developer skill sets have fallen 46% since 2022, while demand for AI-specific talent has spiked 723%. |
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The entry-level pipeline is melting: |
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The share of entry-level software engineering positions dropped 7% from 2023 to 2025. |
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AI demand is heating up outside of Big Tech: |
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Nearly half (45%) of AI-related postings are in non-tech sectors. |
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The AI talent freeze is lifting nationwide: |
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AI job postings are surging in areas outside of Silicon Valley and Seattle, including Los Angeles, Dallas–Fort Worth, Austin, Boston, Chicago and Raleigh, North Carolina. |
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Who should download this report: |
Workforce planning and talent leaders |
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Business leaders planning AI-enabled transformation |
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CIOs, CTOs and IT leadership teams |
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IT hiring managers |
About the Report |
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Allegis Global Solutions analyzed approximately 30,000 AI and computer science job assignments from our proprietary Acumen® Intelligent Workforce Platform. The data represents US job assignments for our managed service provider (MSP) clients from January 2023 to May 2025. |