How adversely is the economic slowdown affecting the IT jobs ? working in a company that is deep into IT consulting i see that the effect is still not as bad. IT hiring is still going on and even in the worst hit companies like 2F's of the financial industry (Fannie & Freddie). So why is IT less effected ?
First, companies are looking to cut costs and utilise the available resources to the best. They are investing in IT to achieve this. Result - We are seeing an increase in Dataware housing projects and other projects where companies are making changes or adding new projects which will help them in cutting expenses.
Second, Companies have not aggressively started new projects and products. They are optimizing the existing projects and supporting the existing applications. Result - whatever be the economic slowdown, each company needs IT staff to to maintain the existing systems to support business.
Third, Outsourcing is on the decrease. Whatever needs to be sent out have been sent already. Result - No big effect of outsourcing.
I have seen this recently in a big company where a big project got outsourced to India and all the contractors were let go. In a matter of few days all the contractors got into different projects in the same company as there were new projects that needed experienced people as new products were launched.
Fourth, Baby boomers are getting retired. This is an ever lasting trend for a country like the US where there are lot of baby boomer generation that is getting retired. Who will fill these jobs ? Result - New jobs are being created while the retired ones are leaving the companies.