Last Thursday,
the U.S. Commerce Department stunned almost everyone with its announcement
of a 7.2 percent growth in the gross domestic product for the third quarter
— significantly higher than the anticipated 5.8 percent.
Looking deeper
into the numbers, Business Week Online
reported that the increased spending was concentrated in the business
sector. And while consumer spending fell slightly short of the forecast, the
report concluded that, “even if consumers — who kept the economy growing
while Corporate America pulled in its horns — aren’t willing to open their
wallets as wide as some economists expected, businesses may finally be ready
to pick up the spending slack.”
Is this optimistic news translating into jobs for the sluggish
information technology industry? Are employers — especially those in the
small and medium business (SMB) sector — finally ready to replace some of
the jobs that were axed from budgets in recent years?
Victor Janulaitis, CEO of recruiting firm
Janco Associates,
reports an up-tick in spending across the IT industry, noting that his firm
is seeing an increase in both demand and salaries for AS/400 and Linux/Unix
professionals. “The demand for AS/400 people is increasing, and we’re
beginning to see people move around,” he says. “Estimated compensation is up
3-4 percentage points this quarter, and hiring budgets are up 5-10 percent.
The midrange market in general is starting to look a little better.”
