Financial Firms Poaching Technologists from Big Tech, Startups

Fears of a possible recession have led big tech companies to wholeheartedly re-embrace efficiency and productivity, even if it drives some employees out the door. Meanwhile, the crash in cryptocurrency prices has forced crypto-focused startups to aggressively cut staff. It’s not the greatest situation for those companies—but it’s reportedly fantastic news for financial firms in need of specialized technologist talent.

According to the Financial Times, Wall Street firms are big on hiring technologists at the moment; for example, Intercontinental Exchange, owner of the New York Stock Exchange, has grown its tech staff by a quarter in 2022. Finance executives told the paper that “the market [remains] competitive, particularly for engineers with the most sought-after skills.” 

Indeed, recent data from CompTIA’s monthly jobs report places finance as one of the top industries for technologists:

Even before the recent economic turbulence, finance was a key destination for many technologists. Some of the biggest firms in the space, like Goldman Sachs, shelled out considerable salaries and benefits to pull specialized technologists away from big tech companies like Google and Meta. That demand doesn’t seem likely to go away anytime soon: A growing number of finance activities, from algorithm-based quant trading to crypto, require technologists who’ve mastered everything from key programming languages to software development and abstract problem-solving.

The overall unemployment rate for tech occupations crept up to 2.3 percent in August, according to a new analysis of data from the U.S. Bureau of Labor Statistics (BLS). Tech companies added 25,500 net new workers last month, even as companies throughout the broader economy added roughly 21,000 technologists. While worries over recessions and layoffs seem to be dominating the headlines, actual hiring for technology jobs remains relatively stable.