The tech job market has been on a rollercoaster ride since the pandemic. After years of explosive growth, things cooled off. They’re still cooler than many expected, but don’t be fooled. Even with fewer postings, tech talent is still in demand, and the skills employers need are changing fast.

If you’re a candidate for tech roles or you’re an employer planning to hire tech professionals in the first quarter of 2026, here’s what you need to know about the current landscape. 

What’s Changing in 2026

Technology is evolving faster than ever, and that’s reshaping hiring priorities. Here are the big trends: 

• AI is everywhere: Developers are learning AI skills at record speed. In fact, 36% of developers learned to code for AI in the past year, according to Stack Overflow’s Developer Survey. Here’s a big prediction from Gartner: By 2027, 75% of hiring processes will include AI skills tests or certifications. That means employers need to start thinking about how they’ll assess AI proficiency now. 

• Cybersecurity is a top priority as companies face growing threats. A new 2025 ISC2 Cybersecurity Workforce Study finds that while economic pressures such as budget cuts and layoffs affecting cybersecurity teams appear to be stabilizing, the profession faces a more pressing challenge: widening skills shortages that directly threaten organizational security readiness. 

Technologies such as extended reality, biocomputing, advanced robotics, and quantum computing are moving beyond theory and into practical implementation. The trade publication The Quantum Insider reported that quantum computing is expected to create an estimated 250,000 new jobs by 2030, jumping to 840,000 by 2035. 

The Current Landscape: Fewer Postings, More Competition 

Tech job postings have dropped sharply since the pandemic boom. According to Indeed’s 2025 Tech Talent Report, postings were 36% lower in July 2025 compared to early 2020. Senior-level roles have held up better than junior positions. New grads now account for just 7% of hires, with new hires down 25% from 2023 and over 50% from pre-pandemic levels in 2019, according to a report by SignalFire. 

So, what does that mean for employers? 

• There may be fewer openings overall, but there is still plenty of competition. 

• Early-career candidates are applying in droves, often without meeting job requirements. The surge in applications driven in large part by AI has created extra work for recruiters who need to sift through resumes to find qualified candidates. 

Even with fewer postings, more than 100,000 employers posted tech jobs in the past year, according to Lightcast. So yes, the market is cooler. But it’s still competitive. 

Too Many Applicants, Not Enough Skills 

Here’s the strange part: while companies are flooded with applications for many roles, there’s a shortage of qualified talent in key areas like cybersecurity, data engineering, and AI product management. 

A McKinsey survey found that 77% of companies report that they lack the necessary data talent and skill sets to perform the required tasks in mission-critical areas, such as cybersecurity and data management. 

This mismatch means employers need two strategies: 

Understand Tech Talent Wants in 2026 

If you want to attract top tech talent, here’s what they’re looking for: 

• Opportunities to work with AI and cutting-edge tech 
• Continuous learning: Certifications, training budgets, and time to learn new skills 
• Flexibility: Remote work options and adaptable schedules 
• Clear growth paths: Developers want to know where they can go next 
• A sense of purpose: They want to work on projects that matter 

Provide Opportunity and Trust for Existing Employees 

Don’t overlook the talent you already have in the building. It can be easy to pigeonhole employees based on their current roles, according to McKinsey. Individuals often are open to reinventing themselves. In fact, workers with non-tech backgrounds are almost 30 percent more likely than those in tech roles to leave their current employer for a new position as a systems software developer. 

According to Stack Overflow, most developers aren’t actively job hunting—but that doesn’t mean they’re thrilled with their current roles. Forty-six percent aren’t looking for a new job, but 75% say they feel “complacent” or “not happy.” 

Developers look for these things in a job to make them happy, according to the survey: interesting work and autonomy, fair pay and clear career paths, flexibility, and trustworthy AI tools.  

That squares with a larger survey of workers conducted by PwC. PwC’s Global Workforce Hopes and Fears Survey 2025 showed workers seem realistic about the business climate they face: only 53% feel strongly optimistic about the future of their roles, with non-managers (43%) trailing far behind executives (72%).  

Trust also was a big factor for employees, according to PwC– barely half of survey respondents say they trust top management. However, the survey found greater trust in industries at later stages of adopting AI such as technology. 

How Employers Can Win in 2026 

Here are five practical steps to stand out: 

1. Show Your AI Game Plan 

Candidates and existing employees want to know how your company uses AI responsibly. Share your approach to AI governance and ethics—it builds trust. 

2. Test for AI Skills (and Core Coding Skills) 

Balance automation with human problem-solving. Consider AI proficiency in your hiring process, but don’t forget traditional coding and design skills. 

3. Offer Learning Opportunities 

Provide budgets and time for certifications and training. Make learning part of your culture. 

4. Create Clear Growth Paths 

Upskill your team and make career ladders visible to job candidates. Show employees how they can move into high-demand roles like data engineering or AI product management. 

5. Stay Flexible 

Use contract talent for specialized projects or uncertain times. Ledgent Technology offers flexible hiring solutions to help companies stay competitive and resilient. 

The tech landscape is changing fast and so are the skills you need. Whether you’re facing talent shortages, flooded applicant pools, or uncertain budgets, Ledgent Technology can help you stay ahead. 

We offer flexible hiring solutions, including contract professionals with specialized expertise, so you can scale your team quickly and confidently. From short-term projects to long-term strategies, we’ll help you find the right talent at the right time. 

Let’s build your 2026 hiring plan together.

Contact Ledgent Technology today and start turning challenges into opportunities.