The U.S. Software Developer Hiring Boom Is Over 💻
What We're Showing
The percent change in software development job postings on Indeed U.S. since Feb. 1, 2020 to Feb. 28, 2025.
Data comes from Indeed, via the Federal Reserve and is updated as of March 2025. Figures are seasonally-adjusted.
From Surge to Slump in U.S. Software Jobs
Software development job postings soared in 2021 and 2022 as tech companies expanded rapidly, fueled by economic recovery and a surge in startup funding.
However, hiring slowed dramatically in 2023 as economic uncertainty, layoffs, and reduced venture capital investment hit the industry. Now, job listings have dropped below early-pandemic levels, signaling a tougher market for software developers.
Some factors behind the decline in software developer jobs include the widespread adoption of AI-powered software development tools that enhance productivity, economic uncertainty leading to layoffs and hiring freezes, and a shift in focus by tech companies toward efficiency rather than expansion.