This blog post is based on the thirteen episode of the data-driven recruiting podcast hosted by CodeSignal co-founders Sophia Baik and Tigran Sloyan. You can find and listen to this specific episode here or check out the video version embedded below.
The best way to understand early technical hiring is by the numbers. With the utilization of LinkedIn data, we can determine where candidates went to school, and subsequently, where they are going to work.
A report of 2018 graduates with a bachelor’s degree in Computer Science or Computer Engineering netted about 70,000. That number indicates a 20-30% growth rate of these degrees year over year. But, it’s important to note that these degrees aren’t suddenly more desirable to incoming freshmen. The growth in these degrees represents an increasing need in those fields.
Out of the sample group, about 60% are working in the tech industry, and 5% are in finance. The rest are divided across different sectors. What was surprising about the low finance percentage is that it comes as the industry continues to discuss increasing security needs and high-tech offerings. It seems as though the idea of a high-tech financial world is in the beginning stages, based on these numbers.
Companies that represent the top 20-25% answer the question of who hires the most new graduates in the category. As expected, the largest are the tech giants; the Facebooks, Amazons and Googles of the world. These big organizations hire about 1,000 from the total pool. Large firms like Capital One and Goldman Sachs still find their way to the top of the list, employing about 500 of the overall pool. What may come as a surprise is the number of consulting firms that make it onto the list. The need to support their clients with technical services is driving the demand for more technically savvy consultants.
One interesting stat shows that Google, Apple, Amazon and Facebook combined, hire over 10% of new graduates. When these companies are asked directly, they believe they hire only the top 2%. But, the numbers don’t lie, and someone is hiring deeper into the curve. So, is there a specific concentration of schools? Theoretically, the number of recruits could come from a small group of Universities. We’ll cover this in a future post, as we dig deeper into the data.
What we haven’t considered with this data is the part-time or contractor positions, which is a common status in the IT fields. The relative number of 70,000 undoubtedly doesn’t cover all the new men and women entering the IT field.
What we can confirm is that the tech industry is growing fast and there is increasing competition from all angles. Today, graduating in Computer Science or Computer Engineering doesn’t necessarily mean you’ll end up in the field. With the continued disruption in technology, the skills are growing in demand, equating to a new type of literacy.