The Slow Adjustment of the American Technology Labor Force

Abstract

The number of people employed in technology (tech) fields, according to the U.S. Bureau of Labor Statistics data, is not increasing quickly and the real wages for most positions are stagnant. We present the recent history of the United States tech labor force and an analysis of why many job openings are unfilled. Although wages are relatively high in the tech sector, offsetting costs to workers include psychological stress and poor management. Rapid change keeps the work force in a constant shortage, but education innovations such as coding bootcamps and messaging to high school students points to a workforce that will continue to gradually grow. We draw lessons for enhancing the human workforce in the face of rapid technological change.

Keywords: Digital Technologies, Human Capital, Job Choice, Labor Supply, High Skilled

JEL Classification: J44, J24