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Silicon Valley Hiring Continues to Increase: What’s the Impact On Neighbors/Industries?

Quite a bit of discussion this morning in our blog meeting room about new data released by Wanted Analytics. The data is below but the secondary question is what does this mean for neighboring cities, states and competitive industries? We’ve had more than one professional recruiter tell us that Silicon Valley hiring is sucking all the talent out of the marketplace on the west coast and neighboring states. Is that true? Let us know your thoughts? What are you seeing in terms of competition for candidates?


Wanted Analytics tells us today that:


Home to many of the world’s largest tech companies, the Silicon Valley has been one of the biggest driving forces behind IT and Computer related job growth. Despite seeing a decline over the summer, hiring demand is stongly bouncing back. During September, more than 15,000 new tech jobs were advertised online – representing a 17% year-over-year increase. Of the online job ads, Recruiters in San Francisco placed 56% of the ads and San Jose advertised 44% of the jobs.


Hiring Demand for Tech Jobs in the Silicon Valley – 4 Years

Hiring Demand in the Silicon ValleySource: WANTED Analytics


The most in-demand IT job during September within the Silicon Valley was Application Software Engineers. 3,900 job ads were placed for Application Software Engineers during September, 25% more than were advertised during September 2010. The 10 most commonly advertised job titles in the Silicon Valley are:


  1. Software Engineer
  2. Project Manager
  3. Java Developer
  4. Web Developer
  5. Network Engineer
  6. Business Systems Analyst
  7. Systems Administrator
  8. Oracle DBA
  9. Data Analyst
  10. Programmer Analyst

We also looked at average salary ranges for some of the most demanded Computer Specialist occupations in the Silicon Valley compared to national averages. Salary ranges across these 5 fields in the Silicon Valley are higher than national averages.


Occupation Avg. Salary Range
Silicon Valley
Avg. Salary Range
Computer Software Engineers (Applications) $110,000 – $124,800 $91,800 – $106,000
Web Developers $100,000 – $114,400 $83,200 – $100,000
Computer Systems Analysts $95,000 – $112,500 $83,200 – $100,000
Network and Computer Systems Administrators $90,000 – $104,000 $75,000 – $90,000
Software Quality Assurance Engineers and Testers $100,000 – $114,400 $83,200 – $100,000


With the constant increase in demand for this talent, recruiting conditions are likely to be difficult in the Silicon Valley and in some cases, Recruiters will face talent shortages. The Hiring Scale™ shows that Web Developers and Software QA Engineers and Testers are two areas where talent shortages are likely to occur. In the Silicon Valley, there is less than 1 potential candidate for these occupations in the workforce for every job currently being advertised. For the other above occupations, there are about 2.6 potential Software Engineer candidates, 3.6 Computer Systems Analyst candidates and 2.9 Network and Computer Systems Administrators.


However, there are alternative locations where recruiting conditions are more favorable. Recruiters in the Silicon Valley struggling to fill tech openings should look to places like Visalia-Porterville, Yuba City, Sacramento, and Fresno, where talent pools consist of up to 21 potential candidates. Sourcing from these locations may help reduce the time-to-fill on open positions.

This entry was posted in College Students & New Grads, Employers, Engineering, Executive Level, Hiring Trends & Data, Information Technology, Mountain Region: Mark Doyle, National: Ben Kertner, Niche: Ben Kertner, Western Region: Garrett Stenson. Bookmark the permalink.