Electrical Engineer Unemployment Soars; Software Developers' Rate Drops to 2.2%
dcblogs writes "The unemployment rate for people at the heart of many tech innovations — electrical engineers — soared in the first quarter of this year to 6.5%. That's nearly double the unemployment rate from last year. The reasons for the spike aren't clear, but the IEEE-USA says the increase is alarming. At the same time, U.S. Labor Dept. data showed that jobs for software developers are on the rise. The unemployment rate for software engineers was 2.2% in the first quarter, down from 2.8% last year. This professional group warns that unemployment rates for engineers could get worse if H-1B visas are increased. The increase in engineering unemployment comes at the same time demand for H-1B visas is up."
One cause for the lack of demand of electrical engineers is that the hardware design and manufacturing is located to cheaper countries. However this also means that the competence level of the existing engineers declines slowly since they lack the experience from production.
If builders built buildings the way programmers wrote programs, then the first woodpecker would destroy civilization.
This reads like a press release from IEEE-USA. It doesn't sound like they have any clue why the employment numbers have changed, but they want to complain about visas.
All those startups writing mobile apps and creating cloud based services need software engineers.
They don't need electrical engineers.
Needing electrical engineers implies building hardware. Investers don't like hardware. It takes too long. It cost too much.
That leaves only established companies for the hardware engineerr and they are more interested in the profitablity of existing markets then in creating new ones. Hense, not a lot of hiring.
Come to Australia for a few months optical splicing work. .... cable slides out, cable slides in... crushed duct.
The locals need help with that.
Depending on the election outcome years of corroded copper maintenance work could open up if your skilled.
Cable slides out, cable slides in
Domestic spying is now "Benign Information Gathering"
Although Electrical Engineers may include Electronic Engineers, they are really two different disciplines, Electrical Engineers typically work the construction trades, building and power transmissions. Most engineers involved in integrated circuits, digital circuits and most of the new tech innovations, are more Electronic Engineers then Electrical Engineers. The high employment rate in Electrical Engineers is mainly following the low employment rate for all the construction industries. Grads with a degree in the Electronic Engineering fields ... even with no work experience will have no problem finding work, at least here in CA.
As a 25 year chip/hardware engineer, the last 18 of which mostly as a hiring manager in Silicon valley at bleeding edge small and medium sized companies I can say categorically that it's never been easy to find engineers as I good as I wanted to find, and I don't recall it ever being worse than it is right now...I have people asking me left and right for IC and H/W people and I have non to recommend to them. My experience with H1B's is at odds with much I've read on here and elsewhere...and it leads be to the conclusion that there is abuse of the H1B system in roles such as the IT service industry, but in R&D taking the pick of the worlds best people is the life blood of US innovation, it always has been and it continues to be. I don't know what the IEEE's agenda is, but I can say absolutely that there are incredible opportunities available and apparently no-one who can legally work in the US who have have what it takes to hold them down.
If you have done the work to become an EE you should know how to code fairly well already and given the current need for skilled software developers you can probably get hired doing embedded systems work in any of the North American technology hubs quite easily. It may not be your preferred line of work but its a living wage until and work experience to tide you over until the wave of change sweeps across the industry.
At an unemployment rate of 2.2% we could use the competition of H-1Bs. (I'm a software engineer myself, so I have a stake in this.) With that low of an unemployment rate we'll start getting unqualified people entering the field just to get jobs, much like what happened during the late 90's tech boom. Yes, the H-1B program can be abused, I've seen it myself many times. But these are actually the conditions where it works.
Its hard to get talent.
I work for a small electronics company doing mid sized work for stupid large companies, I work in the engineering department, I do not have a degree in EE, I am a computer science guy with 4 years of EE in high school, and nearly 2 decades of hobby experience, I have professionally written for 2 websites in hobby electronics, and I was hired after 2 interviews (age 34 btw).
Its taken a couple months and dozens of interviews to find another teammate that can at least keep up, let alone bring new and interesing designs to the table... and when your self thought tech can stump a 4 year EE graduate with a simple constant current 317 question (which is commonplace in our applications), that also doesn't know shit about a spreadsheet in order to present his ideas in a mathematical form, then yes, the chances of you landing a job dramatically decreases.
You are really making the name of Anonymous Coward look bad.
now we need to go OSS in diesel cars
You think defense doesn't get outsourced? Apparently the MIC doesn't think like you do. According to almost everyone in the industry, outsourcing in defense is common, increasing and the scope is widening over the whole range -- from design to manufacturing. http://www.nationaldefensemagazine.org/archive/2011/January/Pages/OutsourcingUSDefenseNationalSecurityImplications.aspx http://www.defencetalk.com/outsourcing-services-helps-defense-aerospace-reduce-costs-27510/
If you look at most entry level jobs for EE's, and Computer Engineers they want applicants to have 3 to 5 years of actual experience on products like VxWorks, Synopsys, ActiveHDL, Cadence, etc. No company wants to take a fledgling American EE graduate and help give them the skills/training needed to do their job well and build loyalty. They expect their hires to be laying gold eggs from day one with no help, have 3 or 4 internships under their belt.
I got my MSEE last year, and all I am getting offers for are contract jobs that only last 3 to 18 months.
Sure the pay is okay, but what happens when that pool dries up? Would you like moving from job to job always stressing out if you are going to get another contract when the current one ends?
What if you get sick? You have to buy your own health insurance plan when you work under a contract. That might, or might not be expensive, and might not cover everything.
How about additional training to make yourself marketable, and able to do the job faster/better? With how companies act today, don't count on it. Most contractors also expect you to be an expert in the area you will be working in.
I would be happy to take a pay reduction for the first year or two just to get into an actual design job that has job security, and offers a constructive environment. R&D would be even better but, even I know the limits of my skills.
Maybe it's time for engineers to start their own small side companies or, maybe it's time to encourage a tradesman program where experienced EE's show new EE's how things are done, and train the skills needed to do the job.
I have over 30 years working on the cutting edge of software development, at some the the leading companies in the field, in Silicon Valley. I have difficulty in restraining myself from challenging your credibility, so I'll focus on what you said. It is economics 101 that if there is a shortage of engineers, salaries should be increasing, until supply meets demand. There should be a lot of movement of engineers from company to company as the competion and salaries increase -- this isn't happening -- salaries remain flat. As you've read here, and elsewhere companies like Google and Apple have agreed not to seek to hire engineers from each other, eliminating competion in engineers and salaries. I know H1B software engineers working 60 to 70 hours a week, just so they can keep their jobs. Senior engineers, like myself and others I know, who have modern and even cutting edge skills, are sitting out, because we won't take the low salaries. I'm offered salaries in the neighborhood of the same salary I was making 20 years ago. I code and do research everyday, because it's what I love to do, not because I'm getting payed any longer. What's needed in not more H1B's but for the industry to stop manipulating the market for engineers and set the market free to work. I've been at this long enough to realize it won't happen -- the industry leaders will continue to manipulate the market, hold down salaries, abuse H1B's, and demand an increasing supply -- because they can. I and others I know, aren't employed, and aren't counted in the 2.2%, so the rate is higher. In my long career, I've never collected unemployment, so how would I ever be counted as unemployed, by the Labor Department?
I'm approaching my 20th year in the tech industry, so I've been around the block a few times. Tech workers are abused because we allow ourselves to be. Unfortunately that will probably not change for a generation or more, maybe never. We give employers the power to abuse us. The industry manipulates because it can, because we let them. They will not stop out of the goodness of their hearts. Maybe a bit more abuse will be necessary to wake us up. Maybe nothing will be enough. Who knows?
I am an electrical engineer, and work in Europe. What I see here, is that the quality of engineers coming out of college or universities is declining at an alarming rate.
(Non native english speaker here, so cut me some slack on my awful grammar).
The same situation also applies here in Brazil. Worse of all, it applies both to engineering and computer science. I've been trying to recruit three junior java developers for over two months, but so far, haven't found a single soul that could:
* Knows what a Hash Set / Hash Table / Dictionary is.
* Knows how to use a LEFT JOIN properly.
* Knows how to explain what Model-view-controller is.
The salary? About US$ 30000/year, and yes - this is quite good for a starting position around here.
People are envious, jealous and the ruling class (politicians) are capitalising on class war-fare-mongering (that word is likely not in a dictionary).
There is a legitimate problem with some people getting artificial advantage from the money that is created out of thin air by the Fed, money which shouldn't exist and it's given to the banks that shouldn't exist anymore. That money props up the Treasury (which doesn't exist, there is no treasure, only debt).
All of this allows the banks to give themselves a pat on the back, to give the politicians themselves a pat on the back and everybody gets paid with that fake money.
That's a problem, because it is inflation and it causes drop in real value of the money for EVERYBODY else who is not involved in this giant counterfeiting and laundering machine.
This free money for decades has been flowing into the system destroying it.
This story is on Electrical Engineers unemployment and simultaneously there are complains that there is no talent among EEs. It's obvious to me that the inflation and all the taxes and regulations have crushed investment opportunities in USA (at the least since 1971) and that's why manufacturing was and is leaving, because investment was leaving, running away from the anti-business, anti-saver, anti-investor climate.
The fall of the manufacturing sector eventually causes the fall of the employment among EEs and other professionals needed for manufacturing and eventually this causes reduction in quality of the available professionals.
At the same time the inflation, taxes (income and especially death tax) and regulations make it impossible for the companies that are still in USA to think long term. They are forced to find ways to beat inflation and to make 5-6% return on the investment and that's hard, try to make a return of 11-21% a year, you are going to fail, so MOST companies will fail in this environment.
Those who will not fail immediately will be the biggest entities and there because of death taxes the companies no longer have real owners, the kids of the original founders are not there, the companies were sold to liquidate to pay the taxes, the companies turn public.
A public company is like a public property, nobody owns it really, so whoever succeeds in becoming the management just works for their own benefit and it's short term benefit because of high inflation and taxes.
So this entire system is set to destroy private business, private property while doing it with spectacular amounts of fake money and in that climate average people are getting poorer and easier to manipulate by the politicians who in fact created this problem in the first place (well, the mob let them, the mob cheered for them while they turned the Republic into this quasi-socialist-fascist state).
So the inflation and lack of owners due to taxes and lack of competition due to regulations and taxes create all of these problems and part of it is that some people manage to get huge compensation where in a free market they couldn't, competitive forces would take care of inefficiencies like that.
Again, it's stupidity, envy, jealousy, class warfare and those are symptoms of a dying economy.
You can't handle the truth.
The first job is by far the hardest to get. After that first job though, if you're good, you'll be sought after by former bosses and colleagues as they move around in the industry. But if you're not good, you'll be the guy on Slashdot complaining that he doesn't understand why unemployment is so low but he gets passed over time and again.
America is the place for the best, so if you're missing talent - bring them in. That's how project Manhattan was accomplished. And that's how all the reolutionary progress is made. You don't look at where they are from, but what they can do. Once the protectionism and nationalism starts, the you're no longer the best, and just become one of the European Middleweights. So sure, if you want to fail in the long run, ban all workforce and intelligence imports.
there is no issue with my network
Why bother doing actual technical innovation? You can just do like Apple and look through other people's old software and patent the stuff others thought were way too obvious to take out a patent on. Hey, a billion dollar settlement can't be wrong...
Phillip.
Property for sale in Nice, France
I personally worked for a company that almost exclusively hired H1B visa software engineers. The company does it because they can be paid less and they can't quit, if they lose their job, their visa is revoked immediately and they have less than 2 weeks to pack their stuff and leave the US! It doesn't make me proud to be an american. How about giving them a year to look for another job or to start their own business?
If the company they work for wants to, it can sponsor them for a green card, which will take 7 years to be processed (!!). Ridiculous, if your yearly visa is renewed more than once, it means you have proven yourself twice already, by being hired and by being renewed and you should be able to get a green card right away or accept any competing employment offers without needing the new company to sponsor you and pay thousands of dollars. This would make you less desirable and stifle competition.
Finally, the salary of an H1B holder should exceed the average salary for the position by a significant percentage to discourage employers from underpaying workers. H1B holders are supposed to be the best and brightest we can get, and they should be paid what they deserve.