Stuck in Limbo: Why Landing a Tech Job Feels Impossible Right Now

In today’s tech world, it’s not just layoffs and AI anxiety—there’s a deeper freeze in motion. Job seekers and employees alike are facing what insiders are calling The Great Hesitation: a drawn-out, uncertain hiring climate where even the most qualified candidates can’t catch a break.

For those still employed, it’s all about playing defense—clinging to job security while scrambling to stay relevant in a market that now favors AI fluency over traditional coding skills. For those on the hunt, the obstacles are everywhere: résumé-scanning bots, dragged-out interview cycles, roles that vanish mid-process, and recruiters demanding salary expectations on the very first call.

“It’s two to three times longer to get hired than it was a year ago,” says George Denlinger of staffing firm Robert Half.

Why? Companies are being cautious. They’re filling only mission-critical roles and holding out for unicorn candidates—those with 10 to 12 advanced skills, often centered on AI. That’s a tough ask, especially when thousands of laid-off engineers flood the market each month.

Steve Levine, a seasoned tech professional, has applied to over 50 jobs since January. He reached the final round at one company, only to be told the role had been scrapped altogether. “It’s not you, it’s us,” they told him.

In April alone, tech jobs shrank by 214,000 across industries. Big names like Microsoft are still cutting head count, but smaller IT departments—once seen as more stable—are quietly shedding junior roles too. Entry-level coders and analysts are being replaced by automation.

Even top-tier engineers are expected to supervise AI-generated code now. That’s if they can even get past the algorithmic gatekeepers reviewing their résumés.

“There’s been shrinkage,” says Victor Janulaitis of Janco Associates. “Entry-level IT programmers are almost gone.”

Simultaneously, companies are funneling resources into AI initiatives. Nearly one in four job postings now require AI-related skills. Some CEOs are openly declaring their orgs “AI-first,” tying promotions and even hiring approvals to how much a team can automate.

This shift is making hiring expectations even tougher. More than 75% of tech departments report critical skill gaps. As a workaround, 65% of leaders are turning to contract talent—fast, flexible, and lower commitment.

Angela Jiang, formerly of OpenAI, has spoken with over 50 laid-off tech workers recently, many of whom are struggling to understand how to reposition themselves. “People are just scared,” she says. “They don’t know where they fit in this new world.”

Even those with relevant experience, like software engineer William Wilkerson, are worried. Despite having built AI systems himself, he knows that without the right buzzwords, his résumé might never be seen by a real person. “You’re filtered out before anyone even looks at you.”

The AI boom has created massive demand, but only for a sliver of roles—think Ph.D.-level researchers and data scientists. Everyone else? They’re stuck waiting for an opening that may never come.

And if you’re not willing to drop your salary range on the first call? You may not even get a second.