"Is tech even hiring anymore?"
If you've been job hunting lately, this question probably keeps you up at night.
The headlines scream layoffs. Your LinkedIn feed is full of "open to work" banners. But recruiters keep telling you there's a "talent shortage."
Who's telling the truth?
Everyone. And that's exactly the problem.
The Paradox: Layoffs AND Hiring
Let me show you two true statements:
| Statement | Data |
|---|---|
| "Tech is laying off massively" | 400,000+ tech layoffs globally since 2022 |
| "We can't find enough engineers" | 73% of Canadian tech leaders report skill shortages |
Sources: Layoffs.fyi, Robert Half 2026 Salary Guide
Both are true. Here's why they don't contradict each other:
Companies are cutting fat while adding muscle.
They're eliminating: - Overhired positions from the 2021 boom - "Nice to have" roles - Junior positions they don't have bandwidth to train
They're desperately seeking: - AI/ML engineers - Senior developers with specific skills - People who can hit the ground running
The market didn't shrink—it polarized.
The Numbers That Actually Matter
Entry-Level Hiring: Down 73%
This is the brutal reality for new grads:
| Metric | Change (2024→2025) |
|---|---|
| Entry-level (P1/P2) hiring rate | -73% |
| Junior People, Marketing, Engineering | Even steeper drops |
| New grads as % of new hires | 7% (down from 25% pre-pandemic) |
Source: Ravio Tech Job Market Report 2025
You're not imagining it. Companies have essentially stopped hiring juniors industry-wide.
But Wait—Big Tech Is Growing
Here's the counterintuitive part:
| Company | Engineering Headcount vs. Jan 2022 |
|---|---|
| Meta | +19% |
| +16% | |
| Apple | +13% |
| Microsoft | Steady |
Source: SignalFire, Pragmatic Engineer
Meta, the company that did the sharpest cuts in 2023, now has more engineers than before the layoffs.
What gives?
They cut juniors and generalists. They're hiring seniors and specialists.
The Canada-Specific Picture
What's Hot
According to Robert Half's 2026 Canada Salary Guide and regional job data:
| Role | Status | Where |
|---|---|---|
| AI/ML Engineers | 🔥 On fire | Toronto, Montreal, Vancouver |
| Cybersecurity | 🔥 On fire | Everywhere |
| Cloud Architects (AWS, Azure) | Hot | Toronto, Ottawa, Calgary |
| DevOps/SRE | Hot | All major cities |
| Data Engineers | Growing | Toronto, Vancouver |
What's Cooling
| Role | Status | Why |
|---|---|---|
| Generic "Full-Stack Developer" | Cooling | Over-supplied |
| Junior Frontend | Cold | AI replacing entry tasks |
| QA (Manual Testing) | Declining | Automation taking over |
| General IT Support | Stable but flat | Cloud reducing on-prem needs |
By City
| City | Market Condition | Notes |
|---|---|---|
| Toronto | Competitive but active | 8,700+ software dev postings/year, highest volume |
| Vancouver | Strong for AI, gaming | Visa-friendly for international talent |
| Montreal | Growing, especially AI | French helps but not always required |
| Ottawa | Government + telecom stable | Security clearance = premium |
| Calgary | Smaller but less competition | Fintech and energy tech growing |
Source: Medium: 2026 Tech Labour Market Canada
The Application Volume Problem
Here's what you're actually competing against:
| Scenario | Applications Received |
|---|---|
| Remote software engineer role | 1,000+ in first week |
| In-person NYC startup role | 23,000 in 30 days (Y Combinator startup) |
| UK fullstack role | 100+ in 2 hours |
| Swiss senior frontend | 600 in 2 days |
Source: Pragmatic Engineer
This isn't normal. It's a symptom of: 1. AI-powered mass applications (bots applying to hundreds of jobs) 2. Remote work opening global competition 3. Ghost jobs (postings with no intent to hire) 4. Candidates applying to everything out of desperation
What This Means For You
If You're a New Grad
The hard truth: The traditional path (CS degree → entry-level job → climb ladder) is broken.
What works now: 1. Internships/co-ops are mandatory — Companies use them as junior hiring pipelines 2. Specialize early — "AI engineer" beats "software engineer" in 2026 3. Build public proof — GitHub, blog, side projects that show capability 4. Network aggressively — Referrals are 3-4x more likely to get hired
See: Companies Hiring New Grads in Canada
If You're Mid-Level (2-5 Years)
You're in the sweet spot, but only if: - You have demonstrable results (not just "responsibilities") - You specialize in something in demand (cloud, data, security) - You can articulate your value clearly
Warning: Generic "full-stack developer with React experience" isn't differentiated anymore.
If You're Senior+
You're in demand, but: - Companies are picky — they want perfect fits - Interview processes are longer (5-7 rounds common) - Remote competition is global
The Recovery Timeline
Based on multiple data sources, here's what's projected:
| Timeline | What to Expect |
|---|---|
| 2025 Q4 | Slight uptick in hiring intent |
| 2026 H1 | Gradual recovery for mid-level roles |
| 2026 H2 | Entry-level may begin recovering |
| 2027+ | Structural shift to AI-augmented roles |
The market isn't going back to 2021. It's evolving into something different.
The Skills That Actually Get Hired
According to Robert Half and regional hiring data:
Tier 1: Immediate Demand
- AI/ML (Python, PyTorch, LLM fine-tuning)
- Cybersecurity (SOC 2, incident response, compliance)
- Cloud Architecture (AWS Solutions Architect, Azure, GCP)
Tier 2: Strong Demand
- Data Engineering (Spark, Airflow, dbt)
- DevOps/SRE (Kubernetes, Terraform, observability)
- Backend (with distributed systems experience)
Tier 3: Saturated/Declining
- General frontend (without specialization)
- Manual QA
- Generic "full-stack" without depth
See: Tech Skills in Demand Canada 2026
Strategies That Work in This Market
1. Stop Spray-and-Pray Applications
The math doesn't work: - 1,000 applications × 0.1% success rate = 1 callback - 50 targeted applications × 5% success rate = 2.5 callbacks
Quality beats quantity. See: How Many Jobs Should You Apply to Per Day?
2. Prioritize Referrals
Referred candidates are 3-4x more likely to get hired.
Every job application without a referral is playing on hard mode.
See: Do Referrals Actually Work?
3. Go Where Competition Is Lower
| Strategy | Competition Level |
|---|---|
| Apply to remote FAANG jobs | Extreme (1000+) |
| Apply to Toronto startups in-person | High (100-300) |
| Apply to Calgary fintech | Moderate (30-80) |
| Network into role before posting | Low |
4. Specialize Instead of Generalize
The market rewards depth over breadth.
"Full-stack developer" competes with everyone. "Backend engineer specialized in payment systems" competes with a much smaller pool.
The Bottom Line
Is Canada tech hiring in 2026?
Yes—but selectively.
| Segment | Status |
|---|---|
| Entry-level | Severely contracted (-73%) |
| Mid-level specialists | Growing |
| Senior with niche skills | Strong demand |
| AI/ML/Security | Hot market |
The market hasn't disappeared. It's just gotten much more competitive at the bottom and more specialized everywhere else.
Your move: 1. Accept that the 2021 market isn't coming back 2. Specialize in something the market actually wants 3. Build proof of your capabilities (not just credentials) 4. Network like your career depends on it (because it does)
FAQ
Is it worth getting a CS degree in 2026?
Yes, but not for the reasons it used to be. The degree itself matters less than the internships, projects, and network you build during it.
Should I wait for the market to recover?
No. Time out of the market = skill atrophy + resume gap. Keep building, keep applying, keep learning.
Is remote work still viable?
Yes, but competition is brutal (1,000+ applicants per remote job). Hybrid or in-person roles have significantly less competition.
Will AI take all the coding jobs?
Not all, but AI is changing which skills matter. Engineers who can leverage AI tools are more productive. Engineers who can't are less valuable.
Related Articles: - How Many Jobs Should You Apply to Per Day? - Tech Skills in Demand Canada 2026 - Companies Hiring New Grads in Canada - Do Referrals Actually Work? - Browse All Open Positions
Sources: - Robert Half 2026 Canada Salary Guide - Ravio Tech Job Market Report 2025 - Pragmatic Engineer: State of the Tech Market 2025 - SignalFire Engineering Talent Report - Medium: 2026 Tech Labour Market Canada - MNP: Tech Trends for 2026 Canadian Leaders - Staffing Journal: Canada Tech Skill Shortage 2025