New York, USA — In a recent interview, IBM CEO Arvind Krishna addressed the prevailing concerns in the tech industry surrounding layoffs and hiring freezes. with many companies tightening their belts amid economic uncertainty, Krishna emphasized a more nuanced approach to workforce management. “people are talking about either layoffs or hiring freezes, but I actually think we need to rethink how we manage our workforce in these times,” he stated. His comments come as the tech sector faces challenges from rising inflation and shifting market demands.

Krishna’s remarks resonate deeply as companies navigate a complex landscape. The international Monetary fund (IMF) forecasts a global economic slowdown, with growth projected at just 2.7% for 2025, down from 6.0% in 2021¹. this backdrop creates a challenging environment for recruitment and retention in tech, where skill shortages remain a pressing concern.

Current landscape of tech employment

As of late 2025, the tech industry has seen significant fluctuations in employment. According to a report by CompTIA, nearly 90% of tech companies have implemented some form of hiring freeze or staff reduction in the past year². despite this, demand for skilled workers, particularly in cybersecurity and artificial intelligence, continues to surge. The U.S. Bureau of labor Statistics projects a 31% increase in cybersecurity jobs through 2029, reflecting the growing emphasis on digital security³.

IBM, which is pivoting towards hybrid cloud and AI solutions, is also adapting its recruitment strategies. Krishna indicated that the company seeks talent capable of navigating complex technological landscapes, a shift from traditional hiring practices focused on degrees and years of experience.

AI and cybersecurity: A Dual focus

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Krishna highlighted the intersection of AI and cybersecurity as a critical area for IBM’s future. The company is investing heavily in AI-driven security solutions, which are expected to become mainstream in the next three to five years. A recent Gartner report predicts that by 2026, 75% of organizations will employ AI-powered cybersecurity tools, up from less than 10% in 2022⁴.

This shift underscores the need for professionals skilled in both AI technologies and cybersecurity measures.

This shift underscores the need for professionals skilled in both AI technologies and cybersecurity measures. IBM’s own training programs are evolving to meet this demand, with a focus on upskilling current employees and attracting new talent proficient in these areas.

strategies for workforce management

Krishna advocates for a strategic approach to workforce management. This includes flexible work arrangements and continuous learning opportunities. Companies that prioritize employee development are more likely to retain top talent, as highlighted by a recent linkedin survey, which found that 94% of employees would stay at a company longer if it invested in their career development⁵.

Moreover, Krishna emphasized the importance of cultivating a diverse workforce. research indicates that diverse teams are more innovative and better at problem-solving, a crucial advantage in the fast-evolving tech landscape. IBM has committed to increasing diversity within its workforce, aiming for 50% of its new hires to come from underrepresented groups by 2026⁶.

The future of hiring in tech

Looking ahead, Krishna predicts a gradual recovery in hiring as economic conditions stabilize. He believes that organizations will shift from reactive to proactive hiring strategies, emphasizing the importance of agility and adaptability in workforce planning. This perspective aligns with the broader trend of companies investing in talent pipelines to ensure they are well-positioned for future growth.

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In addition, the rise of remote work is likely to continue shaping hiring practices. organizations are increasingly open to hiring talent from diverse geographical locations, broadening their talent pools and enhancing diversity. This trend is particularly crucial for tech companies, where the competition for skilled workers remains fierce.

another View: economic Recovery challenges

despite Krishna’s optimism, some industry experts caution against overestimating the pace of recovery. According to a recent study by McKinsey, only 40% of companies anticipate returning to pre-pandemic hiring levels within the next year⁷. The ongoing geopolitical tensions and inflationary pressures may continue to hinder growth, making it essential for companies to remain vigilant and adaptable.

This trend is particularly crucial for tech companies, where the competition for skilled workers remains fierce.

Moreover, the emphasis on AI and cybersecurity skills may inadvertently marginalize other essential tech roles. Critics argue that focusing too heavily on these areas could lead to a skills gap in sectors such as software development and IT support, which are equally critical for organizational success.

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As companies navigate the complexities of workforce management in the tech sector, the emphasis on strategic hiring and employee development will be crucial. The ability to adapt to changing economic realities will define success in the coming years. How organizations respond to these challenges will shape their futures and the overall landscape of the tech industry.