The demand for talented programmers is not gone, only "pent up", like water behind a dam. The powers-that-be have closed the floodgates and only a trickle of funding is getting through. Our IT department and I suspect most, are hurting for programmers (we laid off half of them!) When the economy starts to swing back up again, the demand for good programmers will rebound greatly. Not like the dotcom era and all the fantasy that came with it, this time it will be more grounded in reality and subsequently more stable. One good thing, you may not see it this way, is the downturn actually helped clean up IT staffs. Many good programmers were let go, but many mediocre ones too. When we are able to hire again, there will be a few that we will not be calling. This may sound harsh or unkind, however, if you have ever had to work with someone either unwilling or unable to carry their part of the load, you will appreciate the significance of cleaning house.
Anxiety does not empty tomorrow of its sorrows, but only empties today of its strength. – Charles Spurgeon
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