Layoffs to continue in 2023, but least likely for cybersecurity workers

With economic headwinds and a looming recession, more layoffs — if not expected.

However, one sector seems relatively safe – for now. In fact, experts say that cybersecurity jobs may even increase during economic turmoil.

Cybersecurity professionals are essential to reducing the risk of cyberattacks, especially in times of financial instability, experts told CNBC Make It.

“Some organizations may be more vulnerable during a recession because they may have fewer resources … making it easier to target,” said Daljit Sall, general manager of technology for Randstad Singapore.

“Facing a serious cyber security breach can prove to be financially devastating in such a scenario – for example, if you have to pay a fine or a fork. [out] the cost of ransomware attacks.”

But a new survey suggests that one group of talent will be least likely to be laid off if companies decide to downsize.

In ISC2’s research of 1,000 C-suite executives in five countries – Germany, Japan, Singapore, the UK, and the US – nearly half of top-level executives said they would “likely” lay off workers due to an anticipated recession this year.

However, only 10% of organizations are able to eliminate jobs in cybersecurity, compared to an average of 20% in other areas.

In Singapore, 68% of organizations believe layoffs will be necessary as the economy slows, according to ISC2, the largest and global non-profit association of certified cybersecurity professionals.

However, only 15% could eliminate their jobs in cybersecurity, compared to other sectors such as human resources (32%) and marketing (28%).

“These findings show leaders no longer see cybersecurity as a function that is nice to have on budget, but as an important and critical asset that delivers value,” he said.

LinkedIn’s latest Jobs on the Rise data also includes cybersecurity engineers and cybersecurity consultants as some of the most in-demand roles in Singapore this year.

Sall agreed. He said there has been an increase in the role of cybersecurity in Singapore and globally in recent years due to “digital transformation” in various industries.

“These developments have driven the need for reliable and experienced cybersecurity professionals to build and maintain a secure digital infrastructure,” he said.

The increased risk of cyberthreats is also a major contributor to the higher demand for cybersecurity professionals, said Pooja Chhabria, LinkedIn’s chief editorial officer for Asia-Pacific.

“Demand for these roles will increase as … the complexity of cyber attacks increases in scale and scope,” he added.

“The need for cybersecurity professionals who can identify and prevent these attacks will be paramount.”

The number of cyberattacks has increased in recent years due to remote work and political issues driven by the pandemic.

For example, since the start of the Russia-Ukraine war, Russian-based phishing attacks against European and US business email addresses have increased 8 times, according to a 2023 report.

“During economic uncertainty, some threat actors may be persuaded to exfiltrate data to increase their income. Insider threats may rise in response to mass layoffs, especially as financially insecure employees look for new ways to earn extra money,” Clar said. Rosso, ISC2. CEO.

This is why 42% of companies surveyed said they expect an increase in staffing for cyber security – the highest among all business functions – despite economic problems, ISC2 added.

However, the cybersecurity sector is not immune to strong winds. Citi’s November 2022 survey of top technology executives shows that IT budgets will grow by just 1.8% over the next 12 m.onths – continued downward trend from September 2021 to 5.6%.

However, cybersecurity remains “a top priority by a wide margin” in IT budgets, Citi added.

Tech workers affected by the recent layoffs could also benefit from increasing cybersecurity priorities, ISC2 said.

Tech giants Meta, Amazon, Google and Microsoft, along with companies ranging from Salesforce to Zoom, have announced job cuts in recent weeks.

“It is possible that many people can find opportunities to pursue a career in cybersecurity, which can apply related skills and expertise,” ISC2 said.

LinkedIn’s Chhabria says that software engineers and systems engineers are the two main roles that people have been transitioning into as cybersecurity engineers.

Hiring managers were also found to have recruited from “unconventional departments,” according to another ISC2 report, such as customer service, communications and human resources.

“This is largely due to … a change in mindset from only focusing on technical skills to hiring for non-technical competencies that will make people successful in the sector, and then training to build technical skills,” Rosso said.