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Labor Market Pulse
Colorado Springs, CO Metro Edition
Focus: IT
~5,600
Colorado information sector jobs lost
Statewide, recent months; signals tech hiring slowdown
3.8%
Colorado Springs MSA unemployment
May 2026, vs 4.1% national rate
11.6-13.7% below
State IT pay gap vs. market
Colorado state government IT compensation
0.6%
Colorado projected 2026 job growth
17,500 jobs statewide; constrains talent supply
This Month's Takeaways
Metro cybersecurity analyst advertised pay sits at $119,629, a significant year-over-year gain versus a moderate national increase to $106,790. Local demand appears to be outstripping supply faster than the broader U.S. market, suggesting retention risk for security teams specifically, not IT broadly.
Metro IT Project Manager advertised pay reached $130,000, up significantly and now exceeding the $117,530 national median. This is consistent with employers paying a premium for execution capability amid AI-driven workflow restructuring, not simply scarcity of generalist PM talent.
Metro systems administrator advertised pay of $117,700 compares to a national median of $101,168, even as traditional infrastructure roles face long-term demand compression elsewhere. Local employers may be paying a scarcity premium for a role being deprioritized nationally — worth confirming this reflects genuine need rather than stale requisitions.
Colorado's information sector shed roughly 5,600 jobs in recent months even as the state projects only 0.6% overall job growth for 2026. Released talent may enter the Colorado Springs candidate pool before metro-level data confirms it, creating a near-term sourcing opportunity for specialized roles.
Local Labor Conditions
Colorado Springs IT hiring is tightening around specialization as the metro's information sector contracts alongside a statewide 5,600-job decline, even as cybersecurity and project management roles post significant advertised pay gains. Slower in-migration and a projected 0.6% statewide job growth rate are constraining the local technical talent pool just as cloud, security, and AI-adjacent skill demand continues to outpace supply.
Leadership & Talent Implications
Shrinking labor supply combined with sharp pay growth in cybersecurity and IT project management signals that Colorado Springs IT leaders are competing for a narrower pool of specialized talent rather than facing broad-based hiring pressure. This reinforces a bifurcated workforce strategy: retain and pay up for cloud, security, and infrastructure specialists while shifting commodity support and admin functions toward contract or outsourced models as the staffing market scales toward $44.5B by 2031. Consider reviewing whether current headcount plans overweight generalist or entry-level IT roles facing compression, relative to specialized positions where advertised pay is moving fastest.
Advertised Pay Indicators
| Role | P25 | Median | P75 | Local Trend | National | Nat. Trend |
|---|---|---|---|---|---|---|
| Data Scientist | $116,716 | $137,017 | $141,706 | ↑ Moderate increase | $148,250 | ↑ Moderate increase |
| Systems Administrator | $94,692 | $117,700 | $130,000 | ↑ Moderate increase | $101,168 | ↑ Moderate increase |
| Network Engineer | $92,891 | $125,000 | $137,306 | ↑ Moderate increase | $114,400 | ↑ Moderate increase |
| Software Engineer | $107,852 | $135,814 | $149,609 | → Stable | $153,652 | → Stable |
| Help Desk/IT Support Specialist | $46,500 | $61,155 | $70,500 | → Stable | $53,644 | → Stable |
| Cybersecurity Analyst | $100,000 | $119,629 | $129,500 | ↑ Significant increase | $106,790 | ↑ Moderate increase |
| IT Project Manager | $111,595 | $130,000 | $135,000 | ↑ Significant increase | $117,530 | ↑ Moderate increase |
Looking Ahead · Next 30–60 Days
Worth watching
Colorado's information sector job losses have not yet shown up in Colorado Springs MSA-specific data, with the most recent metro release lagging by several months. Watch for released Denver-metro tech talent migrating south as commute and remote-work patterns absorb statewide layoffs.
Emerging pressure point
State of Colorado IT compensation sits 11.6-13.7% below market, and public-sector attrition could accelerate competition for the same specialized cybersecurity and cloud candidates private employers are chasing. Monitor whether state government postings begin adjusting pay bands in response.
Early indicator
National WARN filings from Amazon, Meta, Verizon, and Oracle have not yet produced a visible Colorado Springs ripple, but information-sector contraction statewide suggests tech-adjacent layoffs could surface locally within 60 days. A sudden increase in senior infrastructure or network engineering candidates would be the first signal.
Potential inflection point
Indeed's national Job Postings Index turned positive year-over-year for the first time in nearly four years, suggesting hiring intent may be stabilizing nationally. Whether this translates to increased Colorado Springs IT postings, particularly in cloud and security, will indicate if the metro's talent squeeze eases or tightens further into Q4.
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