Talent Pool and Skills Availability
As of December 2024, Denver’s IT sector is experiencing significant growth, with a notable increase in high-tech employment. The Denver-Aurora-Lakewood metropolitan area has seen a 23.7% rise in tech jobs, positioning it among the top U.S. cities for tech employment growth. This expansion reflects the city’s robust demand for IT professionals across various industries.
The talent pool in Denver is characterized by a high concentration of business and financial operations roles, accounting for 10.3% of local employment, compared to the national average of 6.6%. This indicates a strong presence of professionals with skills applicable to the IT sector, such as data analysis and project management. However, the rapid growth in tech employment suggests a continuous need for skilled IT professionals to meet the evolving demands of the industry.
Denver Hiring Trends for December 2024
As of December 2024, Denver’s employment landscape reflects various trends across sectors:
Denver Hiring Trends for December 2024
- Demand for IT professionals remains steady, particularly in software development and cybersecurity.
- Hybrid and remote work options dominate hiring strategies.
- Certifications like Google Cloud Architect and CISSP are in high demand.
Overall Employment Trends
- Denver’s unemployment rate is 4.1%, matching the national average.
- Nonfarm employment remains stable, with education and health services showing growth.
- Professional and business services face fluctuations, impacting IT hiring.
Sector-Specific Insights
- The information sector remains a stable contributor to the local economy.
- IT roles are increasingly integrated into manufacturing and trade sectors.
- Growing demand for skills in cloud computing and AI-driven technologies.
Unemployment Rates
- Denver’s 4.1% unemployment reflects a balanced labor market.
- IT sector unemployment remains below the city average due to consistent demand.
Work Environment and Preferences
- Hybrid and remote work models are widely preferred by employees and employers.
- Companies are prioritizing flexible arrangements to attract top talent.
- Employees increasingly value work-life balance and adaptable schedules.
Average Salaries and Cost of Living
Average Salaries in Denver’s IT Sector
- IT salaries in Denver are competitive, with averages ranging from $74,000 to $112,000 annually, depending on role and experience.
- Total compensation often includes benefits and bonuses, enhancing overall earnings.
Cost of Living in Denver
- Denver’s cost of living is ~9% higher than the national average, driven by housing expenses.
- Housing costs are 16% above the national average, with rents averaging ~$1,810/month.
- Utilities are below the national average, but groceries are slightly higher.
Denver offers strong IT salaries, but the elevated cost of living, especially for housing, is a key consideration.
| Job Title | Average Salary ($) |
|---|---|
| Service Desk | $60,000 |
| Desktop Support | $55,000 |
| NOC | $65,000 |
| Systems Administrators | $80,000 |
| Network Engineer | $95,000 |
| Voice and Telecom | $85,000 |
| Cybersecurity | $115,000 |
| Cloud Engineer | $125,000 |
| Database Administrator | $96,000 |
| Technical Writer | $70,000 |
| DevOps | $130,000 |
| Full-Stack Developer | $110,000 |
| Java Developer | $120,000 |
Workforce Preferences and Trends
As of December 2024, Denver’s IT workforce trends highlight a shift toward flexibility, career development, and work-life balance. Companies are adapting their strategies to meet these expectations, offering competitive compensation, remote work options, and pathways for professional growth. These trends reflect the evolving priorities of IT professionals and the dynamic nature of the Denver job market.
Flexible Work Arrangements
- Remote work is highly preferred, with 67% of IT professionals favoring full-time remote roles.
- Hybrid work models now account for 22% of job postings in Denver.
- Employers are prioritizing flexibility to attract and retain top talent.
Career Growth and Compensation
- Career advancement opportunities are key to retaining IT professionals.
- Employers are investing in continuous learning and clear progression paths.
- Competitive salaries remain a critical factor in attracting talent.
Work-Life Balance
- Work-life balance has become increasingly important for IT employees.
- Flexible hours and remote options are popular strategies to support balance.
- Companies are implementing policies to address personal and professional needs effectively.
These insights underscore the importance of aligning workplace policies with workforce expectations to maintain Denver’s competitive edge in the IT sector.
Hybrid work is now the most popular setup, showing the highest growth across all experience levels.
Major IT Industries and Employers
Denver’s IT sector is a dynamic and integral component of the city’s economy, encompassing a diverse array of industries and prominent employers.
Major IT Industries in Denver
- Telecommunications: Denver’s strategic location and infrastructure have attracted major telecommunications firms, establishing the city as a central hub for communication services.
- Healthcare IT: The convergence of healthcare and technology has led to a robust healthcare IT industry in Denver, with companies focusing on innovative health solutions.
- Financial Technology (FinTech): Denver’s growing financial services sector is complemented by a vibrant FinTech industry, driving advancements in financial technologies.
Prominent IT Employers in Denver
- Gusto: A leading HR technology company providing comprehensive payroll and benefits solutions, with a significant presence in Denver.
- Ibotta: A Denver-based mobile technology company specializing in cash-back and rewards platforms, contributing to the city’s tech innovation landscape.
- Trizic: A financial technology firm offering digital investment solutions, playing a key role in Denver’s FinTech ecosystem.
- Google and Amazon: Both tech giants have expanded their operations in Denver, enhancing the city’s reputation as a burgeoning tech hub.
These industries and employers collectively contribute to Denver’s status as a thriving center for IT innovation and employment.
Real Estate and Office Space
Office space in Denver is relatively affordable compared to other tech hubs, with the average asking rent around $30 per square foot. The city’s ongoing real estate developments provide flexible options for companies looking to establish a presence or expand existing operations. Areas like LoDo and the Denver Tech Center are particularly popular for tech offices.
Downtown Denver
The central business district featuring high-rise office buildings, corporate headquarters, and coworking spaces. Popular among financial services, law firms, and technology companies.
Denver Tech Center (DTC)
Located south of downtown, the Denver Tech Center is known for its concentration of technology companies, telecoms, and business parks. Ideal for companies looking for modern office parks and easy access to I-25.
LoDo (Lower Downtown)
A vibrant area with a mix of historic and modern office spaces. Known for its close proximity to Union Station and walkable amenities like restaurants, cafes, and entertainment venues.
RiNo (River North Art District)
An emerging hub for startups, creative industries, and technology firms. The area offers a mix of industrial and modern office spaces, with a creative and entrepreneurial atmosphere.
Boulder
Just outside Denver, Boulder is home to several tech companies and research firms, with a strong focus on startups and environmental technology. The presence of the University of Colorado provides a pipeline of talent.
Interlocken Business Park
Located between Denver and Boulder, Interlocken is a prominent business park housing technology companies, software firms, and professional services with easy access to U.S. 36 and proximity to Broomfield.
Highlands Ranch
Located southwest of Denver, Highlands Ranch offers suburban office parks and is a popular location for regional corporate offices and customer service centers.
Most Valuable IT Certifications in Denver
These are the most valuable IT certifications in Denver for boosting your team’s capabilities. Cloud credentials like Google Cloud Architect and Azure Administrator ensure expertise in cloud architecture, while CISSP and Security+ strengthen cybersecurity proficiency. Adding project management and networking certifications rounds out a well-equipped IT team to excel in Denver’s competitive tech market.
| Certification | Description |
|---|---|
| Google Cloud – Professional Cloud Architect | Validates skills in designing, developing, and managing secure, scalable cloud solutions on Google Cloud. |
| AWS Certified Solutions Architect – Professional | Demonstrates expertise in designing scalable cloud systems using Amazon Web Services. |
| Certified Information Security Manager (CISM) | Recognized for managing and overseeing information security programs in organizations. |
| Certified Information Systems Security Professional (CISSP) | Proficiency in designing and managing cybersecurity programs across industries. |
| Project Management Professional (PMP®) | Highly regarded for managing IT projects and demonstrating project management expertise. |
| Cisco Certified Network Associate (CCNA) | Establishes a solid foundation in networking, ideal for entry and mid-level roles in network administration. |
| CompTIA A+ | Entry-level certification that covers essential IT skills like hardware, software, and troubleshooting. |
| Network+ | Validates foundational networking skills and is ideal for network support or administration roles. |
| Security+ | Focuses on core cybersecurity skills, including threat management and risk mitigation. |
| Microsoft Certified: Azure Administrator Associate | Proficiency in managing Azure cloud services, including storage, networking, and security. |
Denver’s Data Center Landscape
Denver is becoming a key hub for data centers, with several major facilities and trends shaping the local market:
CoreSite DE3 Data Center: CoreSite is expanding its Denver footprint with the DE3 campus, adding 322,000 square feet and 60 MW of critical power, connected to their existing DE1 and DE2 centers, ideal for scalable colocation and connectivity solutions. (CoreSite)
DataBank Colocation Facilities: DataBank operates five data centers in Denver, providing 145,530 square feet of space and 24.5 MW of IT capacity, offering hybrid IT infrastructure for secure and cost-effective solutions. (DataBank | Data Center Evolved).
H5 Data Centers Denver: H5’s 300,000-square-foot facility supports high-density IT deployments with advanced cooling and connectivity, emphasizing sustainability through energy-efficient technologies. (Datacenters).
Business Incentives and Taxes
Colorado offers several business incentives that make Denver an attractive location for tech companies. These include tax credits, grants, and support for job creation. The Strategic Fund Incentive and the Job Growth Incentive Tax Credit are popular options for companies considering relocation or expansion.
Job Growth Incentive Tax Credit
A performance-based incentive providing state income tax credits equal to 50% of the Federal Insurance Contributions Act (FICA) paid by the business on net new job growth each year during the credit period.
Enterprise Zone Tax Credits
Businesses operating within designated enterprise zones in economically distressed areas of Colorado are eligible for various tax credits, such as:
- Enterprise Zone Job Training Tax Credit: 12% of eligible training costs.
- Enterprise Zone New Employee Tax Credit: $1,100 per net new employee.
Strategic Fund Job Growth Incentive
Offers a cash payment to businesses that create and maintain new permanent jobs in Colorado for at least one year. This program supports business expansion and relocation efforts.
Manufacturing Sales and Use Tax Exemption
Exempts state sales and use tax on purchases of manufacturing machinery, machine tools, and parts. Businesses in enterprise zones may qualify for an expanded exemption to include non-capitalized equipment and parts.
Advanced Industry Investment Tax Credit
Provides tax incentives to investors who support high-tech and advanced industry companies by helping these companies receive capital from local investors.
Enterprise Zone Commercial Vehicle Investment Tax Credit
Offers a state income tax credit for 1.5% of the purchase price of new commercial trucks, semi-trailers, and associated parts registered in Colorado and used in an enterprise zone.
– Need IT Talent in Denver? Tier2Tek Can Help! –
Finding top IT talent in Denver can be challenging in today’s competitive market. Tier2Tek simplifies the process by connecting you with skilled IT professionals that fit your business needs, whether for cloud solutions, cybersecurity, or project management. Let us help you build a strong team to drive your business forward.