Navigating the new tech landscape: Growth beyond the career ladder
Recently, I came across a question from a seasoned tech professional in Germany grappling with a common dilemma: Stay in a stable, well paying job or risk a switch for growth in a tougher market? It’s a question many of us in tech are asking, especially those of us who have been in the same role for several years.
Having worked in the industry for over a decade and coached many through similar career crossroads, I want to offer a different perspective on career growth in today’s market. The rules of the game have changed significantly.
The shifting sands of the tech market
The tech sector is moving from a market of scarcity and novelty to a saturated and standard employment environment.
In the past, promotions were fast because organizations were growing rapidly. The only way to increase output was to increase headcount, which created a constant need for taller organizational structures and many leadership or seniority layers.
The pandemic was an unrelated variable that stalled companies during this high growth stage. Since then, uncertainty levels have stayed high due to factors both related and unrelated to the industry. Consequently, career progress is now slower, and leadership roles are becoming less available. The era of automatic rapid advancement is largely behind us.
Two paths to growth in a mature market
If the traditional ladder is getting harder to climb, how do we grow? I see two primary avenues for tech professionals today, both of which require a significant shift in perspective from being a hands on engineer:
- Become business or product oriented: This means moving away from pure implementation to focus on how technology delivers value. You become the bridge between the code and the ROI.
- Stay at the cutting edge of AI: This involves immersing yourself in the AI revolution to stay competitive. It’s not just about using the tools, but understanding how to integrate them into core business processes.
A reality check on compensation: Neither of these paths guarantees that your salary will remain at pre pandemic levels. On average, industry salaries are currently 15% to 20% lower than they were during the peak.
Understanding your true motivators
Before making any career move, I always recommend that people fully understand their personal motivators. Every move up will inevitably impact one of these three critical areas: Income, Quality of Life, or the ability to be hands on.
How to choose your next move:
- If you are motivated by income: Now is likely not the time to move. The market is not rewarding job hopping with significant pay bumps as it once did.
- If you are motivated by title: Be ready to walk away from either a significant amount of money or your quality of life. These roles now come with higher stakes and often less flexibility.
- If you are motivated by complexity: You don’t necessarily need a new role to find challenging problems to solve. You just need to position yourself in your existing role as someone who can and wants that type of responsibility.
Finding your north star
Your motivators and what you value most must be your primary guides. While moving up the ladder is undeniably hard, facing the reality of having to step backward because you’ve burned out or lost your passion is often much harder. Don’t let the pressure to grow trap you in a role you don’t actually enjoy.
Whatever your main motivator is, your manager needs to be an ally for your career. They are the ones who will advocate for your promotion, a salary increase, or the possibility of taking on more challenging projects. You need to be transparent: explain what you want, where your strengths lie, and where you see opportunities for development. A good manager will be ready for this conversation—it is part of our role to understand our direct reports and stay ahead of situations like this.
Conclusion
The tech career landscape has evolved, but that doesn’t mean growth has vanished. It has simply changed form. By understanding these new market dynamics, being honest about what truly motivates you, and turning your manager into an advocate, you can navigate this slowdown without stagnating.
Good luck.