As Tech Hiring Slows, This Industry is the Fastest-Growing Employer in the U.S. Hospitality has rebounded from pandemic lows and outpaced other industries for hiring in the first half of 2022 and has now become the leading employer in the U.S. as of January 2023.

By Madeline Garfinkle Edited by Jessica Thomas

Opinions expressed by Entrepreneur contributors are their own.

10'000 Hours | Getty Images

The pandemic triggered massive changes in the job market. While tech and information industries saw a spike in demand, companies went on a hiring frenzy as the hospitality and food space cut back on jobs amid lockdown. Now, the tables have turned.

As the world emerged from the pandemic, hospitality began rebuilding its workforce and outpaced all other industries for the first half of 2022 and has now become the leading employer in the U.S. as of January 2023. Meanwhile, jobs in the tech and information world declined, according to data from The Wall Street Journal.

"The sectors that are seeing above-average layoffs are those that saw explosive head-count growth after the pandemic," ZipRecruiter chief economist Julia Pollak told the outlet.

Related: Microsoft Layoffs Signal Layoffs for Other Tech Companies

In essence, the widespread layoffs in tech are in part due to the widespread hiring that happened in 2020. Although the layoffs and hiring freezes might ignite panic, the shift signals that the job market for tech is actually restoring to pre-pandemic levels.

Tech giants like Amazon, Meta, Microsoft and Google have all trimmed their workforces over the past year as demand wanes and economic conditions remain uncertain. Conversely, the hospitality industry, including bars and restaurants, has bounced back and become the fastest-growing employer in the U.S.

A close second is the healthcare industry, which also saw a major hit during the pandemic. In January alone, hospitality and healthcare added 207,000 workers, making up nearly half of the month's private sector growth of employment, according to The Wall Street Journal data.

Related: Five Key Trends To Look Out For In The Hospitality Industry In 2023

Madeline Garfinkle

News Writer

Madeline Garfinkle is a News Writer at Entrepreneur.com. She is a graduate from Syracuse University, and received an MFA from Columbia University. 

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Buying / Investing in Business

From a $120M Acquisition to a $1.3T Market

Co-ownership is creating big opportunities for entrepreneurs.

Business News

AI Could Cause 99% of All Workers to Be Unemployed in the Next Five Years, Says Computer Science Professor

Professor Roman Yampolskiy predicted that artificial general intelligence would be developed and used by 2030, leading to mass automation.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Buying / Investing in Business

Big Investors Are Betting on This 'Unlisted' Stock

You can join them as an early-stage investor as this company disrupts a $1.3T market.

Leadership

Lead From the Top: 5 Core Responsibilities of a CEO

Knowing exactly what the chief executive's role entails is critical for steering a company to success.