The report shows almost three-quarters (74%) say it is taking longer to find a job than a year ago, while 58% said they would now become less selective about the type of job they applied for.
Alex Farrell, managing director of The IT Job Board, which produced the report, said: "IT candidates are having to work harder than ever to find employment. We are now seeing that they are being forced to set their expectations lower."
Approximately 200,000 IT/technology jobs have been lost globally in the past three month. Analyst Markit Economics finds that total demand for staff has fallen at its fastest rate since its surveys began more than ten years ago.
Meanwhile, banks, retailers and government departments are facing severe skills shortages of IT technicians with mainframe skills.
Mainframes first originated in 1964 but experienced staff are now retiring, leaving companies with business-critical gaps, according to software firm CA.
Research CA carried out among 180 organisations revealed two-thirds feared a shrinking mainframe workforce.
Despite the age of the technology, mainframes still handle 59% of data in firms with more than 3,000 staff.