BCS Northampton Skills Gap Event. Richard Bradshaw Matt Collingwood
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1 BCS Northampton Skills Gap Event Richard Bradshaw Matt Collingwood 26 October 2007
2 Agenda Introduction to Computer People UK IT Market 2007 Trends and demand Future Technology Salary and employment survey and its findings Questions Slide 2
3 Background to Computer People IT Division of Adecco the world leader in human resource solutions Over 20bn turnover Computer People the UK s leader in IT recruitment, with 600 Staff across 24 Locations 28% growth on last year 5,500 contractors and 2,500 permanent placements Established in 1972 Supply 76% FTSE times 100 Companies 2004/2005/2006 voted Sunday Times top 100 Company Slide 3
4 UK IT Market 2007 Believe it or not UK technology professionals have the fourth highest salaries in the world, after Switzerland, Denmark and Belgium. Three main factors:- 1. Offshore Market 2. London 3. Overseas Investment into UK Slide 4
5 UK IT Market 2007 Maintaining the current prosperity:- Professional training will be crucial to achieving and maintaining competitive salary levels and high-value roles in the UK. Developing people with ever better skills will reflect in their salaries. There will always be an employer that will pay more, so UK firms must not only offer competitive salaries but also career, professional training and lifestyle benefits. Turning round the current trend of non-technical degrees e.g IT. Higher number of university candidates are taking softer skill degrees. Focus on commercial experience opportunities for graduates. Current employers will often find strong candidates on paper, however in reality the commercial experience and skills of the workplace are lacking. Slide 5
6 Trends and demand Key technology trends Changing the demands on IT professionals and users and impacting on the future skills needs of the industry: New channel strategies Remote and collaborative working Standardisation Outsourcing The 'Info glut' Privacy and security The i-generation workforce IT as a utility The social impact of computing Slide 6
7 Future Technology Policy and Process Content/Media/Gaming Smaller is Better! Wireless, Connections, Telco, ISP s I.T. Must be fun! Web2.0 Slide 7
8 Salary Survey First edition of Computer Weekly/Computer People salary and benefits survey of IT professionals Independent, authoritative and accurate assessment of remuneration, benefits and employment characteristics of the IT market Online self completion questionnaire ed to 66,857 contacts from the RBI Computer Weekly Group database Respondents incentivised by entering them into a cash prize draw The results were analysed by an independent research company Slide 8
9 Average permanent current salary (excluding benefits) by job role Architects commanding highest technical salaries Support roles well remunerated Business Analysis not commanding salaries as high as Project Management Slide 9 Director/ Head of IT 65,720 Other Director 61,475 IT Dept Head Architect Overall Head of IT Consultant Project/ Team Leader Project Manager Dept Manager 48,638 48,373 44,626 44,283 41,193 40,888 38,995 IT Manager Business Analyst 38,440 35,714 Developer/ Support Analyst/ Programmer Support Analyst Support 33,083 32,366 28,614 25,916 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0
10 Average permanent current salary (excluding benefits) by skill set Business Skills key understanding business and IT benefits ERP/CRM are also highly desired No great variance for development technologies Slide 10 Business Skills 52,216 SAP Oracle Cisco MS.Net Technologies Java C SQL Linux Unix Cobol C ,000 50,000 40,000 30,000 20,000 10,000 0
11 Average current salary (excluding benefits) by location London and South East continue to command higher salaries Scotland/Ireland - 36,535 Scotland & Ireland are experiencing the highest YOY growth in salary North - 34,173 Midlands - 35,900 South West - 37,460 South East - 43,207 London - 48,165 Slide 11
12 Average contractor rate per hour (excluding benefits) by job title Architects again top technical contractor rates Support roles again offering high-end contractor rates Slide 12 Other Director 100 Overall Head of IT Architect FD/ Partner/ MD IT Department Head Consultant Project Manager Business Analyst Analyst Programmer Dept Manager Developer IT Manager Project Leader Support Analyst Support (2nd line)
13 Average contractor rate per hour (excluding benefits) by skill set ERP/CRM high demand/price C++, C#, Java also top earners Business Skills not as desirable as development platforms Slide 13 SAP R/ 3 71 C++ C# Java Oracle 10g MS.Net Unix SQL Business Skills Linux COBOL Cisco MS Office MS Windows XP
14 Slide 14 Work-Life balance is increasingly important Contributory Pension Health Plan Mobile Phone/ Phone Bill Performance Related Bonus Flexi Time Paid Paternity Leave Share Option Scheme Paid Overtime Car Allowance Non-Contributory Pension Flexible Benefits Season Ticket Loan Company Car Petrol Allowance for Private Car Paid Maternity Leave Profit Share Gym Membership Petrol Allowance for Company Car Guaranteed Bonus Subsidised Mortgage Creche Housing Allowance Other A third receive a health plan 0% 10% 12% 11% 11% 11% 9% 9% 6% 4% 1% 1% 1% 5% 20% 30% 40% 33% 30% 23% 20% 20% 19% 16% 14% 2 in 3 respondents have a contributory pension as part of their package 50% 45% 37% 60% 70% 63% Current benefits packages (permanent employees)
15 Job seeking status Permanent Contractors 26% 14% 60% Actively searching Keeping an eye on jobs market Neither 60% 11% Actively searching 29% Keeping an eye on the jobs market Neither Slide 15
16 Importance of factors in job 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Not at all important Not very important Fairly important Very important Extremely Important Slide 16 Challenging/ interesting work Recognition of work done Job security Freedom to make decisions Career prospects Salary/ rate Relationship with colleagues Location Adequate resources Degree of responsibility Holiday entitlement Training Physical working environment Fringe benefits/ Perks
17 Reasons for leaving previous employer Career Progression & Salary formed the major push factor for perm employees Contract Ending, Rate and Career Progression were the reasons most contractors left their last post 60% 20% 18% 18% 18% 17% 13% 12% 10% 9% 9% 9% 8% 8% 7% 7% 7% 7% 5% 5% 4% 4% 3% 1% 0% 32% 49% 50% 40% 30% 20% 10% 0% Career progression Salary/ rate New challenges Location of job Pay and conditions Potential for Interest of work Degree of Job security Stability of Recognition of job Merger/ takeover Personal Relationship with Technology Contract ended Company's Redundancy Training opportunities Flexibility of work Resources Workload Perks/ fringe benefits Senior support and Closure of business Retirement Permanent Contract Slide 17
18 Methods used to search for a new job A Blended Recruitment Strategy achieves best results 24% 23% 20% 20% 18% 29% 35% 49% 46% 12% 6% 70% 60% 50% 40% 30% 20% Recruitment Agencies are the most frequently used method for searching for a new job in IT 10% 0% Recruitment agencies Newspaper adverts Online adverts Recruitment IT specific job websites Word of mouth Trade journal adverts Recruitment general job websites Websites of prospective employers Direct applications Referral Job fairs Permanent Contract Slide 18
19 Questions Slide 19
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