The technology industry is booming, even in the grim economic condition worldwide. IT professionals are taking advantage of the opportunity to receive a high salary package. In this article at CIO Dive, Roberto Torres confirms that organizations have increased their annual spending on employees by up to 4.6 percent. According to a recent Forrester Research, 2022 will see a sharp rise of 5.4 percent to talent acquisition budgets.
Employee Retention
The year-on-year hiring, high salary package, and other benefits signify that the technology industry aims to retain talented employees. Growing demands for data science and artificial intelligence are the prime reasons for tech staff spending. However, Andrew Bartels, VP and principal analyst at Forrester, believes that other categories also aid the rise in annual spending. For instance, cybersecurity, computer information systems officers, and smart CIOs are responsible for industry growth. So, companies are open to entice them with a high pay package.
Outsourcing Costs
The annual budget is no longer limited to hiring employees. The tech spending is also for outsourcing employees. As a result, the 2021 budget for outsourcing is also surging upward by 6 percent. Similarly, 2022 will see another 6.8 percent growth in the budget to acquire outsourcing talent.
The global pandemic has hit other industries, including oil and gas, leisure and entertainment, and travel. So, 2020 saw the layoff of technology staff from such sectors. The IT industries took advantage of it by hiring employees that remained unemployed in 2020. Technology companies have doubled their online presence, courier, and at-home delivery services using the skilled staff from falling industries.
By adopting the low-code, less-expensive tools, IT companies increased their budget for hiring web developers and software engineers. The ongoing trend is boosting the need for workforce and employee budgets. According to the recent data from CompTIA’s Cyberstates 2021 report, the software development industry is estimated to grow by 5 percent.
Furthermore, hybrid work deployment contributes to enticing skilled talent by allowing them to work from anywhere. Technology enterprises are ignoring geographical boundaries to maintain smooth operations. According to a Gartner report, employers are keen to access top talent for their skills and experience to expand their digital presence.
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