By Jo Best, 15 July 2004 16:00
NEWS
The IT jobs market is in its healthiest state for two years, with IT organisations falling over themselves to hire new bodies.
Research from Reed recruitment has found that 68 per cent of IT organisations will be recruiting in the coming quarter, with an extra 26 per cent saying they'll be making new hires to keep up staff numbers.
While office-hopping might be in, IT organisations' faithful employees needn't worry too much about the possibility of a P45 and a large cardboard box waiting for them one morning, with only six per cent of IT organisations saying they expect to make redundancies in the next quarter.
IT is storming ahead of other industries in recruitment, with only 27 per cent of public sector and 38 per cent of manufacturing organisations saying they'll be adding new staff.
With recent reports questioning whether the tech sector really has recovered, should IT workers be getting excited about improvements in jobs market just yet?
Steve Hallett, regional manager at Reed technology, said the signs for an upturn were promising if not conclusive.
"We're seeing some very good indicatorsÂ… Following a very flat period over the last couple of years, there are some very encouraging signs," he said.
Another sign of the IT jobs market returning to stability is techies returning to contracting. During the downturn, many contractors saw rates dropping and work drying up – prompting a move to the more stable world of permanent employment.
While techies may be hesitant to rush back into job hunting, however, there may be one knock-on effect that should please everyone – wages increasing.
Hallett said: "We're beginning to see salaries improving slightly; contractor rates are improving as well. From that perspective, it looks like there are some green shoots."
Comments
There are 11 comments. Join the discussion
1. Alistair Dickinson
This is truly great stuff, we have doubled our team in Q2 and the work keeps coming. We are actively recruiting and it seems with the launch of .net and windows 2003 we are ready for another boom in software development
2. Roger P Murphy
Any increase in employment whatever the field is a very wlcome sign indeed.
However, will any of this increase in recruitment benefit those over the age of 35 years of age?
Let us not forget the issue of ageism within the IT industry.
Thsi could be an excellent opportunity for IT employers to demonstrate they do employ us more mature members of society.
3. anonymous
I will believe this when I see it, in my pay packet.
I think this story is a bit of hype to try and make people feel better for the future, and persuade people to 'hang on in there, the turn is just around the corner'
Unfortunately, the turn has been just coming for the past year, and a lot of people have been hurt by it.
As for returning to contracting. No way, the risks are far too great. I lost my home, wife, livelihood and everything I had worked for because of the downturn in the market and agencies refusing to believe I could do the job.
But I think my age (over 35) came into play here.
If the jobs market does pick up, it also means boom time for agents. Will this mean an influx of the cowboy agents (and contractors) hitting the market for the rich pickings. Or will it mean that the rogue agencies go to the wall?? Or will agency margins decrease or increase?
4. Ian Mumford
Not in our company - 2% pay rise this year in server support. I can't see any 'jobs boom' in my field with the rapidly increasing trend in offshoring the work to India.
5. anonymous
This is all hype and rubbish as far as too many over 35s are concerned
6. anonymous
pay rise, what's one of those?
7. Anonymous too
Ooh the negativity. This industry seems so schizo. I mean lets be realistic its a job like any other. You don't hear people in the manufacturing sector compalining all over the net of how hard they had it. Lets just admit it lots of us did well during the boom, money, respect, the women, just kidding....and now not that much money and not that much respect....get use to it.
8. anonymous
If this article is true... IBM hasn't waken up to it yet. Who are looking to move people from IT support and turning the financial screw on skills development?
9. Gavin Bowring
I dont see any positive signs where I'm at. Treat these articles with skepticism. Most computing graduates that I know of are in jobs that do not require a degree.
10. Harassed Computer Science Graduate
Pfff. I've yet to see much evidence of that in the Midlands.
11. Richard Healy
This person is clearly a Moron.