13/11/2001

IT labour market survey predicts slight slowdown

The National Computing Centre (NCC) annual trends survey for 2002 has revealed expectations of a slowdown in the IT labour market.

The NCC reported that measures of IT labour market activity during the past year, such as the numbers of IT staff leaving and joining, showed very little change on the previous year, responses from the 490 participating organisations estimated that demand for IT staff over the next two years would be slightly lower than last year.

However, respondents expected that the demand for all IT staff would grow by 12 per cent over the next two years, and demand for development and support staff would grow by almost 15 per cent.

While these figures are slightly lower than the equivalent figures for last year, 13 per cent and 17 per cent respectively, despite the wider current economic situation, the outlook for IT staff remained positive.

The survey found that the perceived shortage of IT development and support staff had fallen from 8.3 per cent of staff in-post in last year's survey to 6.3 per cent this year. The NCC said that went hand in hand with the dip in demand and signalled that the specific skills shortage is being tackled.

In over three-quarters of cases, internal training of existing staff was favoured as the means of acquiring new skills, indicating that organisations planned to meet specific skills shortages by developing their own staff.

The report also noted that the use of contractors continued to fall and that geographical region had the most consistent impact on salaries, with IT staff in Greater London and the South East paid more on average than staff in other parts of the UK. (SP)

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