IT recruitment suffers first slip in 18 months

Recruitment in the IT industry has slowed for the first time in 18 months, according to research from e-Skills UK.

Online and print recruitment advertising fell by five per cent during the first three months of this year, and the number of technology jobs registered with Jobcentre Plus also dropped.

Some 9,500 IT vacancies were registered with Jobcentre Plus during the first three months of 2005, one-third less than in the previous quarter.

‘The revival of the ICT labour market faltered during the first quarter of 2005,’ says the e-Skills Quarterly Review of the ICT Labour Market. ‘Following five quarters of demand growth, the number of advertisements for ICT staff posted in the press and on the web fell by five per cent.’

The report shows that skills shortages among potential candidates – and gaps in existing employees’ knowledge – have shrunk during the period.

But while the IT recruitment market is favouring employers, companies are still struggling to fill certain posts, including systems developers, programmers and technical support staff. Demand for technical skills in internet telephony and Linux is also on the rise.

But Forrester Research says the need to fill these posts in-house will decline over the coming year as businesses look to outsource to systems integrators or move IT projects to cheaper labour pools overseas.

‘Companies will need fewer programmers, technicians and developers because they are outsourcing more,’ said Richard Peynot, senior analyst at Forrester.

‘IT professionals will need to learn higher level skills. They will need to know how to discuss technology needs with different departments so they can better support business processes.’

Management skills, such as handling supplier contracts, negotiation and contract law, will also be crucial for IT executives, says Peynot.

The e-Skills report also shows that female IT professionals earn less than their male counterparts. It estimates that women earn 12 per cent – or on average £77 per week – less than male IT workers.