Information Technology Salary Survey & Employment Overview 2016
Information Technology Market Overview 2016
Overall, the labour market is definitely recovering, a fact that is easy to see in most domains. The evidence is there with regular announcements of growth in various sectors and job creation in others. There has been quantifiable data to support these signs: an increase in employment, a decrease in unemployment (both with number and long-term unemployed). We can say with certainty that 2015 has seen a truly positive year for the Irish economy.
So, what are the areas that have been most notable for growth? What areas have seen the biggest shift in skills needed? What areas will be the beacon for growth in 2016?
Throughout 2016, Ireland has continued to see investment from sources locally and abroad. Not all of these were Multinational Organisations (where the IDA reports over 15 thousand jobs were created in January and that number is set to increase for 2015) – many smaller companies have established themselves in Ireland in 2015, a sign that risk and trust in the local economy is at a high. This shift towards small firms and self-employment, as well as an increase in the number of professionals engaged in entrepreneurship and business growth are all indicators that the economic recovery is raising business confidence.
The need for local talent is higher than ever and many companies are looking at more creative ways to attract the pool of IT talent locally. After all, many companies have decided to move here for a number of reasons – one of those reasons being the high calibre of IT professionals already present in Ireland.
There is some good news, however, with one statistic released showing that 18% more professionals have decided to come to Ireland than leave in Q3 of 2015. With this data, it is understood on a wider scale that Ireland is among the top destinations for foreign talent to explore the next stages of their careers.
“The need for local talent is higher than ever and many companies are looking at more creative ways to attract the pool of IT talent locally.”
Overall, salaries have steadily increased across all areas of IT, most notably in Software Development, Data Analysis/Science and Information Security, all exhibiting up to 10% increases in base salaries. Software Development has traditionally seen the most robust upwards trajectory of salaries and this trend continues with no sign of slowing down in 2016.
The data obtained in our research also underscores this positive momentum in the Irish economy. According to our research, 71% of IT professionals received a salary increase this year. Professionals in this sector are also very content with their remuneration packages with an impressive 82% rating theirs as positive or very positive.
Some of the respondents of our survey found that it was difficult for smaller companies to adjust to the almost real-time change in overall salary expectations. Multinational companies find it easier to adapt to these rapid inclines not only by adapting their base salaries (which they do not do as well as some of the smaller companies), but by augmenting the total package with strong incentives, such as: non-standard benefits (e.g. dental), support (educational, well-being), a well-defined career path and, in some cases, reference manuals and case-studies of what it is like to work for their company and what they can expect if they made the decision to join them.
Over 2015, we have spoken to hundreds of IT professionals and there has been a very positive response to these incentives, especially when many others do not offer them. It seems to be a question of confidence, and many of the companies hiring the best talent at higher volumes seem to know that it works. One of our clients offers most of these things and focusses a majority of their technology hires in the most highly sought-after areas such as Java & .NET Development, Data Analysis, Business Analysis, Automation Testers and DevOps, and they have experienced huge successes this year with over 300 hires.
Over the last 3 years, the specific sectors that are most in demand have changed just as quickly as the local IT landscape. Last year, the hype was Software Engineering and Testing. This year, these areas are still sought after but rising rapidly through the ranks are Cloud Engineering/Support, Information Security, and Data Analytics.
The Year Ahead
Growth in the IT sectors is expected to continue in 2016 – with some economists predicting GDP growth of up to 6%. As well as the Finance, Construction and BioPharma sectors, this will also be spearheaded by the Technology industry in Ireland.
It is expected that the need for Infrastructure professionals, especially Cloud experts, will become increasingly in demand as more businesses move some, or all of their infrastructure to the Cloud.
Also, as more businesses leverage data to their advantage in the struggle to push ahead of their competitors, the analysis of this data and the ultimate use of it to increase revenue will be increasingly important. This is a trend that is well underway but we are already seeing an increase in demand in areas that could be considered less obvious than the usual suspects (Telecoms, Marketing, etc).
Ultimately, Ireland seemingly has the DNA to succeed in what it has already proven to be more than capable of starting on a global scale: to attract talent, investment, and commitment from all over the world, with players such as London, Tel Aviv and Silicon Valley all vying for their share.