How is confidence faring among the UK’s tech workforce?

CWJobs’ Confidence Index 2020 reveals that 81% of tech professionals have confidence in the current state of the tech industry. And nearly half of IT decision makers believe their business will increase tech budgets in the future because of new learnings from Covid-19.

Our survey findings show that the tech industry is holding strong despite concerns over the impact of coronavirus. Moving forward, recruiters need as much insight as possible to navigate the current tech job market.

Let’s take a closer look at the survey findings to see what employers and recruiters can learn from the results:

The tech skills needed now

This year’s Confidence Index reveals that 37% of tech professionals are most confident in the skills within the industry – an increase from 35% in 2019.

In order to maintain this confidence and to continue developing these vital skills, employees need to have the opportunity to upskill, retrain or even start a new career in tech. Our own CWJobs data shows that many candidates are incredibly active during this period and are continuing their job searches.

According to TechNation’s 2020 Report, UK tech employment has grown by 40% in the last 2 years, now accounting for 9% of the national workforce. As time goes on, the demand for tech skills is only going to increase, and the companies that thrive post-Covid-19 will be those who have the talent to drive performance and innovation.

Customised learning is key to retaining top talent and companies need to invest in ongoing training to inspire commitment. Gathering feedback from workers on the areas they want to upskill in is the first step to providing tailor-made training programmes.

At a grass roots level, companies should also aim to partner with schools and colleges to make students aware of the opportunities that exist in tech.

The nation’s tech capabilities

Our report finds that 36% of IT professionals are most confident in the technology that’s being produced in the UK – an increase of 2% from 2019.These findings echo the results of KPMG’s 2019 Technology Hubs Innovation report, which revealed that the UK is now the third most promising country in the world for technology breakthroughs with a global impact.

To maintain this confidence in UK technology, companies need to continually attract top talent. Intrapreneurship and innovation need to be actively encouraged to develop new partnerships and increase competitiveness in the marketplace.

Companies can inspire innovation by providing employees with the freedom to research specific areas that they’re interested in, coming up with creative ways to solve problems using technology.

The UK as a global IT leader

Our Confidence Index reveals that 28% of tech professionals are confident in the UK’s status as an IT leader. To maintain confidence the UK tech sector’s global leadership, companies should aim to promote the UK tech sector to continue attracting and retaining talent.

Tech recruiters should also aim to offer attractive relocation packages for workers who are willing to relocate within the UK. Incentives that help cover logistics like moving costs, legal fees, travel costs, and temporary accommodation can be a valuable recruitment tool.

According to TechNation, investments in the UK tech sector soared to £10.1 billion in 2019, making the UK the global leader in tech growth. Moving forward, the Chancellor of the Exchequer, Rishi Sunak, has unveiled a number of plans to support the tech industry following the coronavirus pandemic. Companies should therefore stay focused on ensuring that the right skills are in place to expand in the future.

Concerns among the tech workforce

While confidence in the UK tech sector remains high, 52% of tech professionals are most concerned about the state of the economy after Covid-19. With many employees now settled into remote working, businesses who have managed to respond to the need for flexibility, are benefiting from continued operations. Those who continue to offer this flexibility after the pandemic will have a competitive edge over the competition.

Despite the Government’s announcement to postpone the introduction of IR35, 37% of IT professionals agree that its implementation will significantly affect their company. One third (33%), also agreed that their company was not prepared for IR35 this year. Moving forward, companies need to ensure that they have thorough processes in place to determine the employment status of new hires and contractors to avoid paying penalties.

With the UK having officially left the EU on the 31^st January this year, our Confidence Index 2020 reveals that 29% of IT professionals are concerned about the political landscape around Brexit. To minimise the impact that leaving the EU will have on operations, companies need to future-proof their business by developing key skills that will be most in-demand over the next few years and by investing in learning and development programmes.

Attract top tech talent and come out stronger once the market recovers

However, irrelevant of the current pandemic, future of Brexit, or IR35, the job market for tech talent is tough for any employer but right now there are some key areas that organisations can look at to attract and retain tech & IT professionals;

Promote a career in tech

From upskilling current employees to partnering with schools and colleges

Reshape current hiring strategy

Take a look at the job ad content and how you share them

Upskill employees

Customised learning and development opportunities are key to retaining top talent

Encourage innovation within the workplace

‘Intrapreneurship’ within a company can increase competitiveness in the marketplace, helping to develop new partnerships, and increasing turnover

Promote the UK’s tech sector and retain top talent

Act as an advocate for our nation’s advanced tech capabilities to attract and retain top talent

Start preparing for IR35

Companies and workers can prepare for IR35 by accessing a tool called CEST (Check Employment Status for Tax), also known as the ‘IR35 Test’, which aims to confirm how IR35 applies to individual contractors

For more insight, thoughts and words of wisdom, do take a listen to the full podcast where Dominic Harvey from CWJobs and Steve Ward from  Universum discuss the trends and confidence in the tech talent landscape today, and the future with Natasha Preocanin from In House Recruitment.