The impact of Brexit on tech hiring in the UK

Our last article on Brexit explored the challenges and opportunities that leaving the EU could present for the UK tech industry. One of the challenges we outlined was how companies would engage with skilled candidates following the end of free movement.

Almost two years on from the UK’s exit, many companies are feeling the impact of being unable to hire specialist tech workers from within the EU. Organisations are also facing the challenge of retaining staff, with a recent survey from Deloitte revealing that almost half (47%) of highly-skilled workers from the EU were considering leaving the UK in the next five years.

Let’s take a closer look at the impact of Brexit on tech hiring in the UK:

Increased demand for specialist skills

Over the last couple of years, at CWJobs we’ve noticed a trend. An increasing number of non-tech industries are ramping up their hiring for technology roles. Industries like retail, banking, pharmaceuticals and manufacturing are increasingly advertising tech vacancies.

With a smaller talent pool to recruit from, companies in both tech and non-tech sectors are finding it more difficult to hire workers with specialist skills. For example, the UK’s exit from the EU has changed the way that companies handle and process personal data, which has created an increase in demand for workers with skills in big data and the cloud.

Likewise, the demand for fintech skills is increasing as UK companies look for ways to share financial connectivity across mainland Europe. Fintech is one of the fastest-growing sectors of the UK economy with Innovate Finance reporting that the sector raised a total of $5.7bn in the first half of 2021 – an increase of 34% from the previous year ($4.3bn).

As such, we expect to see more companies advertising for workers with skills in blockchain development, user experience (UX), programming, and artificial intelligence (AI).

The need for training and upskilling

Knowing what tech jobs will be in-demand over the coming months and beyond, presents employers with an opportunity to target their job adverts and upskill, or retrain staff to begin a career in tech.

Upskilling, for example, can help companies bridge skills gaps in the short-term and enable companies to develop longer-term strategies for nurturing the next generation of tech workers. It also enables them to make the most of their tech budgets by equipping workers with the necessary skills to use new technology efficiently

Providing staff training enables companies to keep pace with the fast-moving industry. It enables them to attract more candidates, as training is one of the most desirable incentives to young tech workers.

One of the quickest ways to upskill or retrain employees is to provide on-the-job training. With companies in various sectors facing an immediate need for tech skills, there may not be time for employees to undertake a comprehensive training package to learn a new skill. On-the-job training enables staff to learn by doing, in real-life circumstances that address the challenges that companies are currently facing.

Likewise, online learning can provide a bridge between on-the-job-training and attending in-person courses or seminars. Staff can learn at their own pace, in a safe environment at home.

At CWJobs, our recruitment platform has some great features to help recruiters and hiring managers find the best candidates. Our database can be filtered by variables such as current job title, location, level of education and salary.

Recruiting from outside the UK tech sector

As companies continue to struggle to close their tech skills gaps, we’d expect to see more employers recruiting from outside the traditional tech sector. As digitisation takes hold across the wider business landscape, almost every industry will come to rely on tech expertise.

This will provide recruiters with the opportunity to hire from a wider talent pool, from industries like finance, medicine, and retail, where technology is playing an ever-increasing role.

A widening skills gap will see employers starting to recruit for potential rather than qualifications. We’d expect to see recruiters looking to attract workers with varied backgrounds, who have the transferrable skills to pursue a career in the tech industry.

Encouraging tech talent to apply for roles

To attract top tech talent to apply for roles over the coming years, employers will need to know what candidates want from a tech role. CWJobs’ Tech Candidate Survey 2021 discovered that 43% of tech workers are considering making a career move to a new role in 2021. Just under one third (32%) say they aren’t only interested in salary, but also in employee benefits, career opportunities, and company culture.

As such, employers would do well to highlight their benefit packages in job adverts to encourage more people to apply for roles. Our survey also found that pension (49%), followed by annual bonus (42%) and flexible working/working from home (43%) are the top preferred benefits of tech workers.

To keep top talent motivated, employers need to adjust their benefits to suit the type of candidates applying for roles. They need to offer benefits that have long-term value with flexibility built-in, as the vast majority of respondents would prefer to choose their own benefits instead of having a set package.

Companies would also do well to continue to embrace flexible working. Our candidate survey found that 37% of tech jobseekers would consider jobs that allow them to split their time between home and the office. And almost one third (32%) look for companies that offer flexible working opportunities. Highlighting flexible working in job adverts and across social media demonstrates that a company cares about work-life balance and employee wellbeing.

Advertising hybrid working opportunities can also help increase job applications and enable employers to tap into more diverse talent pools. It can help parents better manage childcare and give workers more control over how they manage their workload. Work-home-from opportunities can also attract skilled workers from remote locations, as well as carers and people with disabilities, who may not be able to travel for work.

Moving forward, it will be important for companies to ensure their values align with the younger generation of tech jobseekers. CWJobs’ and TechUK’s latest survey, The Digital Generation reveals that by taking a societal stand on specific issues, young people are more likely to see a company as an appealing place to work.

For example, 69% of young people say that it’s important for Carbon Net Zero ambitions to be part of a company’s values when applying for tech roles. Mission statements are also key, specifically for racial diversity (65%), gender diversity (63%), neurodiversity (61%), and LGBTQ+ representation (60%).

Businesses should also be clear on how they will source candidates. National job boards like CWJobs provides employers with more opportunities to find quality candidates. Tools like Equality Boost also offers targeted programmatic advertising that helps companies increase diversity and reach a wider talent pool.