EU

We are hiring, say tech companies - but the government hasn't done much to help

UK tech companies are aiming to add staff this year, even if they feel that government job-creation policies haven't done much to assist.

The vast majority of businesses in the UK technology sector are confident that they will create new jobs this year, according to research by Barclays.

Its survey, which canvassed 700 UK businesses, found that 63 percent of the technology firms in the study will create new jobs this year.

The figure is down 15 percent on last year's score of 78 percent but is still considerably higher than the cross-sector average of 56 percent.

"Many businesses in this fast-growing sector are rapidly reinventing and broadening their reach as they add new capabilities to their offerings," said Sean Duffy, MD of Barclay's technology, media and telecoms, in a statement. "The significant increase in top level jobs demonstrates how serious these businesses are about achieving ambitious growth plans."

The number of technology firms looking to employ people in senior management roles has nearly quadrupled from 15 percent last year to 57 percent this year. Meanwhile, the cross sector average shows that only 23 percent of companies are looking to recruit people at this level.

Elsewhere, ninety-three percent of tech companies planning to create jobs this year said they will be recruiting for middle management or skilled positions, while only 37 percent said they will be recruiting for junior roles.

While most businesses are confident they will create new jobs this year, the vast majority argue that the government's efforts to remove barriers to job creation were having no impact on their organisation, with 88 percent of those surveyed believing this is the case.

The majority of firms surveyed (69 percent) don't expect to make job cuts this year but

63 percent said there will be a shortfall when it comes to the private sector compensating for public sector job losses.

The study found 59 percent of firms were not interested in employing ex-public sector workers, with 39 percent claiming they do not have the right skills to fill a role in their business. Large businesses, with revenues between £100m and £500m, are the ones most likely to take on ex-public sector workers.

About

Sam Shead is at his happiest with a new piece of technology in his hands or nailing down an exclusive story. In the past he's written for The Engineer and the Daily Mail, covering emerging technology in electronics, energy, defence, materials, aerosp...

8 comments
JCitizen
JCitizen

All congress does to IT is put up more regulations and tax the cr@p out of the infrastructure, which causes customers to drop service, which leads to less jobs. If our fearless leaders were truly concerned about jobs, they'd drop the barriers to job growth. I know things are probably even worse this way in the UK. Most of my buddies from over there moved to the US to get away from that. California is getting just as bad or worse. All the industry in that state is moving to my neighborhood to get away from the tax and spend mentality. Hey! - That just means more money and jobs for us in the hinterlands! I'd say the title to this article says it all. X-(

lovcom
lovcom

Look to the government? Government not doing enough? The problem is the Government is doing too much! They allow too many H1-B visas to be given out, even as (1) unemployment in the USA is very high, and (2) the USA already had enough skilled and qualified IT workers. The problem is that the Government is controlled by Corporate America, which has propagated the lie that there are not enough IT American workers to hire. This is a lie. The truth is, (1) there are enough IT engineers that are American and live here in the USA. (2) The truth is, Corporate America would rather pay 1/3 or 1/2 market wages to off-shore IT developers or even on-shore foreign workers, to increase their profit and greed. Corporate America is the least patriotic thing in the US. They could not care less about American workers or the country, for that matter. This is why current consultant rates have the same as what they were in 1990. Corporate America won, we IT American workers lost. A the end of the day, corporate America wants IT workers that work for severely under market rates, in order to boost profits, and the unemployed IT US worker that cannot seem to get hired be damned.

just.a.guy
just.a.guy

From reading the report and the comments I see 3 points of view. 1) The facts of the survey. 2) Government needs to do something that will really help. 3) The business sector is expecting too much. Look at the facts again. Try not to colour them with bias. Business is expecting to hire, with or without government help. This is good. IT is now a major part of the job market. Good. The information sector is replacing manufacturing. The low skilled / repetitive labor positions are vanishing. Don't cry. Change is hard. Challenge: we need to step up our education sector to meet the demand of current and future jobs. There is a sizeable amount raw materials (young students) available. Maybe the education sector needsj to look at the business sector as a client and have them pay for transforming the raw materials into something that businesses need. Education needs to make a profit, not just at the very high end (doctors, lawyers, etc). Currently it seems all that the education sector can produce is large quantities of service sector job applicants, and not at a very economical price. I don't blame education, government, nor business. Blame is just another useless activity. Face reality, and make changes. We are all in this together. All institutions need to wake up to where we all are. On the other side, profit has been pushed as the driving force of everything. Look where it has gotten us. We are hooked on profit, just like we are hooked on sugar, and entertainment. We need to refocus on service and dignity; the talents all humans have. The media has its role, not as a supplier of entertainment, but as a watch-dog and a cheerleader. We should place the entertainment media is a category separate from the watch-dog media. Teachers need to awaken an appetite for knowledge, not just sports, manufacturing and entertainment. We also need to awaken the appetite for knowledge in our adult population. The attitudes our children receive comes from their parents.

adornoe
adornoe

...the vast majority argue that the governmentÂ’s efforts to remove barriers to job creation were having no impact on their organisation That statement makes absolutely no sense. So, if government is removing barriers to job creation, what the heck more to they expect? Do they expect the government to also create the jobs for them? There was a time when IT was the support organization for all other types of businesses, now they believe that, they should be the ones creating the jobs, instead of the jobs being created by the non-IT sector? The goods and services industries should be the ones leading the creation of jobs, and the IT sector should be responding to the need for more computer hardware and software and IT services, which essentially makes them "responders to those needs". IT should not have to be creating jobs, and the jobs should be getting created by all other sectors of the private economy. A lot of what IT creates for leisure and entertainment and education, comes as a result of demand from people, most of whom have jobs outside of the IT industry.

HypnoToad72
HypnoToad72

How much more corporate welfare do they want? With many IT people out of work, why not give incentives to retrain as opposed to making them drown in student loans, while those doing the studying continue to read articles of how there are more H1Bs than unemployed/displaced IT staff...

reggaethecat
reggaethecat

The article is about the UK, not the US. I always find it useful to read the article before commenting on it.

Deadly Ernest
Deadly Ernest

things better and the bureaucrats making regs that screw it up worse. Or it may be a difference between what the politicians say and what the laws they pass say. Some years ago we had a case of the politicians passing laws whose aim was to increase jobs by making it much easier to convert jobs from being long-term part-time to permanent part-time, but when they were matched against the other new employment legislation passed it ended up with a lot of people who had been doing the same part-time job for years because their life situation only suited part-time work were suddenly out of jobs and the businesses were hiring people on short-term contract and only employing any one person for four months out of six. that was because other laws automatically gave them a lot of extras that more than doubled the on costs once they were permanent part-time or had worked there for more than six months under the new laws. To keep the costs down and manageable the companies had to let a lot of good workers go, as to keep them made it just as costly as employing them as permanent full-time staff.

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