Recent big tech layoffs have meant the UK IT jobs market has been under a lot of scrutiny lately. We’ve been hearing from many tech professionals who’re worried that this will translate to a decrease in job opportunities and decreased job security. However, the truth is surprisingly quite the opposite.
Despite the layoffs, the job market is still a candidates’ market, and experienced tech candidates are still in high demand. In this blog, we’ll explore why big tech layoffs don’t mean the end of the candidates’ market and why there’s no need to fear for IT jobs.
Big Tech Layoffs Don’t Mean Disaster
Several tech companies globally have announced layoffs in 2023, including Amazon, Salesforce, Meta, Google, Microsoft and Coinbase. It’s worth noting that these companies have a presence in the UK, but it’s unclear if the layoffs specifically impacted their UK operations. However, this has led to concerns among tech professionals that these global layoffs could mean a slowdown in the UK tech industry is on the horizon.
However, the IT jobs market is as buoyant as ever. According to a report by Tech Nation, UK tech job opportunities have hit a 10-year high, with the demand for tech products and services increasing over the past two years. The report also highlights that tech roles now make up 14% of all job vacancies in the UK, and the trend is expected to continue.
Furthermore, the UK tech sector has retained its position as the number one spot in Europe and the third in the world, with the industry worth $1.2 trillion, more than double Germany’s and three times more than France’s tech industries.
So why is the job market still a candidates’ market despite the layoffs? The answer lies in the continued growth of the tech industry. The demand for technology is increasing in almost every industry, and this means that companies need skilled tech professionals to keep up with the pace of innovation. As a result, employers are still actively seeking out experienced tech candidates.
Experienced Tech Candidates Are Still in Demand
Despite the fact that global tech layoffs were attributed to economic uncertainty, it’s far more likely that these are a result of restructuring rather than cost-cutting. Focus on new areas and products has meant that jobs in many areas are no longer a priority. Some companies have been impacted by changes in consumer demand and technology trends. For example, the decline in demand for personal computers has led to layoffs in the PC industry.
Conversely, those with experience in emerging technologies such as cloud computing, cybersecurity, and artificial intelligence are highly sought after. This is because these technologies are becoming increasingly important in various industries, and companies need skilled professionals who can help them implement and maintain them.
In addition to specialised skills, experience is also highly valued by employers. For example, in a Forbes article, it’s noted that companies are increasingly prioritising skills over formal education, recognising that skills are continuously evolving. Additionally, a report by LinkedIn suggests that employers are looking for candidates with a combination of technical skills and soft skills, such as communication and problem-solving, which are often developed through experience. This suggests that experience and practical skills gained through work are highly valued by tech employers – and this reflects our experience when it comes to hiring appetites.
Abundant Opportunity in UK IT Recruitment
Rest assured, there’s still abundant opportunity in the UK IT recruitment market. In particular, there are many types of opportunities available to experienced tech candidates and graduates alike. In response to the demand for experienced talent, the UK IT sector has seen a surge in salaries and job opportunities. Starting pay for developers and engineers is 64 per cent above the UK average. Our own current vacancy list has a wealth of opportunities, with 53% of them with salary ranges between £75k and £150k.
A bright future for UK tech jobs market
We hope we’ve shown that the big tech layoffs don’t mean the end of the candidates’ market in the IT industry. Despite the layoffs, the job market is still a candidates’ market, and experienced tech candidates are still in high demand. The continued growth of the tech industry and the increasing demand for skilled workers are just two reasons why there’s no need to fear for IT jobs. So if you’re a tech professional who’s worried about the job market, don’t be. There are still plenty of opportunities out there for you.
At Intec Select, we understand you want to keep ahead of the curve and fully understand the state of the IT jobs market. That’s why we’re here to help. Our experienced team can provide guidance and support as you navigate finding your next role. Check out our previous blog on building a career in IT for further advice. Or if you’d like to discuss more about the state of the IT jobs market or how we can help get in touch today.