Increased Demand for IT Contractors as Permanent Staff Move on

IT contractors who work through umbrella companies may find their services in increased demand as permanent staff in the IT skills market seek new job opportunities.
 
According to a survey by IT Jobs Board, around 42% of permanent IT staff are actively seeking new IT jobs, with an additional 52% keeping an eye on the jobs market.  The report forecasts that by the start of the fourth quarter of 2011, 35% of permanent staff and 57% of contractors will have moved on.
 
Alexandra Farrell, IT Jobs Market’s Managing Director, warned that as the economy recovers from a recession, many UK businesses could be stunned.  “You would expect to see movement within the contractor space,” she added, “but I was alarmed to see such high numbers of permanent staff thinking about a near-future career move”.  And, as Ms Farrell pointed out, losing such highly qualified staff “could have a serious impact on a company’s IT department.”
 
Interestingly, better salaries do not appear to be a major factor behind the movement as only 19% of respondents claimed this as their motivation to move.  40% placed career progression as their main concern, while 35% wanted a change of location and 29% were seeking new challenges in a more rewarding job.  Ms Farrell believes that companies will need to re-engage with their staff and listen to what they want: “It seems that problems won’t be rectified with a simple pay-rise or bonus.”