Demand for tech contractors is on the rise, especially those upskilling in cybersecurity and AI, according to Hays’ Rob Barr.
The so-called ‘tech winter’ has rumbled on with thousands of jobs cut from the industry. Recent casualties to the tech layoffs include thousands of software and services staff from General Motors, 1,800 employees at software company Intuit and hundreds more at Microsoft, following a massive 10,000-strong cull last year.
These layoffs are happening as emerging AI technology takes affect in every industry and tech companies are pivoting their investments and efforts towards being at the forefront of this trend. However, it’s not all bad news for tech workers, especially tech contractors.
According to Hays’ Technology Contractor Day Rate Guide, 56pc of tech contractors surveyed feel positive about their career prospects this year. Rob Barr, director for Hays technology recruitment in Ireland, said this is a higher proportion compared to a year ago.
“Companies see the value of bringing in specialised contractors to work on specific projects and upskill their current technology teams,” he said, adding that day rates in Ireland have also increased.
“There are still more permanent jobs than contract, but many organisations are bringing in contractors for the first time due to the speed in which they can join and the immediate impact they can make to the team.”
AI and cybersecurity skills are vital
While a combination of ‘right-sizing’ and shifts in focus has led to a string of redundancies over the last two years, significant skills gaps still exist in key tech areas.
For this reason, companies will react by creating new roles in these areas while also hiring tech contractors to address specific skills needs.
“Cybersecurity is a large concern but there’s a shortage of skilled professionals out there. Anyone with experience in this field will be in demand,” said Barr. “Cybersecurity is forever present and at the top of every CIO agenda for making sure that their organisation limits any potential attacks and keeps their data safe. With the ever-changing legislation, they need to know that they’re not at risk for any sanctions.”
Another major trend, which will surprise no one, is the increasing need for professionals with AI and machine learning skills – especially now as “a lot of theoretical discussions are being put into practice”.
What was particularly interesting to Barr from the latest Hays data was that more than half the tech contractors surveyed said they believe AI will have a positive impact on their role in the coming years. This is despite ongoing wider debates around the potential threat to jobs AI may pose.
“Naturally, for that to be the case, tech professionals will need to get to grips with AI tools. This isn’t because AI might take their job but, rather, that other people who are skilled in using AI might. Regarding this, our survey found that 81pc of tech contractors are planning to upskill in AI.”
However, while those skilled in cybersecurity, AI and machine learning will be in high demand, it’s important not to neglect the soft skills as tech contractors. “To progress their career, contractors say they’d like to work on their negotiation, people management, critical thinking and communication skills,” said Barr.
What employers need to think about
According to the Hays report, companies are engaging with tech contractors in order to meet peaks in demand, to ensure flexibility of staffing costs and to access specific skills for one-off projects. However, it’s not always easy to secure the talent they need.
Barr said one of the most important aspects to think about is the search itself. “Too often we see hiring parties with a very narrow set of parameters for the ideal candidate. In fact, there’s probably many capable contractors out there who are being put off,” he said.
“Next, think about why they should choose to work with you. We always take about an employee value proposition, or EVP, that organisations should have for permanent staff. For companies looking to work with contractors, what’s your contractor value proposition?”
The report also found that about half of those surveyed deem work-life balance to be the most important factor when selecting a project aside from the day rate. Additionally, more than 80pc said the ability to work remotely makes it more likely that they would remain in an existing role, given the choice.
“Another point is that contractors want to develop their skills while they’re working with organisations,” said Barr. “If you can give them projects where they’ll have the opportunity to do this, they might be more inclined to choose you.”
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