The IT industry is probably one of the fastest-growing industries in the world. So it is no surprise that demand for qualified specialists is rising too. But this is exactly where a problem currently lies that many companies are feeling: there is a shortage of skilled workers.
Digital transformation has led to an enormous increase in demand for IT specialists. If you take a closer look at national job portals, you will find countless vacancies in the world of IT. This high demand, combined with a current unemployment rate in Switzerland of around 2%, makes one big problem clear: the numbers simply do not add up. Companies are struggling to find enough qualified employees to staff their IT departments. We are therefore talking about a skills shortage that is currently affecting not only the IT industry.
Causes of the skills shortage
Rapid technological change:
New technologies and innovations are being launched and introduced at every level, making the IT industry one of the fastest-growing industries in the world. This means that IT specialists have to keep training continuously to stay up to date. Yet many companies are unable to train their employees sufficiently.
Competition for talent:
There is fierce competition among companies for sought-after specialists. With higher salaries, better working conditions or attractive perks, companies manage to poach specialists from others. As a result, smaller companies often can no longer afford to keep up.
Supply does not match demand:
There is often a mismatch between the skills employers are looking for and the knowledge jobseekers have.
Demographic change:
The population has changed considerably in recent years. There are already more 65-year-olds than 20-year-olds today. The working-age population in Switzerland is therefore only growing thanks to positive net immigration.
Impact
The skills shortage in the IT industry has a range of consequences for companies and the industry as a whole. First and foremost, companies are finding it increasingly difficult to staff their IT departments. This can lead to project delays and force companies to scale back their technology infrastructure, which can have a negative long-term impact on their business.
According to the law of supply and demand, growing demand drives up the price here too – in this case, the salaries of IT specialists. Companies are forced to offer higher salaries to compete with other companies and secure the sought-after specialists. This increases companies’ staff costs.
Possible solutions
There are many different ways to tackle this challenge, and there are no limits to creativity. Here are a few suggestions on how the problem can be addressed.
Investing in training and retraining:
To combat the skills shortage, we need to invest in training and retraining the workforce. Specific programmes can be developed with educational institutions to make this possible and to build the skills that are urgently needed. Policymakers can also support this process by creating incentives that promote lifelong learning and further education.
Becoming a more attractive employer:
Specialists have the privilege of being able to choose from the open positions. Small benefits often decide who their future employer will be. Companies therefore need to get creative and find out which offering makes them more attractive to employees. A bit of home office and free coffee is no longer enough.
Diversity and inclusion:
Diversity and inclusion can become key elements in expanding the pool of potential specialists. However, companies need more than just an adapted recruiting strategy for this – it also requires the right corporate culture.
Support through managed services and outsourcing:
Many tasks of an IT department can be outsourced, with specialised companies taking over the work of an IT department. In most cases, it is then no longer necessary to recruit your own staff for this.
If outsourcing is too extreme, individual areas can be converted into managed services. This lets you simply extend your team with external specialists, giving you a clearly defined service offering, relieving your team and safeguarding your processes.
International recruitment:
There are in fact many specialists abroad waiting for job offers from Switzerland. According to the «Decoding Global Talent» study, employees particularly value the competitive salaries, the generally good career opportunities and the high standard of living in Switzerland.
Conclusion
Rapid digital transformation has caused demand for IT specialists to rise sharply. This has led to a skills shortage that needs to be minimised. Companies have various options to become more attractive as employers, attract new employees and get creative.
Netstream also supports companies affected by the skills shortage in their IT department with managed services. Contact us to find out more about how our team can support your IT department.
