In today's fast-paced world, the Information Technology and tech sector plays a pivotal role in shaping how we communicate, innovate, and conduct business on a global scale. But amidst this dynamic landscape, do you truly understand what IT professionals are seeking in their ideal workplace?
Discovering the answers to these critical questions lies at the heart of our recently released Randstad’s report on Employer Brand Research. This valuable tool offers profound insights into the current preferences of IT workers, enabling you to bolster your employer brand, and benchmark your business against industry rivals. Unravelling the mysteries behind a satisfied and motivated IT workforce, this report equips you with the knowledge to retain and attract top talent.
Let's delve into what the IT and tech sector is looking for and what will set your company apart in the competitive talent realm empowering you to create a compelling Employee Value Proposition (EVP).
the IT and tech sector: the current state of pay
We cannot deny the incredible growth that the IT and tech sector has experienced in recent years. It has developed from a small part of business dealings from being the lynchpin of all communications, sales, and business management. Due to the highly specialised nature of the work and competition to attract talent, employees can expect to be among the highest paid in the organisation.
However, in late 2022 and early 2023, the sector faced some tough times. Big tech companies found themselves needing to make some difficult decisions regarding pay and headcount. This led to tens of thousands of layoffs due to the post-COVID growth slowdown and a pay cut for any current job seekers. This has weakened the brand of many employers and opens a world of opportunity to other businesses.
what the workforce wants
Randstad’s Employer Brand Research found that salary and benefits are the most important drivers in an ideal employer for IT and tech professionals. This is closely followed by work-life balance and job security. This is unchanged from last year and may be driven by the current turbulent nature of the IT job market.
Let’s take a closer look at the five top drivers for IT and tech professionals when choosing an employer:
- salary & benefits. It's no surprise that when IT professionals think about the ideal employer, they value salary and benefits above all else. I mean, who doesn't love to be rewarded for their hard work, right? What’s more, salary and benefits remain the most important driver across all demographics and backgrounds. If your business hopes to be a competitive employer, offering a solid pay and benefits package should be your number 1 priority.
- work-life balance. Globally, work-life balance is the second most important workplace driver for an employer of choice. However, even though this driver is second overall, there are some big discrepancies among various social groups. For example, work-life balance is the most important driver for millennials and female IT professionals, and sixth overall for Gen-Z colleagues.
- job security. 18% of global employees say they are worried about losing their jobs in the near future. Unsurprisingly, job security retains its position as the third most crucial factor for retaining current and attracting new employees. However, job security grows in importance as employees grow in age, and is valued more by lower-educated IT professionals. It goes to show that no matter our educational background, we all want that sense of security in our careers.
- financially healthy organisations. The financial health of an organisation is related to how well the business is doing both nationally and globally. This metric for the ideal employer has moved up from the sixth spot to number four, with men placing slightly more emphasis on this driver than women.
- career progression. Career progression is down one position since last year, coming in at 5th place. This is an interesting position when you consider that 1 in 3 employees (31%) state they would leave their current role for another with better career progression, with Gen-Z placing a slightly higher emphasis on the importance of career progression and training. However, it is worth noting that career progression may take a backseat for some of our seasoned employees, which may have impacted this score.
does your organisation measure up?
With this in mind, does your organisation's talent attraction strategy match up with the demands of job applicants? If not, the answer lies in developing a great Employer Value Proposition (EVP) and strengthening your employer brand.
Let’s look at some practical strategies to enhance your talent attraction and retention efforts within the IT and tech sector.
- conduct employee surveys. Gather feedback from current employees about what they value most in their workplace. This will provide valuable insights into what aspects of the business your employees would like to see improved, and these can be emphasised in your EVP.
- offer competitive compensation and benefits. Ensure your salary and benefits packages are competitive within the industry. They should sit comfortably within the middle-top tier of salary bands and continue to grow with inflation. Although this is likely to be a large expense, talented professionals are more likely to consider your organisation if they know they will be rewarded fairly for their hard work.
- promote work-life balance. Highlight your company's efforts to ensure employees have a healthy work-life balance, such as flexible working hours, remote work options, or wellness initiatives. Did you know that employees who are able to work remotely perceive their employer as being more supportive of work-life balance compared to those who do not? With work-life balance being the second most important workplace driver to white-collar workers, it’s important to consider offering this benefit if you do not already. Check out our latest blog on the future of remote working to learn more about this topic.
- emphasise career growth and development. Show your commitment to employee growth by offering training programs, management training, and highlighting opportunities for career advancement. Make it clear that your organisation invests in its employees' personal and professional journeys. For example, with such an emphasis on Artificial Intelligence (AI) in the IT market, offering your employee training on this hot topic will set you apart as an employer of choice and decrease attrition in your business. Plus, this proactive approach will make your organisation an attractive destination for top talent seeking career advancement opportunities.
- support diversity and inclusion. Did you know, more diverse companies are 70% more likely to attract new business, and 35% more likely to outperform competitors? Highlight your commitment to fostering a diverse and inclusive workplace. Emphasise the efforts you make to create an environment where all employees feel valued and respected.
It’s undeniable that a good EVP can really set your business apart from the rest. It can not only attract top talent to your business and strengthen your employer brand, but it can actually prevent employee turnover, prevent a disengaged workforce, and strengthen employee relationships.
the bottom line on the IT and tech sector
The IT sector is a vibrant and ever-evolving industry that is an integral part of our modern world. Technology has revolutionised the way in which we do business and communicate with one another.
As an employer in this vibrant industry, you have the extraordinary opportunity to leverage this ever-changing landscape to retain and attract top talent. You can do this by proactively investing in your employer brand and talent attraction methods. For example, try offering meaningful and challenging work, fostering diversity, offering flexible work arrangements, engaging in salary discussions, and providing opportunities to work on cutting-edge technologies or projects.
Integrating cutting-edge technologies into projects not only allows for creative responsibilities and heightened productivity but also fosters a culture of innovation that drives cost savings for your company. Embracing these approaches transforms your EVP into a powerful tool, reducing attrition rates and strengthening your position as an employer of choice.
To make data-driven decisions and gain actionable insights, consider conducting an employee survey to better understand the aspirations of your workforce. Armed with this knowledge, design an EVP tailored to address their needs and aspirations. Try conducting an employee survey to understand what really matters to your employees and design a great EVP around that subject. If you’re looking for a starting point, Randstad’s Employer Brand Research is filled with useful sector information that will help you stand out from the crowd.
Empower your workforce, and embrace the limitless potential of the tech sector. Uncover the possibilities that await and drive your organisation to new heights. For more information on shaping a data-driven EVP for your business, download out Randstad’s latest Employer Brand Research.