The Australian Technology Market, Autumn 2016 Review
As we move towards the end of the year, we’re focusing on the technology trends that are likely to continue into 2017 and what skills are likely to be in demand in order to plan support for our clients with their staffing requirements and how to help our talent network progress their careers.
A couple of hot topics amongst clients here in Australia and New Zealand are Amazon Web Services and Activity Based Working.
Amazon web services is an infrastructure as a service (IaaS) offering that, according to a Q3 2016 report by Synergy Data, now controls 45% of the global IaaS market. They join Google and Microsoft as giants of the cloud. This technology is becoming more popular with CIOs and IT leaders in Australia, and we think this will continue to be the case for the coming months.
IT workforce trends
With 2016 drawing to a close, we are moving towards a more mobile, more connected world. Augmented and virtual reality, the internet of things and big data will continue to shape and influence businesses throughout 2017. More people than ever before will own a smart phone, yet will make fewer calls. Organisations, people and systems technology will need to adapt, or be adapted, to capitalise on initiatives which will move from new, bold, innovative and niche market to mass acceptance and mass market. Companies will need to bring on board people with the skills to maximise new technologies extremely quickly.
Seek, one of the largest job boards in Australia, has recently published a market report on the Information & Communication Technology sector, and its findings paint a positive picture for jobs growth in this area. It highlights the following as rapidly growing industries likely to need more talent:
- The rise of mobile commerce
- Cognitive technologies to enhance enterprise software
- Mobile games development and mobile ad-blockers
- Increased automation
- Adaptive security architecture
Seek predicts that over 9000 new jobs will be created in the I&CT sector by 2019, and that the size of the digital technology industry will grow 140% by 2020, accounting for an increasing proportion of the Australian economy as a whole. 60% of IT jobs are concentrated in Melbourne and Sydney.
In general terms, I&CT as a sector ranks 4th in a list of the most in-demand skill sets across the country. As a result, salaries are rising across the board, with some skills commanding salary increases of 22% or more over the past six months. Salaries and contractor rates for hard to find skills will increase further as demand continues to increase.
Encouragingly, proportionally more women work in I&CT in Australia than globally, according to the report – 28% versus 25% respectively. Female representation in the sector is steadily growing, and with changes in education and increasing employment opportunities, the report predicts that women will continue to make up a growing percentage of the sectors’ workforce.
We have seen an increase in demand for IT contractors and permanent staff for some years now, and don’t anticipate this slowing as IT continues to play an important role in the Australian economy. We know that demand for quality candidates already outstrips supply in some areas, and have witnessed the increase in contractor rates as highlighted in the report.
Australia will need to keep up with the staffing needs of companies who are trailblazing new technologies across the continent. Recruitment companies like ourselves will continue to play a crucial role in ensuring that the right talent is available to the organisations that need it by finding innovative ways to source talent from every available demographic and geographic pool possible.