ICT jobs market 'reasonably sound': Report

Specialist recruiter Peoplebank has launched data showing that Australia’s ICT jobs market has – following the seasonal New Year lull – climbed in the first quarter of 2013, with overall demand for ICT skills now at ‘reasonably sound’ levels.

The Peoplebank Salary Index provides a guide to remuneration levels in more than 50 IT sector roles in each major capital, based on actual salaries being paid over the last quarter.

Peter Acheson, Peoplebank’s CEO, said that while the overall demand picture reflects the national forecast of modest economic growth in 2013, closer examination reveals significant variation: with solid demand for ICT skills in the larger markets tempered by patchy conditions in the nation’s smaller cities.

“There has been a solid ICT jobs market in NSW, VIC and WA over the past three months. However, hiring in the ACT has been constrained by a perfect storm of end-of-financial year budget constraints to be followed by a Federal election. In SA, the market has been impacted by slower investment and State Government spending constraints; while QLD continues to experience difficult conditions in the ICT sector and broader economy,” Acheson said.

There has been little movement in rates and salaries, Acheson added. Remuneration levels remain largely unchanged in NSW, VIC and QLD, while WA saw spot increases, SA has seen both increases and decreases (reflecting local demand) and QLD has seen salary decreases in the order of 5%. Other features of the market include:

• NSW – hiring continues at a strong level, mostly for ‘business-as-usual’ projects and, in the banking sector, projects associated with regulatory change, 
• VIC – solid demand from the utilities sector lifts an otherwise subdued market; employers redeploying existing staff rather than hiring contractors; employees actively seeking to improve female ratios in their ICT and management units, 
• WA – hiring is strong as the WA economy continues to grow faster than the rest of Australia. Increased demand leads to pay rises for specialist Architects and Business Analysts, 
• ACT – an estimated drop of 30% in demand for ICT skills, due to end-of-financial year and election period financial constraints. Some small rate cuts – balanced by small rises to salaries, 
• SA – steady-but-subdued economic conditions reflecting constrained State Government and private investment. However, some pay rises achieved: notably for Project Manager and Business Analysts, 
• QLD – demand for ICT skills is light, as the State’s growth decelerates.

“There can be no doubt in 2013’s headwinds – continued global uncertainties and a Federal election ahead – this won’t be a year of easy gains for ICT professionals," Acheson noted.

“However, there are numbers of pivotal ICT projects in the pipeline, in both the public and private sectors. I’m confident that, on the back of these, there will be solid opportunities for people within industry to advance their careers in the months ahead."

Table 1: Comparative Sample of Capital City Salary Rates (for permanent roles)

Notes:

Row 1 – March 2013 (red = salary contraction, green = salary rise, black = salary unchanged)

Row 2 – October 2012 (black)

Row 3 - March 2012 (brown))