The Office of National Statistics (ONS) released new figures in May 2009, which reveal that emigration has been steadily climbing since the year 2000. But with so many people emigrating, this leaves a shortage of particular skills and knowledge in the UK.
The issue of emigration for IT however, is heightened by the recession and current trend of Offshoring. But just how big is this issue of IT Professionals moving abroad?
The IT Job Board conducted a survey to ascertain the feeling of the IT industry on the issue of Brain Drain in the UK. And with nearly 76% of you stating Brain Drain of the UK IT professionals as a threat to the IT industry, the results were intriguing.
What’s causing the drain of the UK’s IT brains?
Although nearly 68% of people cited off-shoring as one of the most significant factors contributing to the UK’s IT Brain Drain, most people said this would not impact their decision to move.
The survey showed that respondents see a reduction in contract rates as a major issue contributing to Brain Drain in the UK. As so many IT Contractors have been made redundant over the past year and companies are cutting costs wherever they can, it is no surprise that this is a key concern pushing people abroad.
But perhaps more surprisingly is the fact that the majority of respondents stated that they viewed the long-term prospects of the industry to have a significant or very significant impact to the IT Brain Drain.
Our survey also showed that the majority of those considering a move would leave the country for more than five years. This not only reinforces the underlying lack of confidence in the UK IT industry but also means we could be looking at a more significant shortage of IT professionals than is already projected.
How serious is this problem and where are they going?
Considering the recent turbulence of the UK economy, it seems people are going to more extreme lengths to find work. This includes considering to relocate, and not just within the UK and Europe but also the rest of the world.
According to the ONS, in 2006 32% of emigrants from the UK went to live in Australia or New Zealand, proving this to be the most popular destination. The ONS found the second and third countries Brits are emigrating to are Spain and France.
But emigration choices for IT professionals aren’t necessarily aligned with Britain’s overall emigration trends.
Australia came top in the survey by The IT Job Board with over 60% of respondents selecting down under as their number one choice if they were to move abroad. Yet contrary to the figures released by the ONS, our survey showed the US and the Netherlands in second and third place respectively, suggesting these destinations are more popular with IT professionals.
So why are IT professionals choosing these countries in particular?
According to the IT Industry Competitiveness Index 2008 (which demonstrates how advanced a countries IT infrastructure is and how much the country is investing in R&D and innovation) Australia, The US and The Netherlands are all ranked in the top 10 countries globally. As these countries are actively investing in IT and supporting industry growth they provide much greater opportunity for IT professionals than countries like Spain and France who were ranked outside of the top 20.
Furthermore, the most obvious reason for the top three countries of interest to IT professionals is that The Netherlands, Australia & the US do not present the language barriers that countries like Spain and France have. This makes it easier to integrate into the workforce.
What is the IT market like overseas?
So if you are weighing up the option of moving abroad and considering the US, The Netherlands or Australia, is this a wise move?
The Netherlands
A study conducted by Ernst and Young in early 2009 suggested that most IT Managers in the Netherlands expect that in spite of the credit crisis IT budgets will increase slightly or stay the same. This is the result of survey completed by 600 managers. This demonstrates regardless of the downturn, the IT sector in The Netherlands is still growing. Despite the good news however on the investment front, The IT Job Board.nl have seen a 27% decline in the number of jobs advertised online year on year demonstrating that the IT sector in The Netherlands is not recession proof.
USA
In terms of the US IT market, Phil Bond, President of TechAmerica, told Inforworld.com that the US ‘Tech sector has weathered the storm longer and stronger than most other sectors of our economy’. In addition, the US Congress passed a ‘stimulus package’ earlier this year, which could see the technology industry in particular contributing to economic recovery in the States.
Australia
According to an article by Reseller News, the Australian IT job market is indeed flourishing with a huge increase in job adverts in July 09. In addition Australia is believed to have weathered the downturn far better than most making it one of the most attractive markets for IT professionals to move into.
What does this mean for the future of the IT industry in the UK?
When the economy eventually recovers, does this mean the UK will need to drive an influx of IT candidates from overseas in order to fill the void? Or will off-shoring trends continue meaning the equilibrium is maintained?
With economists predicting a slow economic recovery, it seems only time will tell.
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Source: www.theitjobboard.co.uk















Posted on September 10, 2010 by Jon Jarvis
I am not convinced that it is always organisation-wide incompetence. You may think that you have a set of technical questions that will sort who can and cannot do the work, but all you need to get is one of those persons who are really good at selling themselves. They may not appear all that often, but they are out there and you may not realise that they cannot do the job until after you have employed them. You could have got competent people the rest of the time, as the vast majority of applicants will be able to do the work, even if they do not sound as good at interview.