“The market is like never before. It is an unprecedented growth”. The words are from David bonilla, CEO and founder of the Manfred technical staff recruitment platform. And it refers to how the global coronavirus pandemic has shaken the tech employment sector in Spain. The unlocking of millionaire budgets for the digitization of many companies has brought about an acceleration that has hit something that this territory already suffered from: the lack of technical profiles. This is what has advanced the levels of shortages expected in a few years and has significantly raised the entry salaries of profiles of developers and ‘juniors’ engineers.
The outbreak of the coronavirus pandemic in March 2020 generated a moment of ‘shock’ that lasted just a month. Already last summer a growth began that has accelerated over the months. “The Covid has awakened the need to digitize many companies and a lot of budget has been unlocked”Bonilla assures. This happens in a sector with qualified employees, where the entry barrier is important. “The shortage of these profiles that was expected by 2025 or 2030 has accelerated,” he says.
This has had a clear translation in the wages. But not so much among the more experienced professionals, where the curve has been flattening after a first major climb several years ago. It has focused on profiles recently graduated from the University, which have become a target for companies in order to fill vacancies urgently. There is a recent paradigmatic case that Bonilla comments: Inditex offered 30,000 euros of entry salary, plus a series of incentives. In this context, it is necessary to take into account what is known as the ‘death sandwich’: most of the employment in the sector is concentrated in the consulting sector, where the number of hours prevails. The hiring of large clients is based on a cost per hour which keeps the roof almost intact.
Another of the shocks experienced in the sector has to do with staff turnover, which makes hiring even more difficult for companies. There are several reasons and Bonilla points out some. One of them is the “certain detachment” suffered by workers in companies that have not been able to adjust to remote work. Another is the collision with the return to the office. It is what in larger markets such as the United States has been described as ‘The Great Resignation’Millions of employees voluntarily quit their jobs in the past year. Another factor has to do with the door that has been opened to ‘labor nomadism’. Teleworking has opened up new job opportunities, which has also increased competition, as foreign companies can ‘attract’ talent in Spain and vice versa.
In this increase in competition there is a trend that not only does not lower it, but increases it. Its about movement of large companies such as Ikea or Klarna to open technology development centers and innovation in Spain. Why do they do it? “They will have the same competition as in Germany or the United Kingdom, but with the salaries that are paid there, here they become ‘top of the range. They do not come to save money, but to be competitive,” he says. Although this modality has not stopped growing, in a certain way it collides with the trend towards remote work and the flexibility that the pandemic has brought.
The effect of remote work
This trend towards remote work is reflected in the report ‘The impact of COVIDgedón in the technical work environment ‘prepared by Manfred, which analyzes how the vast majority of technical companies had to adapt all their processes and systems to a remote mode based on more than 800 surveys. 65% of the participants assured that a working model, in which they work remotely except at designated times such as important meetings or events, it would be the perfect system. Although according to the report, the hybrid options that allow more flexibility are those that rise to the podium, Bonilla insists that returning to the offices can mean extra pay for the worker from his employer. “People are going to have to be overpaid to go back to the office.”, said the expert, adding that teleworking is now a ‘status symbol’.
At the same time, being from home opens a range of job opportunities for both national and international expansion. The staff should not only be in the place where the company was founded. For example, Manfred today has a staff that is in different cities, from Madrid to Seville and they feel that teleworking gave way for the ‘tech’ to put the focus abroad even. Bonilla explains that there is a very important globalization. In addition, the study indicates that only 5% would return to a face-to-face model, so today companies can look abroad without excuses.
Be a remote professional implies a great change of mentality on the part of managers and employees that is still costing in the sector. Teleworking “forces you to plan, you can’t improvise and everything has to be documented,” explains the founder of the startup. Even Manfred had to move to a 100% remote model and they assure that after two years with the Covid, there are companies, like them, that added more personnel in the middle of the health or post-covid crisis that would not allow them a return to the face-to-face : “I would have to dismantle my company … I have no space and it is simply something that has no turning back. “
Today 82% maintain this work system remotely compared to 13% who can do it partially or ‘hybrid’. Faced with this situation, the challenges for the sector and for this work model are different, companies can no longer measure their employees based on working hours, but must do so according to set objectives. This is an opportunity for companies to organize differently and have a change of mind regarding the structure of the company.
Source: LA INFORMACIÓN – Lo último by www.lainformacion.com.
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