The shortage of work-force is best seen in IT&C industry, where companies are struggling to retain the employees they have while 55 percent of them think they can get more money elsewhere and only 34 percent says they are paid according to the company’s possibilities and more than would be in other places.
According to the study “IT & C human resources market barometer – How do IT & C companies succeed in motivating their employees?” conducted by NNC Services, a marketing and communications agency specializing in employer branding services for IT & C, more than a hundred thousand people are currently working in this sector, with relatively low labor costs that have generated a 75 percent increase in the number of employees in just six years. However, the IT & C industry faces great challenges of labor availability and retention. The third market study by NNC Services outlines an image of human resources in the IT & C industry and analyzes employees’ perceptions of motivational factors in local companies.
The study is based on the answers of more than 500 IT & C employees, specializing in different technologies, coming from cities with a significant number of companies in the IT & C industry such as Bucharest, Iasi, Cluj-Napoca and Timisoara.
Young people, experienced and constantly moving
About 78.9 percent of IT & C employees are part of the Millennials generation (20-34 years old), 19.8 percent of generation X (35-49), while Baby Boomers (over 50) are minority in this area (1.3 percent). Although they are young, employees in the IT industry have been able to gain considerable experience in this area. Approximately 40 percent of employees between the ages of 20 and 24 are already 2-4 years old in the workplace, the employee life starting from the banks of the faculties. Employees of the Millennials generation spend between 0 and 3 years in a company, the need for stability not being a priority for them. From the age of 40, employees are more likely to stay in work for longer.
More than half of employees think they would earn more in other companies
More than 55 percent of employees believe they would receive more money for the same position in other competing companies. Only 33.4 percent consider that they are remunerated in line with the company’s capabilities and more than would have been paid in other companies, and only 10.4 percent of employees feel they have a favorable position, their salary being below the company’s capabilities, but higher than would have offered others.
The wage offer determines the most job changes
Although there are other factors likely to influence employee retention in companies, the financial factor remains a decisive variable. 88.1 percent of employees would be forced to change their jobs if their monthly earnings were higher than current ones. Payroll benefits are not the only ones that influence IT satisfaction. The workplace atmosphere is, according to the results, a highly valued factor for employees, as well as career advancement opportunities, the attractiveness of the projects in which they are involved, or the relationship with the direct manager. Less important but not negligible places occupy the organization’s organizational culture, extra-wage financial benefits, training programs, program flexibility, or the number of days off.
“It’s not a novelty that the IT & C industry is experiencing an acute need for resources, and that retention is the first in the HR strategy of these companies. We wanted, through this study, to analyze and show what are the most effective ways in which companies in this field can differentiate themselves from employees and potential employees in Romania,” says Alexandra Cotovanu, Senior Partner, NNC Services.