The global economic instability continues to impact the hiring of technical staff. Due to the ongoing financial challenges, many organizations have revised their hiring plans and frozen new positions.
The demand for tech talent is still high, especially in the newer fields of cloud, containers, cyber security, and AI/ML.
Many organizations are planning to hire more technical staff. According to recent research on the job market, organizations that want to adapt to changing hiring trends should focus on training and upskilling.
Last month, Linux Foundation Training & Certification and Linux Foundation Research announced the release of the “2023 State of Tech Talent Report: Acquiring and Retaining Technical Talent in 2023” at Open Source Summit North America.
The report reveals that 70% of the 400+ hiring managers of the organizations surveyed, provide training for their technical staff to learn new technologies. They are committed to growth and development.
When they can’t find qualified external candidates, organizations prefer to hire consultants rather than train their existing staff. Researchers say that this trend recognizes both the importance of investing in current staff and the difficulty of finding qualified external candidates.
Organisations need to use certifications and testing as a way to validate the skills of their candidates. That said, Clyde Seepersad, SVP and GM of Linux Foundation Training & Certification avoided answering if the state of tech talent is better or worse this year over previous years.
The long-term trends of growth for the profession remain strong. “Even though there have been some challenges, professionals and organizations are taking smart measures to maintain things in balance,” he told LinuxInsider.
Role Shifts, Skills Verification
The economic situation prompted more than half of 400-plus organizations to revise their hiring plans. Seepersad said that these revisions usually include hiring freezes or headcount reductions in some areas, while increasing hiring in other areas.
Positive hiring prospects in the tech sector are the main takeaway. Many companies plan to hire more technical staff in the next few years. There is a continuing demand for qualified technical talent, particularly at entry-level jobs for professionals with developer’s skills, explained he.
A shift in the type of technical roles that organizations fill is interesting. They are emphasizing IT management and developer roles, rather than senior technical positions. This suggests that companies are seeking individuals with skills in project management, technology development and implementation.
In order to find the right candidate, respondents said that certification and preemployment testing were necessary. These measures ensure that organizations hire people who are qualified for the job. They also help potential candidates understand the skills required to be successful in the role.
“For over a decade the tech training industry says that upskilling your talent is essential for building and retaining strong technology teams. “While training has been used as a retention strategy, the most effective way to add new skills was by hiring new employees and consulting firms,” said Seepersad.
Tech Certifications Outpace Degrees
According to the tech talent report, upskilling is essentially equivalent to new hires as a way to support new technologies. Three factors are behind this shift in direction:
- For the foreseeable, tech talent will be in short supply.
- While turnover is high, onboarding takes a lot of time.
- Recruitment fees are high and time frames to fill open roles are measured by months, not by days.
Seepersad’s report analysis revealed that the three main takeaways for HR managers and their companies are:
- Nearly one in three new employees (29%) leave their job within six months after being hired.
- It is essential for organizations to upskill their employees, whether to reduce the impact of a reduced workforce or to acquire skills and knowledge.
- Certifications and training are becoming more important than university education, as they allow you to demonstrate your current skills and knowledge.
Source: 2023 State of Tech Talent Report. Copyright 2023 The Linux Foundation.
This third point is also important for technical professionals. He explained that certifications are more important to employers than college degrees, because they assure them that an individual has the necessary technical skills.
How to Hire Tech Talent
To improve the talent shortages in the tech industry, companies must be creative with their hiring practices. Seepersad advised that they also need to consider alternative solutions for overcoming the challenges presented by the current shortage of tech talent.
The data suggest that this is not enough.
To attract and retain top talent, organizations must use alternative strategies, such as improving the work-life balance of employees, increasing salaries, and offering opportunities to work on Open Source projects.
Seepersad suggested that the sooner senior management embraces and accepts these alternatives to the traditional hiring practices the better it will be for HR managers and tech professionals.
Furthermore, organizations must commit resources to long-term talent development. He also said that the organizations could achieve this by supporting and getting involved in their communities.
The Talent Strategy is Key to Tech Growth
According to Seepersad, the tech industry will continue operating in a volatile and complex environment.
Remaining — or becoming — a strong technological organization, regardless of your business, requires having the right talent. It requires a carefully crafted mix of solutions for recruiting, verifying, retaining, and growing that talent.
He concluded that “to succeed on a medium and long term basis, all solutions including continuous learning and development should be considered.”
