The Cost Of Living Crisis & Its Impact On The IT Sector
The Cost of Living Crisis
The cost of living crisis has affected most employees up and down the country. The majority of employees express that they have not been offered a pay rise or that their pay increase merely lessened the impact of the sharp rise in inflation. This all may sound very pessimistic; however, research shows that employers are planning on increasing pay by more than what employees expect them to, with most employers aiming to increase pay by over 5%. (Portes, 2022)
How the rise of inflation will impact our future
The rise of inflation in the UK has hit a 30-year high, which has led to many looking for new roles that provide them with more financial security. Research has shown that by the mid-2020s the average UK worker will be £13,000 worse annually (Wilson, 2022). With this statistic in mind, it’s clear why people remain worried about the real value of their money.
Who holds the power in the current job market?
Unfortunately, the IT sector is ranked 5th in experiencing salary stagnation this year. However, the good news for IT workers is that job vacancies have remained high, and we are seeing a strong employment rate. Developers are beginning to look for new jobs that not only provide further financial safety but also roles that will improve their work-life balance and offer better career progression.
In this current climate, employers are beginning to worry about staff retention. Employers must begin to adjust salaries to keep the market competitive. This could mean good news for employees, with employers having to meet demands or moving on to a role with a higher salary. However, this could also suggest there will be a period of turbulence, with employees having to switch jobs more frequently than in the past, making career progression difficult.
How we aim to help you
As the cost of living rises, recruitment budgets begin to shrink. But, at Explore we believe a limited budget should not compromise the experience the candidate has with us, nor the quality of the candidate. Our objective in these financially challenging times is to provide a recruitment process that is transparent and efficient, and ultimately source roles with competitive salaries, opportunities for career progression, and great benefits packages to ease your money worries.
We have a wide range of tech roles available in many different industries. If you are looking for a more rewarding job that has the potential to offer more financial freedom click the link below to browse our current opportunities.
Portes, J., 2022. The Salary Squeeze. [online] Totaljobs.com. Available at: <https://www.totaljobs.com/recruiters/cost-of-living-report>
Wilson, J., 2022. The Salary Squeeze. [online] Totaljobs.com. Available at: <https://www.totaljobs.com/recruiters/cost-of-living-report>