March 9, 2016
Tech companies should be very concerned with turnover according to the newly released yearly survey by tech staffing firm, PROTECH. The startling results indicated that 90 percent of IT Professionals are ready to make a change for a ‘better opportunity’. This is the highest reported figure in the past 12 years, indicating a possibly volatile situation for tech employers in the coming year. For companies looking to snatch up great talent, this might be good news for your team.
For employers wanting to avoid mass turnover this year, the survey also indicated a few ways employers can better reward employees. Perks like flextime/telecommuting, annual bonuses, and extra vacation time rounded out the top three.
It’s no surprise that flextime/telecommuting came in as the best perk, considering that 15 perecent of employees would leave an employer that didn’t offer adequate work-life balance.
Although salary is the top reason employees list for deciding to change jobs, other reason like work-life balance, lack of career path or employer instability were also high on the list. Interestingly, only 38 percent of respondents said that salary was the main reason for leaving an employer, compared to 73 percent of employers that believed they were losing employees due to pay. It appears that employees don’t take their decision to leave a company lightly, instead, they look at the entire package, not their paycheck.
According to PROTECH CEO, Deborah Vazquez, “There may be somewhat of a disconnect between employers and employees when it comes to reasons for parting ways. Both agree that compensation is the primary reason; but the percentages vary significantly with 73 percent of employers citing salary as key reason, compared to 38 percent of employees. And employers believe ‘lack of career path’ to be the second reason for losing staff, while employees cite this as third (tied with ‘employer instability’) after ‘work-life balance’. Telecommuting and flexible work schedules are becoming more popular with the technology available today, and I believe employees see these types of accommodations contributing to a better work-life balance formula. Employers may be missing a good opportunity to reduce increasing salary pressure by providing more work-life balance incentives to attract and retain key staff.”
Other key findings from the PROTECH Survey:
- The Tech Leadership survey reported a notable shift from direct hire to contract employees with IT leaders reporting 23 percent of their workforce balance being contract employees (compared to 13 percent last year). 44 percent of IT leaders report that IT budgets are adequate for their needs, up from 42 percent last year.
- 61 percent of IT employees reported a positive career experience, up from 60 percent last year and the number employees considering moving out of Florida has remained consistent (43 percent compared to 44 percent last year).
- Employees continue to report best perk they’ve been offered by an employer has been flextime or telecommuting (43 percent) followed by some form of sign-on or annual bonus (15 percent), additional vacation was third best perk (11 percent) followed by education reimbursement/training (8 percent), equity (8 percent), retirement/401k (7 percent), company car/car allowance (4 percent), 100% health coverage (3 percent) and relocation (1 percent).
Data used with permission from PROTECH’s 2016 Tech Talent Survey.
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