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Offshore outsourcing is putting people off a career in computing because the controversial business process has cut the real wages of entry-level IT jobs. The sheer exporting of junior tech jobs overseas also leaves fewer of those jobs here, giving less incentive to graduates or newcomers to bring their skills to the industry. On both counts, IT staffing association ATSCo said that offshoring IT jobs from the UK has the domestic effect of “removing the bottom rung from the career ladder.” Pointing to jobs prone to offshoring, it said that over the last five years, first-line support staff’s pay hasn’t moved from £18,000, while pay for second liners has inched up just 0.8% a year “This means that, after inflation, real pay has actually decreased, as technical support centres have moved from the UK to lower wage centres such as India,” argued Ann Swain, ATSCo’s chief executive. “The shortage now is of candidates with a few years experience looking for second and third jobs. But how do you get that experience if entry level jobs are being sent offshore?” Salaries for managerial IT staff, in contrast, have increased by an average of 20.5% over the same period, with project managers now earning £45,000, compared to £37,500 five years ago. ATSCo said the figures confirm the underlying trend that offshore locations tend to lose out to the UK when the work concerned is higher value IT work. Rick Bacon, the chief executive of iProfile, reflected: “Whilst entry-level IT positions may be moving offshore, sophisticated project management jobs remain firmly rooted on UK soil. “Senior level IT professionals need to remain in the UK so that they are close to their clients. These managerial positions are as much business focused as they are focused on technology.” ATSCo said a “turning point” in the UK’s offshore relationship will occur when Indian salaries, which is forecast to rise by 14% in 2008, get closer to those of domestic workers. May 22, 2008 Email this article Printer friendly page Previous Page
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