Skills shortages across Switzerland have risen by 22% in the past three years. When combined with the need to reduce costs and ramp up productivity after the Covid-19 pandemic, Swiss companies are looking to increasingly innovative methods to find IT skills.
Swiss businesses are already benefiting from offshoring their IT services internationally. Offshore IT specialists can optimize tech and digital transformation costs without compromising quality. The Deloitte Switzerland 2020 survey shows a sharp increase in the number of organisations prioritising cost reduction, and due to impending global recessions, outsourcing will continue to grow.
The most recent research and projections from leading publications and institutions such as the European Commission, Bloomberg and Deloitte reveal expert insights into Swiss business growth for 2021 and beyond.
IT Skills Shortages in Switzerland – Swiss Talent Pipelines
- IT jobs represent the fourth most urgent skills shortage in Switzerland. Analysts and programmers are in particularly high demand. The number of job seekers has decreased slightly, whilst the number of IT vacancies has increased. (Swiss Skills Shortage Index)
- Reasons behind the shortage include a strong economy combined with low unemployment rates, particularly in easter Switzerland, reducing available talent pools and increasing competition in attracting passive talent. (SwissInfo)
- On average across 26 OECD countries with comparable data, 38% of young people complete university-level education. (Adecco) In 2015, only 20.8% of Swiss school-leavers were eligible to apply for entry to a Swiss University, although the country aims to dramatically increase graduate populations by 2037 (Le News)
- The skills shortage exists despite IT Engineers being some of the most in-demand and highest-paying jobs at an average of the equivalent of $7,890 US Dollars per month.
- Self-employment contains more obstacles in Switzerland than in other countries due to work permits and various government permission requirements, meaning that only 12% of the country’s workforce is self-employed, presenting barriers to skilled individuals seeking to work as IT contractors. (InterNations)
How Swiss Companies Can Reduce IT Recruitment and Staff Costs
As of 2021, Switzerland pays the second highest salaries to IT Developers in the world; only just behind the United States.
Offshore IT hubs involve delegating technology and engineering functions to skilled IT specialists in a different country. Nearshore outsourcing refers to an outsourced hub in a neighbouring country which is just a short distance away from a company’s main headquarters.
Countries with a high availability of developers who specialise in the particular challenges and tech infrastructure of a business are much faster to hire than in-country employees and will be notably cheaper. Switzerland-based organisations stand to benefit significantly from reduced staff costs:
Offshoring or nearshoring your IT hubs could deliver significant long-term savings for your business.
Download the free report to discover:
- What offshoring is and how it benefits Swiss companies
- How leading global Financial Services and Pharmaceuticals companies are achieving digital transformation
- How to attract the best IT talent and solve tech skills shortages
- Average salaries and skill sets of tech specialists around the world
- The best locations to grow your IT talent pool whilst reducing costs.