Recruitment of talent in ICT companies is growing although their turnover remains negative
The development of the activity of ICT service companies continued in negative territory and their turnover fell by 5.1% year-on-year. However, the trend is for gradual improvement over last month’s record (-12.2%) and marks a significant distance from the service sector as a whole, which is losing -13.1% in terms of trend. .
This is one of the main conclusions of the latest installment of the monthly TIC Monitor barometer, prepared jointly by VASS and the CEPREDE Economic Prediction Center, which sheds some light on the current complex panorama.
“As we know the closing numbers for 2020, the profound impact of the fight against COVID-19 on the entire economy, which has linked key sectors of the economic structure, becomes more perceptible. Despite this, everyone’s pace is slowing down and the next recovery is advancing: over the past 8 months, the contraction of our indicator has never been better than -11% ”, underlines Antonio Rueda, director of VASS Research and responsible for ICT Monitor.
This drop in annual turnover does not, however, prevent the sector from continuing to create jobs, thus becoming one of the most resilient sectors during the pandemic. The recruitment figures for specialist talent follow the improvement started last month, with growth of + 0.7% over one year, which differs radically from the decline of -5% for the entire service sector.
“Despite everything, of course, the health crisis has had an impact. Compared to 2019, the digital services sector lost 3.8 percentage points of its job creation rate, which equates to 10,600 potential jobs that could have been created under normal circumstances during 2020, around 4,000 in the strictly technological field. However, 345,000 people are already working in these activities, 3,000 more than at the end of 2019. The fact of having grown up in this context depicts the bright future which, in the medium and long term, awaits this sector, which is the key to growth. economic recovery “Rueda points out.
Positive and negative expectations
In the area of expectations, the positivism continues in terms of net job creation. Our indicator scores +7.5 points on a scale of +/- 100. In total, 53.8% of companies in the ICT services sector expect net job creation in the short term until April 2021.
The same cannot be said for the evolution of invoicing, where the indicator falls to -10.4 points; that is, 55.2% of companies in the ICT service sector do not plan to increase their turnover until April. “The aggravation has its origin in the worsening of the pandemic experienced in January and the uncertainty that followed,” explains Rueda.