Talent Summit Employment Survey 2022 - The Talent Summit Employment Survey 2022 was commissioned by Sigmar Recruitment in partnership with Globalization Partners, the world’s leading global employment platform, as part of Talent Summit 2022. At a glance: 35% of Ireland’s current workforce has never been to the office. Major social/ psychological implications. 26% now full time in office, 30% hybrid, 44% full time remote 81% of employers to recruit in 2022 69% of employers to offer pay rise of 9% in 2022 (while 84% of employees expect pay rise) New Legislation - 53% of workforce can choose where they work. 68% of this population expected to choose to work from home. Says Talent Summit founder and Sigmar CCO, Robert Mac Giolla Phádraig: “The world of work has been in a flux for the past two years, as things begin to settle, the question of workplace remains up for debate as unprecedented levels of churn within the workforce has caused the power to shift from employer to employee. Many people are now choosing to work permanently from home, which in turn is being supported by the new legislation, forcing many employers to soften their rhetoric around returning to the office. Does this work for the employer and employee? Well, I think the remote experiment seems to have worked in the short term at least with full-time remote here to stay, but not at its current level. Hybrid working models are really in their infancy and the employers are facing into uncharted waters when it comes to sustaining individual flexibility for all, as choice around workplace re-emerges. While there are clear benefits to remote work, I don’t think we have enough data or evidence on the impact of long term, deeply individualised, isolated work has on our people and society.” Nick Adams, Vice President, EMEA, Globalization Partners comments, “The past two years have triggered the world’s biggest remote work experiment, and it is changing not just the way we work but the way we hire and onboard talent too. Companies are finding the best talent all over the world and not just on their doorstep. Talent shortages may be a thing of the past: The solution is to go where the talent lives.” ---------------------------- Over 1/3rd (35%) of the current workforce has never set foot inside their place of employment, according to new research carried out on behalf of this week’s Talent Summit conference in Dublin. The Talent Summit Employment Survey 2022 suggests that just 26% of the workforce is currently working fulltime in the office with 44% working full time remotely, and 30% hybrid. The Right to Request Remote Working legislation will have a significant impact in 2022 with 53% of workforce in a position to choose where they work. 68% of this population is expected to choose to work from home. The recruitment market is at the highest it has ever been in the 20-year history of Sigmar Recruitment. 81% of employers will recruit in 2022. Pay is set to be a major issue in 2022 with 84% of employees expecting a pay rise. Employers are open to discussing the issue with 69% of employers agreeing to offer pay rises this year. The average pay rise on offer is 9%. According to Talent Summit founder and Sigmar CCO, Robert Mac Giolla Phádraig, Ireland is at the forefront of the changing work model globally: “As a central hub of some of the world’s most progressive and innovative companies, Ireland is now emerging as home to companies who are at the forefront of moulding, shaping and shifting how, where, when and by whom work is done as we emerge from the pandemic. While remote and hybrid working seems to be working for the employer with just 15% finding it a hindrance, my concern is that we have an entire generation of workers who are missing out on the social and psychological benefits of working in a communal environment with friends and colleagues.” Talent Summit 2022 Employment Survey Highlights Micro-environment - Out of Office 35% of the current workforce were hired since the pandemic and have never been to a physical workplace. Major psychological and social implications. Isolation an issue. Majority of workforce choose full time remote even with offices reopening: 26% full time in office (34% anticipated in 2021) 30% working hybrid ( 44% anticipated in 2021) 44% full time remote (22% anticipated in 2021) 95% of hybrid workforce work 3 days of less in the office – majority choose two days 40% 31% of workforce expected back in office by end of year Sentiment this year is that office space will remain the same. In 2021, 40% expected a reduction. Macro-environment - Talent shortage economy. With the presence of a massive talent shortage economy, pressure is on all fronts; internal retention, external recruitment and costs. Recruitment and retention are the top 2 priorities for HR Leaders - 12 months ago it was wellbeing and employee experience. Hyper competition for talent: This year sees the highest number of employers anticipating adding staff (81%) over past 5 years. Recruitment has gone global: Opportunity now finds talent. 62% have recruited outside of Ireland and 77% are willing to hire wherever talent resides. Labour costs: 69% of employers expect to increase salaries by 9% (highest gross uplift we’ve seen in doing this survey the last 5 years). Employee expectations have soared: 84% anticipate a pay rise compared to 54% in 2021 – leads into a further cycle of attrition. Legal Environment - Right to Request Remote Work With 53% of workforce having control over where they choose to work from highlights the potential threat proposed legislation (in Ireland) to offer the right to work remote may pose. We may in fact be alienating nearly half the working population creating new unintended workplace biases. Employers anticipate that 68% of this population will choose long-term remote working options, which means the proposed legislation applies to 36% of the overall workforce population 68% of workforce expect long-term remote working options. 53% of workforce are expected to be given long-term remote working option. When asked what impact the proposed legislation will have on their organisation, 33% of respondents said it would help, 52% said no-impact and 15% said it would hinder. ABOUT THIS SURVEY The Talent Summit Employment Survey 2022 was commissioned by Sigmar Recruitment in partnership with Globalization Partners, the world’s leading global employment platform as part of Talent Summit 2022. This is the fifth year the study has been conducted, measuring the pulse of Talent Leaders on a range of Talent Topics. The survey ran from 09/02/22 to 12/03/22 with 153 respondents. 63% Senior HR leaders and 37% Business owners/ leaders across all company sizes, sectors and industries. Europe’s largest HR, work and employment conference, Talent Summit 2022 will take place in Dublin’s Convention Centre on Thursday, 24 March, 2022. With 2,000 people in physical attendance, as well as countless set to attend virtually, Talent Summit 2022 will see the largest group of HR leaders to convene in Europe since the pandemic. www.talentsummit.ie
Download - Salary Guide Ireland 2022 (PDF) Executive Summary From Adie McGennis, CEO What a year! We came into the year with high uncertainty but hope that we had all seen the chaotic stage of the pandemic over and a “New Normal” (or “New Abnormal”) giving stability and growth to businesses and economies. Equity markets and job vacancies grew in the first half of 2021 to record levels. At Sigmar, we had experienced our strongest month in twenty years by May and have broken business records since then. It applied to both the permanent and temp/contract jobs market. This in itself, is unusual because generally strong markets see an increase in permanent hiring, and less utilisation of temps and contractors. Such was the nearly frenzied, demand that companies looked for any solution to enable their growth. Salary inflation, as well as price inflation, began to increase, but all indicators show that further increases are coming. This was across the board, but particularly in IT and life sciences. Certain skills are experiencing double digit inflation, purely because demand is at an all-time high. Supply of skills by re-training or re-educating staff from sectors that suffered (retail, hospitality, etc.) was slow. It does present opportunities for SMEs to compete with larger multinationals, as the employee experience has never been more important and the flexibility that SMEs can generally give and the speed by which they can move, can give significant edge. Remote work obviously continued to increase significantly, and hybrid models seem generally to be the optimum for employees. Tax and legislative issues with working in a different country has slowed this internationalisation, but it does present excellent talent opportunities once it is well planned. Traditional professions, like accounting, HR and legal grew as pent-up demand was evident. In Ireland particularly, construction is very buoyant after the tight Covid restrictions closed many sites in 2021 lifted and the need for housing requires a large increase in activity in the coming years. So, a year of unprecedented growth in demand for talent, giving challenge and opportunity. The recovery of economies will sustain this growth throughout 2022 but some apprehension prevails that global economic shocks could accelerate recession. So, it is difficult to be over-confident on a medium-term basis. Predictions are difficult but I would estimate that demand will begin to level out and drop late 2022 and return to more “normal” or pre-Covid levels in 2023. The various Covid strains continue to challenge, but more importantly we hope everyone stays safe and healthy.
Sigmar CCO Robert MacGiolla Phádraig chats to Miriam O'Callaghan on Primetime about the new remote working legislation being discussed by Government; with Richard Grogan, Employment Law Specialist.
"We've seen a shift in the power dynamic between employers and employees in the last 18 months. We've never seen churn like this." Sigmar CCO, Robert Mac Giolla Phádraig, talks to Matt Cooper on The Last Word, Today FM.
The Deputy Chief Medical Officer has urged everyone who can work from home, to continue to do so. But do people want to continue to work remotely? Sigmar CCO Robert Mac Giolla Phadraig talks to Richard Curran on RTE Radio, The Business. Listen back: https://www.rte.ie/radio/podcasts/22018390-more-remote-working/
Sigmar Recruitment today reports a record high number of job placements over April, May, and June 2021. The number of placements during this period is higher than any other quarter in the recruitment company’s 20-year history. Current figures are up 6% on the previous record set in 2019 before the pandemic. As one of the largest recruiters in Ireland, Sigmar has offices across the country and is present in all professional sectors. The first half of the year saw strong, consistent growth with job placements breaking all records in the month of May, with June accounting for the second-highest month ever. Commenting on the rebound of the labour market, Sigmar founding Director, Robert Mac Giolla Phádraig says: “The jobs market in Ireland has never been stronger or more buoyant than it currently is. We’re seeing several macro trends converge all at once, which is creating significant churn in the market. Remote working has literally opened up a world of new opportunities no longer bound by location. This is coupled with a rising tide of consumer confidence, as many professionals find themselves in a stronger financial position than before the pandemic. “The last 18 months has asked big questions of us all, and the humdrum of lockdown has created a desire for change which is now resulting in unprecedented numbers of people moving jobs. Employee loyalty is increasingly under question, with remote work being less enjoyable, many workers are now committed to the experience of work over the employer, adding further to the current levels of churn.” IT accounted for one-third of all job placements throughout the quarter, followed in order by Financial Services, Sales & Marketing, Accountancy, Life Science & Manufacturing, Office Support, Public Sector, Construction, Professional Services. Business confidence has also grown steadily over the course of the year, as vaccination gathered momentum. The “low-touch economy” is booming is sectors such as e-commerce, digital, and logistics. Says Mac Giolla Phádraig: “The resurgence of permanent recruitment is somewhat unique to how we’ve rebounded from previous downturns, where we typically saw flexible work return quicker.” Although the vast majority of job placement in Q2 were understandably remote, Sigmar reports that the tide is beginning to change with the majority of employers now committing to hybrid work over the coming three months. Mac Giolla Phádraig advises: “As we now choose our workplaces, at a time when the power dynamic has shifted to the employee, employers need to ensure adequate work practices to reconnect the workforce with the workplace equitably. There is an inherent risk that new workforce inequities may emerge, such as “proximity bias”, where those closest to the centre of influence get greater recognition and therefore promotion opportunities as opposed to remote workers. When it comes to individual contribution the opposite could be argued that remote workers get the benefit of having less in-office distractions and their output is therefore greater.” Mac Giolla Phádraig likens remote work to long-distance relationships, which in many cases don’t work out. “We’ve gone from “living” with our employees in an office environment to long-distance relationships, which often sees commitment recede over time. The context of location also opens up new experiences and possibilities, which are now being explored on a scale never before seen.” He adds, “if we thought the war for talent was tough, just wait for the battle of attrition. It’s now emerging as the number one challenge for businesses across the globe.”
According to the Sigmar/AON Pulse Report on the future of work post-Covid, just 34% of workers will be returning to the office on a full-time basis once Covid restrictions are permanently lifted. 22% of employees are expected to work full-time remotely with the remaining 44% to work hybrid between home and the office. Of this hybrid cohort, 92% will spend three days or less in the office. The Sigmar/AON survey polled 253 companies in Ireland to get insight into the future of work practices post-Covid. Commenting on the findings Talent Summit founder and Sigmar chief commercial officer Robert Mac Giolla Phádraig says: “Recent speculation about the future of work has seen a division in thought between commentators and experts regarding the role the office will play in working practices post-Covid. With this poll, we have real insight into how employers are planning for the world of work once restrictions are lifted. The reality is that two thirds of Ireland’s workforce will see permanent changes in their work practices. That is a massive shift that affects the majority of us.” Remote Working to Spark a Global War for Talent The Sigmar/ AON survey finds that 22% of employees will work full-time remotely. Says Mac Giolla Phádraig: “Remote work is the emerging front of a world war for talent, being fought virtually and our remote workers the spoils of this war. “Ireland is globally recognised as an epicentre of highly skilled and educated workers, making this cohort of employees an attractive proposition for employers from around the world. “There is now global competition for local talent, requiring an arsenal of new methods and systems to compete, as it’s more about hearts and minds than before. “International competition of this cohort of workers will be fierce, effectively opening up a whole world in which 22% of our workforce can work.” The Future is Hybrid 44% of Ireland’s workforce will work hybrid between office and home. 92% will work three or less days in the office. The reality is that many of us will work hybrid between the office and home. Last year we were challenged by the forced dislocation of the workforce from the workplace. This year, however, we will choose how, by whom and where work gets done, which requires deep consideration as we re-architect work over the coming months. This is a critical moment in time for the next generation of work. Says Mac Giolla Phádraig: “ “According to this survey the future is hybrid.”
2020 was an interesting year for Ireland’s IT jobs market with the initial impact of Covid causing some companies to reassess their recruitment practices - either pausing or freezing completely. However, most sectors have bounced back since March and we even saw some companies take advantage of a less competitive market and increased their hiring plans. In 2021, we expect to see a release of this “pent-up demand” for candidates as businesses begin to move back towards BAU models. Digital Transformation Digital transformation projects that typically would have taken years to plan happened practically overnight or over a few weeks as COVID-19 restrictions forced companies to speed up their digital adaptions in what became an “adapt or die” environment. 2021 will see a further increase in demand for individuals with digital transformation experience as companies accelerate further the digitisation of their customer and supply chain interactions and of their internal operations. Companies who failed to innovate or tweak their processes to suit the demand of the market felt a larger impact than companies who remained agile and changed quickly depending on the market demands. Consumers have moved dramatically toward online channels during the pandemic, so companies are having to create digital or digitally enhanced offerings in response. Cybersecurity Unsurprisingly with the adoption of remote work and the planning for transition to the next “normal”, we have seen huge demand for infrastructure and security professionals which we foresee continuing in 2021. As organisations pivoted to work from home models, security engineers rushed to establish secure connections and prevent network threats that targeted remote workers. At the same time, with the surge in online shopping and e-commerce transactions, they had to bolster their organisation’s e-commerce platforms. 2021 will see organisations continue to increase their spend on cybersecurity as companies look to how they will operate in a post-pandemic world. With many organisations such as Google planning for a “Hybrid” work-from-home model, i.e. employees working a few days in the office and a few at home, network security will be a priority. MedTech, Life Sciences and Healthcare Given how health has never been more in focus than it has been in the past year, it is perhaps no surprise that there has been a huge demand for IT professionals in the wider health industry. MedTech and Life Sciences companies are continually developing new and innovative treatments and consequentially developing technologies to enable this. We have seen an increase in demand of more “hybrid roles” such as IT professionals with experience working specifically within class 1 medical devices fields. Biotech and digital transformation within gene cell therapy in particular is set to be a large growth area for 2021. Connected health is set to be a large growth area for 2021 also, as medical practices are forced to digitize and with telehealth being forecast to grow exponentially. Candidate-led Market Despite the initial dip in March 2020, the market very much remains candidate driven. Particularly now as candidates are no longer bound to jobs within commuting distance of the office. Regional talent pools have flourished as candidates who would have worked in major cities, now have the opportunity to work remotely meaning they can move to their preferred location and still do the same job on the same salary as before. Regional companies also benefited as they are now able to tap into larger talent pools due to remote working practices. Perhaps what has been most surprising about 2020, is that salaries have stayed relatively stable, but candidates have been seeking increases in their packages over base. With the increase in remote working opportunities, candidates are no longer distracted by “bells and whistles” (free food, ping pong tables etc.) and instead are more interested in actual projects, technologies being used and career growth and progression. Therefore, our advice to employers is consider how you are marketing your positions. Contractors We saw in our 2020 Q3 survey findings that many businesses looked to Contractors to fill gaps in their teams while coping with the uncertainty in the market due to COVID-19. From recent discussions with our clients this trend is likely to continue in 2021. We particularly foresee an increase in demand of contract roles for Frontend/Fullstack Developers, DevOps Engineers and Data Analysts. As a result of the increase in demand, contract rates have been on the rise. With many large and SME organisations reverting to remote work this has opened the market up to all areas of Ireland. A big trend is seeing Contractors based in the regions now being able to work for the large organisations in the cities and receive the same rates of those based in the cities. Therefore, rates in the regional areas of Ireland have increased due to the remote access of new roles in the industry. All-in-all, we are optimistic about the IT jobs market in 2021 with plentiful opportunities across digital transformation, cybersecurity, MedTech, pharma etc. The roll-out of the vaccine should increase confidence and create further opportunities as the year progresses. Download our IT Salary Guide Ireland 2021 (PDF)
Download - Salary Guide Ireland 2021 (PDF) Executive Summary From Adie McGennis, CEO We thought we had seen it all! If someone said in January; that most of us would fundamentally change the way we work (possibly forever), that some markets would be down over 80%, that we’d all feel awkward when not wearing a mask, that we couldn’t meet any clients or candidates for most of the year, that international travel would be nearly impossible, and that in Ireland record levels of employment would turn to record levels of unemployment in a few weeks; you would probably expect a more volatile salary comparison guide at the end of 2020. Indeed, the personal and health toll for many puts business considerations in context, so we wish everyone well, good health and wellbeing. Obviously, some areas suffered more than others and many areas even thrived, but overall, the stability in professional salaries may be the remarkable aspect of 2020! Generally, in volatile times temporary and contract work increases and this was very much the case in 2020. Many companies had to deal with a rapidly changing landscape in terms of their market, remote work, government supports and varying degrees of lockdown. Progressive companies hired professionals on a temporary or contract basis, and even on a remote basis, so demand and rates did increase for contractors in areas such as IT. We see this continuing even as the rate of change is slowing and hopefully stabilising. For some years now, we have been talking about career plans being fluid and dynamic, and flexibility and contracting increasing. This definitely took a leap forward in 2020. Sector wise, life sciences, including pharmaceutical got increasingly busy throughout the year and from R&D to manufacturing to distribution, this looks set to continue growing for the next few years. Financial Services was more challenging, as their market and way of work changed so quickly. Certainly, towards the end of the year it seems to be stabilising. At the end of 2020 Brexit is again looming and Dublin’s and London’s financial services will experience change and opportunity as well as challenges, for at least the next few years. Construction really slowed in 2020, but again steadily picking up in last few months, as general demand returns but also the way construction sites work has evolved. As a group generally SMEs in Ireland handled the craziness really well. Agility, pivoting and bootstrapping seemed like management school concepts until out of necessity, many businesses changed their model, their cost base, their strategy, and their mentality very quickly to go from Survive to Thrive in a few months. So many inspirational stories. They deserve the opportunities that we hope an improving landscape will present. So, our outlook for Ireland in 2021 is positive. There will be more challenges in coming months, but we are optimistic that the general picture will improve. From a national perspective the short-term funding required will necessitate strong budget management in coming years to enable businesses to grow back. Ireland still carries a lot of debt and politically there may be pressure to increase public expenditure beyond sustainable rates. But as long as we get this right, we have every reason to be optimistic and put 2020 down to learning experience. Download Salary Guide Ireland 2021 (PDF) Salary Guide 2021 by department Accountancy & Finance Construction & Property Services Financial Services HR Insurance IT Legal & Compliance Life Sciences Manufacturing & Engineering Marketing Multilingual Office Support Sales Supply Chain