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Public sector threat looms for technology recruiters
Friday 5th February 2010By Mike Jones
The latest figures for technology recruitment in the public sector in 2010 predict a sharp decline across both central and local government as budgets are squeezed even tighter.
According to the Society of Information Technology Management (Socitm) annual report on IT spending, local authority expenditure on IT staff will decrease by 10% in 2010 with public sector IT cuts inevitable regardless of who forms the next government.
Technology recruiters have recently weathered the recessionary storm and have come out leaner and ready to face the next challenge. The Recruitment and Employment Confederations (REC) Report on Jobs for December showed continued growth in the Technology contract and permanent recruitment market.
Jeff Brooks, Chair of REC Technology said: "While we might expect budgets to be squeezed this year, IT is a major driver of productivity gain throughout the public sector. The Government needs to continue to develop critical infrastructure such as the Government Cloud for shared resources (G-Cloud) and plans for super fast broadband.
"This will not happen on its own and it will need investment in skills and talent to deliver the systems we need in a global economy. I am optimistic that any new government will understand IT is a net contributor to UK Plc and continue to invest in this area."
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End of beginning as downturn slows slightly
The seasonally-adjusted CIPS/Markit Purchasing Managers’ Index (PMI) rose to 42.9 in April from 39.1 the previous month, but was lower than last year’s figure of 49.7. Despite remaining below the neutral 50.0 mark (a figure less than 50 indicates a contraction) for the 13th month running, the PMI moved further from February’s joint survey record low.

