Australian employees and job seekers have been urged to think twice before demanding higher salaries in 2010, despite a recovery in the IT job market.
Although there will be some niche areas within IT with the flexibility to demand higher salaries and contract rates, regional director of Hays IT, Peter Noblet, said it won't be a case of job seekers being able to demand top level prices again just yet.
"If candidates can prove that they can make a difference to the organisation, then yes they probably will be able to ask for - not demand - higher salaries, but I don't think it's going to be massive across all of IT," Noblet said.
The niche roles with the ability to leverage include senior level project management, strategic architects, .Net and Java developers, and roles within the infrastructure and networking space.
Noblet said the IT job market saw unusually high recruitment activity at Christmas time, as employers sensed new optimism in the market. "The general feeling is that there is a sense of recovery taking place," he said. "Companies are thinking of long-term strategies to strengthen their business and this includes planning for recruitment during 2010."
Hays has already seen increased movement within the IT market with more vacancies and employers willing to look at more resumes.
"That flexibility and movement in the marketplace then creates other roles and once that starts happening, then the whole market starts moving," Noblet said.
Vendors and service providers are expected to have a rosy 2010, as Hays predicts companies to go after niche vendors instead of looking at large outsourcing type arrangements.
In November, the Olivier Job Index reported a resurgent job market, with job ads growing 11.75 percent. And in October, Computerworld reported Australia's IT services market was on the rebound with some of Australia's top IT service providers signalling their intentions to significantly increase local headcount. Logica, UXC, Fujitsu, Capgemini and CSC have all told Computerworld that positions are up for grabs.