sri Lankan ICT workforce rise by 22%
There has been a 22% rise in the Sri Lankan ICT workforce as a whole, implying a favorable view of the job market according to the demographic analysis conducted, by the ‘2022 Compensation and Benefits Report for Sri Lanka’s IT/BPM Industry by Sri Lanka Association for Software and Services Companies (SLASSCOM).
The reports developed in collaboration with SLASSCOM’s HR Forum and PwC Sri Lanka also add that there is a possibility of companies expanding their operations. “Secondly, it showcases that the IT industry is intending to hire 25% more employees by 2023, underscoring the sector’s sustained expansion and need for competent personnel.”
Another noteworthy finding was the improvement in female representation in the IT industry, with a 35% female participation compared to the previous year’s 29% for IT. The BPM sector saw 46% female participation.
These figures indicate that the industry is taking steps towards greater gender diversity and inclusivity. In 2022, flexible work arrangements emerged as one of the top three factors for attracting and retaining talent. As such, around 81% of companies have implemented some form of remote working. There has also been a notable increase in the number of women who are seeking part-time employment as they can easily return to work due to the benefits of remote working.
The study also discovered that the BPM industry has a comparatively young workforce, with a substantial proportion of employees under the age of 24. This implies that the industry is an attractive choice for young individuals who are seeking profitable job prospects.
It also shows that in the period before the C-19 pandemic, there was a significant rise in staff turnover levels from low to mid-level in organizations. Interestingly, migration has now become the primary reason for turnover, overtaking better pay and opportunities, among both IT and BPM companies.
The report revealed that organizations are implementing different strategies, such as pay schemes linked to inflation and exchange rates, to ensure their employees remain motivated and engaged. 75% of companies it seems have decided to keep salary increases and variable pay practices separate.
A significant number of companies appear to be uncertain about their compensation strategies for 2023. In response, these companies intend to manage their budgets and adjust their practices to align with market changes.
This approach suggests that businesses are likely to adopt short-term measures and maintain flexibility to review and adjust their pay practices periodically.
Chairman of SLASSCOM Ashique Ali stated that the report will be a viable tool to assist businesses in making well-informed decisions regarding their hiring and retention strategies, enhancing employee engagement and benchmarking against industry standards.