Skills Shortage Slows ICT Growth

By Greg McNevin

February 28, 2008: According to a new report from the Australian Computer Society (ACS), IT&T growth down under is being stymied by chronic skills shortages.

The ACS ICT Industry Report, conducted by the Centre for Innovative Industries Economic Research Inc (CIIER), shows that key sectors in the industry are witnessing a downturn in both employment and research & development spending.

Australia currently has 514,000 ICT professionals, and more than 268,000 work directly in the ICT industry, supplying goods and services to every sector of the economy.

ACS conducts regular surveys within the Australian ICT sector, and as of January this year the growth of ICT worker numbers was slowing while shortages were becoming apparent.

According to ACS President Kumar Parakala, this shortage is becoming problematic as it is now negatively impacting industry performance, which will have further unwelcome flow-on effects.

“Australia’s ICT priorities must be top of mind if Australia is to maintain its globally competitive position. This includes encouraging more people to enter or re-enter the ICT workforce, particularly women and older workers,” said Parakala, adding that industry and Government must collaborate to create a sustainable ICT ecosystem that will grow the workforce.

“The ACS believes information knowledge creation or knowledge process outsourcing should be the focus of efforts by Government and industry, as well as supporting ICT R&D to create an environment conducive to innovation,” said Parakala.

“We have now reached the tipping point and if the industry is not supported by the Federal Government, Australia will slip further down the line on the global stage. We are calling for the Governments of Australia and key ICT industry stakeholders to work together to support industry growth and improve Australia’s ICT performance by increasing funding for ICT R&D.”

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