As we look to the future of digitalisation, IT remains one of our most critical skills, with tech giants like Amazon and Panasonic opting to set up headquarters in Cape Town, South Africa’s own ‘Silicon Valley’ and high FDI-focused city. Adding to this, more local and international SMEs are increasing their digital footprint in the country every year as IT continues to demonstrate signs of growth and remains one of the top performing employment sectors.
Due to an increasing demand for skilled IT professionals, they have become one of the country’s most valuable commodities. According to recruitment technology company Pnet, the biggest growth in online hiring activity for this sector was evident in Gauteng, with an increase of 74% since 2020. Cape Town is also thriving as a tech ecosystem, home to 38% of South Africa’s developers and receiving R1.2 billion of foreign direct investment in tech start-ups in 2020.
“Digitalisation is a key driver of economic growth”, says Paul Byrne, Head of Data Insights, for Pnet. Quoting Aiman Ezzat; CEO of technology consultancy Capgemini SE, Byrne reiterates that the transition to electric cars, global energy transition and even building a sustainable economy is all driven by digitisation. More to the point, “if we do not have enough digital skills, we are slowing down the transition and, more importantly, this opportunity for growth.” It is estimated that South Africa is currently experiencing a shortage of estimated 70,000 plus ICT professionals.
With the transformation of flexible working conditions as a by-product of the Covid-19 pandemic, international companies are dipping their hands even further into South Africa’s pool of talent and hiring sought-after IT professionals, making it even more challenging for local companies to find software developers. These high-in-demand professionals are more likely to request remote or hybrid working opportunities, so prospective employers need to take this into account if they want to attract and retain top talent.
Europe and the United States in particular, have always been popular for skilled South Africans looking to grow their opportunities and get paid in foreign currencies. The fact that this can now be done without leaving the country has further tightened the strings of competition. For local tech businesses, the biggest bargaining chips they have to put on the table right now for new hires are career development, increased financial incentives and flexibility.
For prospective skilled IT professionals looking to specialise or upskill for more high-level positions, there is an increasing demand for leadership roles in digital transformation, artificial intelligence, data science, systems engineering, and software development. The top programming languages were listed as C#, C++, Java, and VB. With such a wide array of specialisations and positions available across the board, it is advised that new entrants to the industry, like graduates, cast their net as wide as possible with skills that can be applied as more generalist at first.
The world of IT is an ever-changing landscape, with no signs of slowing in South Africa. Tech companies with their fingers on the pulse of industry trends will need to make a consistent effort to keep their working conditions relevant if they aim to capture and retain top talent.
