IT industry faces staff crisis to fill 14,000 jobs
An EU study, backed by the Irish Computer Society, predicted significant growth in employment in the IT sector with 2,790 jobs to be created this year, 6,382 next year, and 4,342 in 2004-2005.
However, it said colleges had underestimated the demand for IT graduates, and that, coupled with an unprecedented dip in demand for IT courses, the industry faced a new manpower crisis.
Professor Cyril Burkley, Dean at the College of Informatics and Electronics at University of Limerick, said IT companies will be forced to invest elsewhere if the number of graduates continues to fall.
He said the dramatic downturn in the number of graduates was an over-reaction to recent job losses. Figures from the CAO last month showed the number of applications for IT courses was down 50% on last year.
"There is a danger if the graduates are not there, that companies will not be able to expand or even set up here.
"I would echo the concerns of the survey that there will be a shortage of graduates to meet market demand. This could create difficulties for the IDA in attracting IT companies," Professor Burkley said.
The IDA said it was acutely aware of bottlenecks within the industry and that it was time for schools, colleges and the industry as a whole to start shouting from the roof-tops about the opportunities in the sector.
"This industry goes through cycles of growth, stop and surge. Only 3,800 jobs were created in the sector last year and we anticipate a similar trend this year. But we expect the numbers to double next year and from then on," an IDA spokesman said.
Intel, which plans to recruit over 1,000 new staff, most of them engineers, over the next three years, said it is worried by the fall-off in the popularity of engineering and science at second and third level. Its new Fab 24 unit is now under construction.
"We really need to start promoting the industry. Short term, it would be complacent of us if we didn't do something now. The trend away from science and technology seems more dramatic, based on the CAO statistics. We would be hopeful of a rebound though," said Intel's Frank Turpin.
The threat to foreign investment was further highlighted by figures which show that foreign investment dropped by 60% last year.
According to a report from the United Nations Conference on Trade and Development, the reduction was the equivalent of $8,000 for every worker in the country.
Forfas said that trend has continued into this year.
