Offshoring blamed for salary slump

Offshoring to India has forced down both salaries and temporary rates for IT helpdesk staff based in the UK, the Association of Technology Staffing Companies (Atsco) has claimed.

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Helpdesk workers' pay fell by an average of 9.6% between 2004 and 2005, according to an Atsco survey. Average pay for contract and temporary IT helpdesk staff fell by 25% as average hourly rates dropped from £16 in 2004 to £12 in 2005. The average salary for permanent IT helpdesk employees fell 3% from £18,076 to £17,538.

The increased outsourcing of entry-level IT jobs is reducing the number of positions available for people seeking a first job in technology, said Atsco.

Atsco chief executive Ann Swain said, "How will organisations recruit IT staff for mid- to senior-level roles if there are no entry-level jobs left in the UK for people to progress from? The fall in the number of graduates choosing IT careers will filter through to chronic skill shortages at the top in years to come."

Atsco commissions iProfileStats to calculate average IT salaries every quarter. Of 5,675 IT workers surveyed, 55% held permanent jobs, 33% were contractors and 12% were unemployed.