4 in 10 software developers plan to quit: report

Diving Brief:

  • With technical skills in high demand across industries, 42% of software developers plan to leave their current jobs, according to data from Digital Ocean. The company surveyed 2,500 developers worldwide between April and May.
  • Higher compensation is the higher attraction. Compensation was a key factor for 27% of developers who started a new job in the past year. Remote work environments, better benefits or starting a business were also the main reasons for fleeing.
  • Among developers who had been in the workforce for at least a year, more than a quarter had changed jobs in the past 12 months.

Overview of the dive:

Small surprise: the strong demand for technical skills and historic inflation are pushing salaries and attrition rates up.

“We’re seeing positions open for six months or more,” John-David Lovelock, distinguished vice president of research at Gartner, told CIO Dive. “We see hiring bonuses of twice the annual salary; salary increases, for certain positions, of more than 25% per year.”

Despite a recent — and likely outlier — spike in tech layoffs, global demand for tech workers remains high. Employees with a technical background have the upper hand in negotiations as companies seek to fill positions.

While some sectors or companies may cut hiring, demand elsewhere will prevail, said Tim Herbert, director of research at CompTIA, in a press release.

Recent trends in hiring and demand for talent speak to the “diverse nature of the tech workforce,” Herbert noted.

The unemployment rate in tech occupations hit 2.1% in May, up slightly from 1.7% in April, according to a CompTIA study of data from the US Bureau of Labor Statistics. The tech unemployment rate, which has been relatively stable for the past six months, lagged the overall national unemployment rate in May, which stood at 3.6%.

According to a Gartner report, tech workers are about 10% less likely to stay in their current job than non-IT employees.