Average career for high-tech workers is only four years, nearly half leave the field when let go
High-tech workers stay on the job less than half as much as other workers, and nearly half leave the field entirely once they’ve been let go from their jobs, according to a new study.
The study, by Drake Beam Morin (DBM), looked at workers in the high technology, chemicals and pharmaceutical and financial services industries around the world. The study found globalization, competition and corporate restructuring are having a significant impact.
“Clearly, all three of these sectors are experiencing a changing economic environment,” said Russell Sheppard, vice-president of sales and marketing for DBM Canada. “High technology continues to experience consolidation among telecommunications organizations. Stumbling economies and over-hyped e-commerce initiatives have put a damper on business capital and consumer confidence. These three sectors can likely expect continuing organizational change in the form of mergers, acquisitions and consolidations, all of which impact on the employment realities of people working in them.”
It took workers in these industries who’ve been let go at least three months to find new employment. Workers in the chemical and pharmaceuticals sector had the hardest time, with an average of four months in between jobs. Most workers over the age of 50 took an average of five months, the notable exception being older high-tech workers who were slightly more likely to find new employment than their younger colleagues. Turnover was greatest among sales and marketing professionals in all three sectors.
Here are some conclusions DBM drew from the study:
High technology
• Technology workers average tenure on the job is four years, less than half the time of workers in the general population.
•47 per cent of high technology workers let go opted for new employment in another industry.
•Older high-tech workers were just as likely as their younger colleagues to resume full-time work at equal or better pay.
•High-tech companies are likely to be among the leaders in pioneering best practices for recruiting, developing and retaining talent from the developed world’s aging labour pool.
•Many high-tech workers switched to new functions, suggesting their expertise is highly valued in all areas of organizations.
•The high-tech sector continues to experience uncertainty which makes it more important for workers to learn to manage rapid change in their career development.
Chemicals and pharmaceutical
•64 per cent of chemicals and pharmaceutical workers let go found employment in a new industry.
•Chemicals and pharmaceutical companies appear to value workers with new ideas and diverse experience with knowledge from outside the industry.
•The low-margin commodity status of many chemical products places high value on individuals able to build strong relationships with consumers. High turnover in sales and marketing creates opportunities in these areas for people from other functions who can add value to customer relationships.
Financial services
•49 per cent of financial services workers let go found employment in a new industry.
•A return to traditional cyclical patterns in financial markets means financial services workers who can manage change, take a long-term perspective and learn quickly will be more successful in career management than people who struggle with change.
•Entrepreneurial spirit is valued as an important contributor in the next period of innovation and growth.
The study analyzed data from 5,400 people who were displaced from employment in high technology, pharmaceuticals and financial services companies in 31 countries. DBM, a division of Toronto-based Thomson Corporation, is a provider of human resource solutions.
The study, by Drake Beam Morin (DBM), looked at workers in the high technology, chemicals and pharmaceutical and financial services industries around the world. The study found globalization, competition and corporate restructuring are having a significant impact.
“Clearly, all three of these sectors are experiencing a changing economic environment,” said Russell Sheppard, vice-president of sales and marketing for DBM Canada. “High technology continues to experience consolidation among telecommunications organizations. Stumbling economies and over-hyped e-commerce initiatives have put a damper on business capital and consumer confidence. These three sectors can likely expect continuing organizational change in the form of mergers, acquisitions and consolidations, all of which impact on the employment realities of people working in them.”
It took workers in these industries who’ve been let go at least three months to find new employment. Workers in the chemical and pharmaceuticals sector had the hardest time, with an average of four months in between jobs. Most workers over the age of 50 took an average of five months, the notable exception being older high-tech workers who were slightly more likely to find new employment than their younger colleagues. Turnover was greatest among sales and marketing professionals in all three sectors.
Here are some conclusions DBM drew from the study:
High technology
• Technology workers average tenure on the job is four years, less than half the time of workers in the general population.
•47 per cent of high technology workers let go opted for new employment in another industry.
•Older high-tech workers were just as likely as their younger colleagues to resume full-time work at equal or better pay.
•High-tech companies are likely to be among the leaders in pioneering best practices for recruiting, developing and retaining talent from the developed world’s aging labour pool.
•Many high-tech workers switched to new functions, suggesting their expertise is highly valued in all areas of organizations.
•The high-tech sector continues to experience uncertainty which makes it more important for workers to learn to manage rapid change in their career development.
Chemicals and pharmaceutical
•64 per cent of chemicals and pharmaceutical workers let go found employment in a new industry.
•Chemicals and pharmaceutical companies appear to value workers with new ideas and diverse experience with knowledge from outside the industry.
•The low-margin commodity status of many chemical products places high value on individuals able to build strong relationships with consumers. High turnover in sales and marketing creates opportunities in these areas for people from other functions who can add value to customer relationships.
Financial services
•49 per cent of financial services workers let go found employment in a new industry.
•A return to traditional cyclical patterns in financial markets means financial services workers who can manage change, take a long-term perspective and learn quickly will be more successful in career management than people who struggle with change.
•Entrepreneurial spirit is valued as an important contributor in the next period of innovation and growth.
The study analyzed data from 5,400 people who were displaced from employment in high technology, pharmaceuticals and financial services companies in 31 countries. DBM, a division of Toronto-based Thomson Corporation, is a provider of human resource solutions.
