Slideshow: The New Economics of IT, Part I

In the midst of the current economic gloom, there are some rays of light for those Australian IT professionals who currently are employed.

  • Restrictions on travel are widespread as travel budgets have become a notable victim of the current round of belt-tightening going on in Australian IT departments.

  • Australian CIOs are resisting the option of cutting back on staff training as a way of reducing expenses. Fully three out of five indicated there were no plans to reduce the level of spending on IT training.

  • So far, most IT departments have been spared the axe. More than half of the Australian CIOs surveyed by the CIO Executive Council have no plans to cut IT jobs as a response to the current economic crisis.

  • Contractors and consultants may be doing it tough. Effectively, less than one in four Australian organisations intends to maintain its spending levels for contractors and consultants.

  • Development of non-essential projects is one of the casualties of the current economic crisis. More than three out of four Australian CIOs have already postponed discretionary projects or plan to do so in the next six months.

  • IT job prospects are looking exceedingly gloomy in the coming months as organisations react to the global economic crisis. IT hiring has been frozen in about two out of three Australian organisations, with a further 13% intending to start doing so within the next six months.

  • Australian CIOs plan to hold steady on staff compensation (salaries, bonuses and benefits) in the coming year, despite the intense pressure on their departments to cut costs.

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