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6 Trends That Will Impact IT Team Management in 2024

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In 2021, we told ourselves that 2022 would be better. But it didn’t get better: 2022 turned out to be a year of setbacks worldwide. The stock market dropped by almost 20%, dragging the tech industry down with it. Global inflation exceeded 13%, and the Federal Reserve responded with an interest rate hike. Some experts argue that the U.S. is on the brink of a recession similar to the Great Depression of the 1930s.

Global tech giants began massive layoffs—from warehouse workers to HR, marketing, and even top management employees. The full-scale war in Ukraine further destabilized the global economy, forcing CEOs worldwide to begin business optimization. Additionally, hiring and recruitment constitute a significant portion of business expenses.

Against this backdrop, technologies continue to develop rapidly. Artificial intelligence is rapidly changing the duties and essence of positions in IT: for example, business analysts now need more than just Business Analysis skills.

We have gathered the main IT trends that will impact hiring and team management in 2024.

Trend 1: The Job Market No Longer Favors Candidates

Covid brought easy money to companies, and many businesses spent more than before in terms of future earnings. However, in 2022, a series of negative factors affected companies’ earnings. In the fourth quarter, the wave of layoffs reached tech businesses.

In tech companies, the main expenses are on people. Since 2017, spending on salaries, stocks, and benefits has significantly increased. When it came time to cut costs, the logical decision was to start with employees. Massive layoffs, hiring freezes, and “benching” began. Top management, HR, marketing, development, warehouse, retail store employees, and others were affected. Orders at large outsourcing companies were reduced, leading to another wave of layoffs.

This has affected the global job market—since 2022, and as of now, it is more favorable for employers. The candidate pool has increased, companies have cut benefits, and are more willing to let go of employees, knowing that IT professionals can be easily replaced.

Experts from job board portal JobMesh commented on this:

“While the current job market may lean towards employers, there’s a notable shift on the horizon. Companies are increasingly realizing the immense value of skilled and talented employees, suggesting a forthcoming rise in demand for top-tier talent. As businesses navigate the post-pandemic landscape, it’s evident that exceptional candidates will always hold a favorable position. Employers will actively seek out individuals capable of driving innovation and fostering growth within their organizations.”

Trend 2: Less Enthusiasm for Hiring Juniors

In an oversaturated candidate market, a company can afford to hire a better specialist for the same money. Besides, businesses are less willing to invest in training IT professionals, so they mostly hire people at the Middle level or higher.

This trend is also related to the fact that outsourcing giants were previously the largest employers for newcomers. However, due to a decrease in the number of orders, they have also started to prefer more experienced candidates.

However, despite the Junior job market crisis, the situation is somewhat better on the global market. Giant companies like Google and Amazon have their own junior training programs. The best of them receive offers after completing the program

Trend 3: AI Development is Transforming Responsibilities for All IT Positions

People burdened with routine tasks often postpone important projects and feel less productive. At the same time, according to the ADP Research Institute, 55% of employees have a positive attitude towards automating monotonous work.

Thanks to artificial intelligence-based tools, professionals spend less time on routine tasks and can focus on more strategic processes.

According to Deloitte, recruiters spend 93% of their time on repetitive tasks. At the same time, 65% of them can be automated. For example, with the help of Ideal, which reviews and selects resumes. According to developers, the service saves up to 4 hours a day.

But that’s not all: the demand for AI tools means that for effective competition, companies need people with skills in various disciplines. For example, the list of essential skills for business analysts (BA) already includes elements of Project and Program Management.

Business mentor Robin Waite says that there is a belief that AI in the future could even automate code development, potentially jeopardizing the careers of junior and middle-level developers.

Modern AI tools can help with automatic code completion, creating technical documentation, improving code quality, and increasing its security. For example, AI-based code generators identify patterns and anomalies that may indicate future security issues, helping IT professionals address them before deploying the program. AI can also review program configurations and architectures to ensure they comply with security standards and GDPR, HIPAA, and PCI DSS requirements.

Trend 4: The number of women in IT is increasing

Overall, the percentage of women in the IT sector is still relatively low compared to other professions. According to an analytical report by Recode, around 20% of women work in Silicon Valley. However, there have been improvements.

GlobalLogic reports that 1769 women work with the company in Ukraine, which is more than a quarter of the professionals. A large number of women are in QA Engineering, Project Management, Business Analysis, and Support Management. While there are not many women in developer positions yet, the trend is positive.

Trend 5: The importance of cultural fit during hiring is increasing

Many companies are now focusing on a candidate’s values and cultural alignment rather than just their skills and practical experience. If an employee does not share the company’s values, strategic vision, and approaches to management, this poses financial risks. Unlike skills and knowledge, values cannot be taught, so a specialist who does not fit in may not thrive or be effective. During interviews, candidates may be asked:

  • What motivates you at work?
  • How do you resolve conflicts with colleagues?
  • A colleague is struggling with a task and asks for your help. What do you do?
  • How would you describe your previous employer? (to assess the person’s tendency towards negativity or gossip)
  • Based on the answers, recruiters identify the candidate’s motivation at work, typical communication styles with colleagues, methods for resolving conflicts at work, and values. 

Trend 6: The popularity of services for reporting bullying and harassment is growing

According to CareerBuilder, 1 in 4 employees has experienced bullying in the workplace. Another study by Women Who Tech found that 44% of startup founders and 48% of women in the tech industry have experienced harassment. Companies are taking the first steps in this direction by encouraging employees to report violations at work. However, to ensure that employees are not afraid to do so, it is important to:

  • Provide anonymity. An SHRM study showed that 76% of employees who experienced harassment in the last year did not report it. The main reasons are shame and fear of retaliation. Anonymity is crucial for creating a safe and reliable method of reporting misconduct.
  • Implement reporting tools. Services like STOPit Solutions, Work Shield, and SpeakfullyNow provide employees with a safe and reliable way to report harassment or other violations in the workplace. Additionally, a company can develop a custom solution.
  • Not ignore the problem as if it doesn’t exist. Asking employees to sign non-disclosure agreements and filing defamation lawsuits when an incident occurs is a very poor strategy. Do not silence the problem; work on it and promptly dismiss employees who disrupt the team’s general atmosphere, especially those who bully colleagues.
  • In 2015, Dylan Minor, a professor at Harvard Business School, and Michael Housman, Chief Analytics Officer at Cornerstone OnDemand, studied the negative impact of toxic employees on a company. According to their calculations, the most productive member of a team brings in $5,000 in profit to the business per year, while a toxic one causes $12,500 in losses. It turns out that the costs associated with hiring an employee prone to harassment and bullying are at least twice as high as the benefit of hiring a top performer.