IT projects have been given the green light in 2005 - the exact reason for increases in demand for key IT personnel in the developer stage, according to the 2005 Michael Page Technology salary survey.
The survey of more than 35,000 Australian clients and 9000 Australian candidates found most recruiting in 2005 had been at the junior to mid-level salary range; however on another tier the industry is suffering a "profound" shortage of .Net, P/L SQLK, Java and J2EE skilled developers, especially in the banking and finance industry.
Michael Page Technology associate director Stuart Packham said while salary does attract staff it isn't the prime motivator.
IT candidates want the opportunity to work with the latest technologies and more importantly, flexible working hours, he said.
"Contracting is also becoming more active as demand and the skills shortage in the permanent pool intensifies. Longer-term contracting gives employers the chance to 'try before you buy' and retain valuable skills over the longer term," Packham said.
"Demand for contractors is now being driven by specific projects or experience in areas such as vendor management and data centre builds."
Packham added that salaries for both permanent candidates and contractors have increased by 2 to 5 percent in line with CPI while salaries for hot jobs have increased by more than 10 percent.
"This trend will continue in 2006 as spending continues," he said.