IT Skills and Certifications Paying Less Quarter on Quarter

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According to the Foote Partners latest IT Skills and Pay Demand report, both pay and demand for certain IT skills continues to wane. The average market value for 265 noncertified skills decreased slightly (-0.2 percent) from April to June following consistent gains in the previous five calendar quarters.

 The pay premiums for 237 IT certifications continued their terrible performance for a fourth second straight quarter and for 18 of the last 19 quarters. This trend results in  an overall loss in market value of nearly 2 percent for the quarter, according to the Foote Partners report.

Only one category of certifications –- database---grew in overall market value (+2.6 percent) in the latest quarterly benchmark update from Foote Partners, supported by gains in three Oracle certifications. It seems Larry Ellison is still creating jobs and demand for important skills at Oracle.

For noncertified IT skills, four of eight skills categories showed improvement: management, methodology and process skills (+2.4 percent percent in pay premiums), messaging and communications skills (+1.7 percent) database skills (+0.6 percent) and SAP & enterprise business applications skills (+0.3 percent).

Declines were more widespread, with IT certifications taking the biggest hit - the following were some of the categories suffering:

1.  Entry-level and training certs (-5.9 percent in pay premiums)

2.  Web development (-4.0 percent)

3.  IT security (-2.9 percent)

4. Systems administration and engineering (-2.5 percent)

5. Applications development and programming languages (-2.3 percent)

6.  Networking certifications (-0.2 percent).


“The difference this quarter over last is that several economic indicators are now telling us that the economic recovery has deteriorated. Prices are rising for many goods and services, consumes confidence is low, and the unemployment rate is not improving. There are fears of a double dip recession, a plummeting stock market, and riots in the streets of Europe,” said David Foote, Foote Partners co-founder, CEO and chief research officer and publisher of the report. “This will of course influence staffing and workforce decisions going forward but the question is how much? The drivers for skills and talent acquisition in evidence today are more unique and compelling than prior downturns and they won’t easily crumble under pressure.” 

The report includes details on gains and losses in pay premium for 502 individual certified and noncertified IT skills at 2,126 U.S and Canadian employers (118,300 IT professionals). 

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