Businesses see IT as facilitating cost-cutting

Businesses see IT as facilitating cost-cutting
Businesses now believe that IT facilitates budget cuts, which is good news for contractors, according to experts.

ITContractor.com says that the industry has remained strong during the recession due to businesses recognising the importance of the sector to cost-cutting.

Gerry McLaughlin, of ITContractor.com, said that IT used to be seen as a sector that could be cut when a firm ran into financial difficulties but now it is viewed as an enabler of cost-cutting.

"IT jobs salaries and contract rates barely went down during the downturn, and are now back up above levels of two years ago. This was a downturn that IT sat out for the most part".

However, a survey by the IT Job Board found that 56 per cent of IT managers do not think the recession is yet over for the sector.

In addition, 61 per cent said that the economic difficulties had affected their IT department and 56 per cent think the industry will not emerge from the recession until 2012.
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