Hiring Barriers Shift as Processes Surpass Talent Shortage in IT

URGENT UPDATE: Internal processes and inefficient sign-off have now overtaken the talent shortage as the primary barrier to hiring IT professionals, according to the latest findings from the Tech Salary Survey & Market Trends Report released by IT Search. This pivotal shift was confirmed in a poll of 633 IT professionals, with 32.19% citing cumbersome in-house procedures as their biggest hiring challenge.

As the job market evolves, a growing preference for contract work is emerging, with many professionals indicating they favor temporary roles over permanent positions. This trend is anticipated to persist into 2026. Alarmingly, nearly half (49%) of surveyed professionals reported they do not expect salary increases within the next six months. Among those, 75% are likely to begin searching for new opportunities, highlighting the urgent need for organizations to address internal hiring inefficiencies.

On a brighter note, the presence of women in Ireland’s tech workforce has increased to 24.4%, surpassing the EU average of 19.5%. Demand for AI and data roles is projected to surge by 12-15%, with 60% of professionals noting that AI has significantly enhanced their work experiences.

David Shanahan, director at IT Search, emphasized the growing trend toward contract opportunities, stating, “The most significant trend in 2025 was an increase in contract opportunities, which has historically been a good indicator of permanent hiring activity. We expect the contractor-first approach will continue into 2026 for major technology programs such as AI implementation and regulatory compliance.”

The report paints a mixed picture for the future of hiring in Ireland’s tech sector. While recruitment activity has accelerated and AI is becoming a staple across various industries, the frustrations stemming from internal processes remain a significant hurdle for employers trying to secure top talent.

As recruitment needs evolve and the demand for skilled professionals increases, organizations must reassess their internal hiring strategies. Those who fail to adapt may find themselves facing heightened competition and employee turnover in the coming months.

The implications of these findings are profound, affecting not only hiring managers but also the professionals seeking opportunities in the tech landscape. For companies in Ireland and beyond, the call to action is clear: streamline internal processes to attract and retain the best talent in a competitive job market.

Stay tuned for further updates as this situation develops. The urgency to address these hiring barriers cannot be overstated, as they hold significant consequences for the future of work in the tech industry.