The IT Paradox: Shortage That Doesn't Raise Salaries

In 2007, firms clamored for IT staff but offered salaries of 18,000€. The irony of a shortage that didn't raise wages remains relevant.

English · Original discussion in Spanish · Published

The IT Paradox: Shortage That Doesn't Raise Salaries

In 2007, a La Vanguardia article titled “The Lack of Computer Engineers Desperates Companies” sparked industry irony. Chronicles mentioned firms like Raona paying up to 4,000 euros for recruitment, claiming students found jobs before graduating. Yet, market data showed a different picture: entry salaries of 18,000 euros gross annually for graduates, and just 12,000 for junior profiles on Infojobs. The contradiction between the shortage narrative and mileurista realities became the day’s joke.

Supply and Demand That Don’t Work

Economic theory states that scarcity raises prices. But in Spain’s 2007 IT labor market, the rule seemed suspended. While firms clamored for professionals, offered salaries didn’t reach 24,000 euros for experienced technicians, and fresh graduates started at 18,000. “It’s ridiculous what is offered as a salary to IT professionals,” summarized a common analysis. Service consulting firms, billing clients much higher figures, refused to pass that margin to employees. The result: high turnover, professionals changing companies every two years to squeeze out an extra thousand euros, and a growing stream of emigration to countries where salary valuation did align.

Intrusion and “Knowing How to Sell Yourself”

Another factor that emerged strongly was labor intrusion. Not regulated vocational training, but accelerated courses from academies like CEAC, which, according to testimonies, flooded the market with fake professionals willing to earn much less. This, combined with HR departments unaware of technical aspects, led to hiring based on eloquence rather than knowledge. “If I earn trash, it’s because of intrusion; if I earn a fortune, it’s because I knew how to sell myself,” a debate thread ironically noted. The lack of salary transparency—no colleague revealed what they earned—allowed companies to keep the squeeze. Those daring to ask for a raise upon announcing departure usually got an immediate 6,000 euros extra per year: proof there was margin, but no willingness to pay in advance.

Emigrate or Perish

Faced with stagnation, the foreign option gained adherents. Ireland, the UK, or Germany appeared as destinations where an IT professional with three years of experience could double their salary without changing roles. Language was the main barrier, but not insurmountable. “In Spain, we are not valued enough,” was the repeated mantra. Meanwhile, Spanish firms began recruiting in Latin America, offering newly graduated Peruvian or Bolivian professionals salaries of 2,800 euros monthly—a figure here seemed from another planet for a junior. The paradox reached its zenith: importing cheap talent from abroad while local talent left or resigned.

The End of the Joke

Time has proven the skeptics right. The thread, peine in 2007, remained active years later with the same refrain. As a late commenter noted: “Unfortunately, we are still there, and not just IT professionals.” The shortage of professionals denounced by firms has not translated into real improvement of conditions. The market has preferred to maintain an army of underpaid reserves rather than raise salaries. And meanwhile, the joke remains the same.

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Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (240 replies).

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