The world is trying to restore its old ways of life, work, and recreation. But however hard we try, the impact of the pandemic is too strong to come off in its entirety. While the pandemic has changed how people view the world and perceive their freedom, corporate and business ventures also have evident transformation.
As the world shut down majorly in 2020, companies working in an office setup, offline stores, location-based businesses, entertainment platforms, and many more sectors came to a halt. This halt was not very rewarding for their business and had adverse effects on their turnover. Companies could only manage to sustain their employees for a limited period, and there was a drive of layoffs and downsizing.
Many individuals, organizations, and enterprises suffered the blow. But history has it; humankind has always tried to develop solutions to the gravest of problems. During lockdowns and restrictions, companies switched to a cloud-based approach, and 2020 turned out to be a breakout year for the SaaS (Software as a Service) industry.
Tech and software came to the rescue and provided added benefits of employment opportunities. The US accounted for a considerable rise in the tech sector, and cities like Dallas, Atlanta, and San Diego held the top positions in the list of high-performing regions.
How is San Diego doing in the tech and software industry?
San Diego arose as an enormous depot of skilled engineers, tech experts, and a highly educated workforce. As there was a rapid switch to technology and software, the demand for qualified individuals increased, and so did the competitive arena and the compensation quotes. The US alone witnessed a massive demand for tech and software employees as the pandemic fueled the acceleration rate towards technology.
San Diego has contributed to the global tech and software arena, with San Diegans working with more than 300 companies to generate a revenue of over US $5 Billion since 2006. The economic growth of San Diego has surpassed the growth rate of most of the regions in the country.
The Commercial Real Estate Service of the United States of America placed San Diego above Los Angeles based on expansion and development in the tech industry. Leading companies like Qualcomm, Zovio, ecoATM and Linus Health are operating in the city that is constantly attracting more tech and software-based enterprises.
How are the salaries for tech and software portfolios in San Diego?
Covid created a vacuum between companies, employees, and consumers. Technology and software could fill this vacuum. Many more factors combine to create a space that offers high salaries to tech and software-associated workers. Some of these factors are listed below:
This is the most evident reason why the salaries are escalating for the sector. From companies selling groceries via an app to websites offering yoga classes, software meant for editing videos, and a myriad of different services, tech has positioned itself in the daily lives of individuals. Technology has enabled connections and global collaborations.
Companies are investing in digital and tech-savvy strategies to scale and expand. They are refurbishing their work system to stay relevant in the current culture and trends. With more companies testing their waters in the software and tech sector, there is an overwhelming demand for skilled workers. This has caused a shortage of skilled labor, and companies are offering high salaries to attract the available workforce.
Digital services are being availed by all sizes of enterprises, be it large organizations, SMEs, or startups. Everyone is addressing the benefits and trying to walk along with the market trend.
Race to attract top-tier talent
While many companies are offering competitive salaries to avoid the possibility of having a shortage of workforce, leading companies are aiming for top-tier talent. They provide high packages and opportunities for upskilling individuals, attractive compensations, and a series of other benefits.
The race amongst companies to bag the cream layer of the available workforce has created an economically favorable environment for the highly skilled software engineers and tech experts of San Diego.
The great resignation
The trend was primarily evident in the US, where employees voluntarily quit their 9-5 jobs due to wage stagnation. 2021 experienced the phenomenon of ‘The Great Resignation’ or the ‘Big Quit.’ while they quit the companies they worked at; the experienced and skilled employees were still a part of their industry.
When employees started quitting jobs in 2021 to either find better opportunities or start something of their own, the growing demands faced a backlash of employee shortage. Intending to retain talented employees, companies responded by offering high packages that could prevent employees from quitting. As a result, individuals glided through different opportunities and switched their portfolios as they found better packages.
Moreover, employees used the power of networking and stepped across borders to collaborate with companies that provided better compensation. Skilled market experts from San Diego were in high demand because of the city’s persona of a qualified and educated workforce with proven performance records and data statistics.
San Diego saw a 10% jump in tech and software salaries in 2021 as the city is thriving with talent. The tech industry in the city industry is forecasted to be highly prosperous in the coming years. A more extraordinary hike in wages might not be a surprise after witnessing the dynamic growth of the industry in the city.
Pranjal Bora works as Software Development Lead at Digital Authority Partners, a full-service digital marketing agency.