Spain stands out as the great digital talent factory of the EU, with almost 940,000 technical positions and a 76% growth in the last decade.

• The VASS Foundation, on its 5th anniversary, and the Foundation of the Autonomous University of Madrid present the VI Employability and Digital Talent Study, which analyzes the perspectives for the ICT sector and provides enlightening data on the digital talent gap.
• According to the study, Spain has created 193,100 new technical talents over the last three years, more than any other EU country, with the highest percentage of companies hiring or attempting to hire “ICT specialists” among the major European economies.
• Despite the slowdown in hiring, the availability of profiles remains limited. In 2023, 19,860 companies created 55,000 new technical positions while less than 45,000 graduates came from formal education.
• The digital talent gap, which marks the difference between the skills that the market demands and those offered by university graduates, has improved by 10.7% since 2020. However, there is still a gap of 41.8 points out of 100.

Madrid, October 23rd, 2024. VASS Foundation, together with the Foundation of the Autonomous University of Madrid (FUAM), has presented the VI edition of the “Employability and Digital Talent Study”, as part of its 5th anniversary. The event was attended by Jesús Herrero Poza, general director of Red.es; Fidel Rodríguez Batalla, General Director of the Foundation of the Autonomous University of Madrid; Francisco Javier Latasa, Executive Chairman of VASS and VASS Foundation; Carmen Márquez, director of the Spanish Center for Documentation and Research on Disability (CEDID) of the Royal Board on Disability of the Ministry of Social Rights, Consumption and Agenda 2030, and Antonio Rueda, director of the VASS Foundation.

Additionally, the presentation of the report included contributions from Óscar Méndez, president of GenAIA; Ignacio González Cabello, head of Reskilling for Employment in Spain at Fundación Telefónica; Mercedes Martín de la Paz, from the Digital Talent Program at Fundación ONCE; Francisco Serradilla García, professor at the School of Computer Systems Engineering at the Polytechnic University of Madrid, and Paula Rodrigo, Chief People & Talent at VASS.

The study, which gathered the opinion of 83 experts from 67 companies and institutions of reference, 27 Spanish universities, 96 teachers and 952 final-year IT engineering students, highlights that despite the fact that the pace of technical job creation has slowed down, the demand for ICT specialists remains high, This is accompanied by tensions stemming from a lack of professionals and a skills gap which, despite showing signs of improvement, causes opportunity losses exceeding 1.35 billion euros per year and leaves 6,000 positions unfilled.

According to the study, the global context of geopolitical uncertainty and high interest rates have hardened expectations in all sectors, including the digital ecosystem. In this scenario, many innovation managers, affected by the disruption of AI, have adopted a more cautious stance, which has slowed both ICT investments and job creation rates in the digital sector.

Although the pace of hiring has slowed, from growth rates of 6.8% in 2022 to 4.2% in the first half of 2024, the number of people employed in the digital services sector is growing steadily: it is now approaching 700,000 compared to barely over 425,000 ten years ago, making digital a major employment driver. If the unemployment rate in the Spanish economy is around 11%, the ICT sector has a frictional unemployment rate of just 4.1%.

During the presentation of the study, Jesús Herrero, CEO of Red.es, emphasized that “It is crucial to focus on digital transformation to reduce digital divides in all areas”. Herrero also highlighted that “in addition to focusing on the business ecosystem with initiatives such as Kit Digital or Kit Consulting, at Red.es we work on projects such as Generation D, which aims to train citizens in transversal digital skills and for employment and to promote the digital transformation of SMEs, their managers and employees. We also promote the training of ICT specialists, especially in Artificial Intelligence”.

Spain is the great European factory of highly demanded and highly remunerated IT profiles

The demand for technical profiles related to IT ("ICT specialists") remains high. Over the past 10 years, the EU has incorporated more than 3.67 million new "ICT specialists." In Spain, there are now nearly 940,000, with 193,100 new technical talents added in the past three years—more than Germany (+173,700), Italy (+153,300), or France (+130,100). Over the last decade, the number of digital specialists in Spain has grown by 76%.

Salary levels also reflect this trend. In the ICT sector, wages are 49.1% higher than the national average across industry, construction, and services. While wage costs in other sectors grew by 22% between 2008 and 2023, those most closely associated with ICT grew by 43.8%. Recruitment salaries for IT profiles have increased by 30.7% to 35.1% since 2019, underscoring the intensity of the competition for talent. One year after graduation, computer engineering ranks first in terms of social security affiliation (79%).

The increase in interest in IT careers, supported by this positive context, has been evident. Since 2016, the number of university places offered has grown by 24%; however, demand has risen by over 63%. Over the past seven years, 50,597 young people who applied for a place in computer science programs ended up studying other disciplines.

Nevertheless, the labor market remains under pressure. Among the major European economies, Spain has the highest percentage of companies that hired or attempted to hire ICT specialists. A total of 19,860 companies are competing for a flow of graduates that ranges from 27,718 to a potential maximum of 44,779 when including related degrees and vocational training.

Meanwhile, the Spanish economy, based on EU data, added 55,500 new professionals in this field. This figure does not account for unfilled positions. These numbers, though significant, still fall short of the European Commission's recommendations, which call for the creation of 133,700 new positions annually until 2030.

Javier Latasa, Executive Chairman of VASS and VASS Foundation, said during the presentation of the study:

“The digital sector is essential for the advancement of our economy and the future of the country. Therefore, it is important that, as a society, we address some of the immediate challenges highlighted in this study, such as the skills gap, the need to bring more women into the sector, and the need to intensify its inclusivity by involving talent with disabilities.

At VASS and its Foundation, we are committed to supporting and promoting technical training in Spain, which will be key to the development of the ICT sector in our country."

The Expansion of the ICT Sector Depends on Reducing the Gender Gap

Since the 2015–2016 academic year, the number of women enrolling in computer science programs has more than doubled, with an increase of 127.5% compared to 52% for men. Despite these advancements—and the fact that women show better performance ratios across all indicators—they still underrepresented, accounting for just 21% of university graduates in computer science, 11.7% in higher degrees of FP and 6.7% in the intermediate degree.

In the workforce, women represent 29.8% of all those employed in the ICT sector, compared to 46.3% in the Spanish economy overall. However, there has been a positive increase in the number of "digital specialists," reaching 182,500 women in 2023—an increase of 21,377 compared to the previous year. In terms of representation, women went from 17.5% of ICT specialists in 2022 to 19.7% in 2023.

Although the gender gap is less pronounced in the ICT sector than in others areas, challenges remain. The female unemployment rate is 1.4 points higher than that of men, although it stands at a modest 5%. Additionally, the gender wage gap is 8.9%, considerably lower than the sectoral average in the EU, where it exceeds 42.7%.

Efforts to foster female participation in the digital sector are essential to advance digital transformation and achieve equitable development in the sector. The evolution between 2022 and 2023 is promising, and the growing participation of women in these roles is a critical step toward inclusion and progress.

The Evolution of Digital Skills and Its Impact on Technical Talent

The sixth edition of this study highlights several indicators regarding the evolution of digital skills shaping digital talent. Cognitive skills, or "hard skills," account for 55.4% of technical talent in IT. According to Antonio Rueda, "the most valued areas of expertise by companies today include back-end development, cloud software administration and operation, machine learning, generative artificial intelligence, front-end web development, and data science."

On the other hand, behavioral competencies, or "soft skills," are responsible for 44.6% of technical talent, highlighting their growing importance. Rueda points out that "responsibility and a sense of duty are considered the most relevant competencies, along with cooperation and adaptability to change."

Despite the progress, young people about to graduate perceive themselves as weak in the technical skills demanded by companies, with an average self-assessment score of 3.77 out of 10. However, Rueda points out that "companies have a more generous evaluation, significantly increasing the percentage of key digital skills they believe young people have adequately acquired, from 58.8% in 2020 to 85.3% in 2024."

Even so, there is still a significant gap between the skills the market needs and those that graduates possess, with a talent gap estimated at 41.8 points out of 100.

Companies still dedicate over 102 hours to training new employees and could create 11% more jobs if talent mismatches were eliminated, equating to approximately 6,000 additional positions per year. "It is crucial that all all players, including young people and universities, work together to close this gap," Rueda emphasized. He also highlighted the main motivational drivers for young IT professionals, who prioritize work-life balance, a positive work environment, and project content over salary.

The Critical Role of Generative Artificial Intelligence in Digital Transformation

For 51% of companies, the use of AI is "key" to their survival, with expected productivity gains of 31.8%. In addition, 84.4% of organizations anticipate that its use as a work tool will become widespread in the short term.

However, there are significant obstacles to its implementation. Legal uncertainty is mentioned as a problem by 53.3% of organizations, while 60% point to the luck of maturity of the technology. The main challenge, noted by 68.9% of respondents, is a lack of training.

Regarding the impact of AI on new technical hires, there is consensus that it will boost productivity and accelerate learning. Nevertheless, only 15.6% of companies expect AI to affect the salaries of young IT professionals, and just 24.4% believe it will reduce the number of technicians needed in the short term.

Fidel Rodríguez Batalla, director of the Autonomous University of Madrid Foundation, emphasized: "The Foundation's commitment to the promotion of study abd research in digital skills, especially through strategic alliances with the business sector. A clear example of this synergy is the collaboration with VASS Fundation, which enabled this study and analysis to examine the impact and evolution of digitalization on employability, revealing future emerging trends and training needs in the sector, such as generative AI."

Towards an Inclusive Digital Transformation for People with Disabilities

Digital transformation will remain incomplete without the inclusion of people with disabilities, nearly two million of working age, of whom 538,900 are employed. Despite this potential, their presence in digital technical professions remains, for the moment, marginal.

Currently, 84.7% of digital specialists with disabilities are aged 25–45, and 22.4% are women, with a notable present in areas such as user support and programming.

To enhance the labor inclusion of these talents, greater efforts from all market players are necessary. The generalization of remote work and the use of AI can facilitate their technical performance. In addition, the behavioral competencies of people with disabilities, such as responsibility and teamwork skills, are highly valued by companies and contribute positively to projects.

If we were to translate the indications set out in the Communication on the Digital Decade to the field of disability, Spain should incorporate between 45,000 and 50,000 ICT specialists with disabilities every year until 2030. This presents a significant challenge, as these profiles are already in high demand: 75.6% of companies face difficulties in recruiting this talent. To achieve this, 88.6% of organizations consider more focused and specific technological training in this area essential.

Carmen Márquez, director of CEDID, stated: "Universities play a crucial role in promoting the participation of people with disabilities in the technological and digital sectors, serving as key agents in building a more inclusive society. Through various strategic actions, higher education institutions can significantly contribute to removing barriers that have historically limited the participation of this group in technology-related fields.

Our universities must facilitate access for people with disabilities, particularly female students, to technological studies where their representation is almost anecdotal. They must also ensure the accessibility of both physical spaces and virtual environments, so no student with disabilities faces difficulties in accessing these learning spaces.

University training programs should be designed using Universal Design for Learning (UDL) principles, thus increasing opportunities for students with disabilities to participate on equal footing. University services should drive the employment of students with disabilities by facilitating connections with businesses and promoting their access to the labor market. Finally, universities must continue to support initiatives like the VI Employability and Digital Talent Study by Fundación VASS, as scientific research can provide evidence of progress in inclusivity.”