Davor Odobasic, Head of Business Development HelloWorld - Advertising in the IT sector records a 25% decline compared to 2023, the hardest for beginners

Will this crisis pass, and with what consequences, what job seekers and companies could do, we tried to find out from Davor Odobasic, the head of business development at HelloWorld, a platform that connects candidates and employers in the IT industry.

As Odobasic tells eKapija portal, the last two years have been among the most challenging for the IT sector in Serbia. Advertising in the IT sector records a 25% decline compared to 2023, which was already 50% weaker than in 2022. Our interlocutor notes that it is particularly difficult for beginners, who have difficulty entering this industry due to the reduced demand for employees in entry-level positions.

Standard IT positions are still among the most sought-after, but there has been a significant increase in demand for specific skills in the fields of artificial intelligence (AI), machine learning (ML) and data science.

On the HelloWorld platform, reviews from former and current employees are also available, and it is these experiences that play a key role when deciding on a potential employer, Odobasic notes, emphasizing the importance of employer branding for IT companies.

eKapija: What is the current situation on the IT labor market in Serbia, especially taking in account the earlier announcements of reductions in global employees, but the domestic IT sector as well? According to statistical data, 19.2% of IT businesses experienced a decline in the number of employees. Was this "decline" less, or more than expected?

- There are no official data on the number of layoffs in the IT industry. What we monitor is the demand, that is, advertising in Serbia, and according to our data, advertising in the IT sector recorded a 25% drop compared to 2023, which was already weaker than 2022 by as much as 50%. This decline was expected, taking into account global changes in the IT industry and the decrease in demand for certain positions.

The past two years have been among the most challenging for the IT sector in Serbia. Many domestic companies tried to keep their employees as much as possible, despite numerous market difficulties. Unfortunately, layoffs are still present, both globally and in the domestic market, which is confirmed by announcements and news about companies forced to take these steps.

Uncertainty in the market has also led to increased caution among our clients, who are carefully planning new employment. Although I believed, like many others, that stabilization and recovery would occur in the middle of 2024, unfortunately the situation did not develop in that direction. It is therefore ungrateful to predict future trends, but we hope that the year 2025 will bring positive changes or at least stabilization in the labor market.

eKapija: What are the challenges employers and candidates are currently facing?

- Employers are faced with the challenges of optimizing business and adapting to uncertain circumstances, with the need to develop new skills in areas such as machine learning, data science and artificial intelligence in order to stay competitive. At the same time, candidates face fewer opportunities on the market and the challenge of developing skills that match these new demands of employers, adapting to the changes AI is bringing now and in the future. It is especially hard for juniors and beginners, who, due to the reduced demand for those in entry-level positions, find it difficult to enter the IT sector.

eKapija: How has the demand for IT specialists changed in the last few years? Are you seeing trends regarding specific technologies or skills that are most in demand?

- Based on our statistics, standard IT positions are still among the most in-demand, but we are seeing a significant increase in demand for specific skills in the areas of artificial intelligence (AI), machine learning (ML) and data science. Although these positions currently account for a smaller percentage of total advertisements, we expect their demand to grow in the coming years. The demand for experts in the fields of DevOps, cloud technology and cyber security also remains high.

According to data from HelloWorld.rs, skills in JavaScript, Python and cloud technologies are among the most sought after in the last two years. Also, knowledge of working with versioning systems like Git, as well as knowledge of the Linux operating system, are often key requirements in advertisements.

One of the significant trends that we are observing is the transition from broad recruitment to profiled advertisements, where experts with specific skills and experience are more and more sought after. This is partly a result of budget optimization and the need for greater operational efficiency. Although core programming languages ​​like Java, .NET and JavaScript still dominate, there is growing interest in cloud infrastructure and automation skills.

eKapija: How does HelloWorld monitor changes in the labor market and how do you help employers find the right candidates?

- HelloWorld is an integral part of Infostud, which has a strategy to develop as a career solutions center, in this case it is specially adapted to the IT segment. Through years of experience, we have developed a range of different services designed to respond to the specific needs of employers and candidates.

Through constant analysis of market trends and user feedback, we help employers to reach the right candidates more efficiently. This year, we have further focused on content personalization, enabling candidates to get a unique user experience and be shown content that is relevant to their interests.

Also, we enable employers to target candidates better through advanced tools powered by machine learning (ML) and artificial intelligence (AI). Our long-term goal is to provide the best quality of service on all Infostud platforms, which not only increases the efficiency of recruitment, but also contributes to greater satisfaction of both employers and candidates.

eKapija: How willing are companies in Serbia to invest in employer branding? Are you seeing an uptick in interest in this area?

- Even though more and more employers are recognizing the importance of employer branding, there is still a great need to raise awareness about it how crucial these topics are for achieving good business results. Many employers have theoretical knowledge about this area, but they are often reluctant to take employer branding seriously for various reasons.

One of the important roles of Infostud and HelloWorld is precisely to raise awareness among employers about the importance of employer branding. Through the tools we offer, we strive to motivate them to take concrete steps towards developing and implementing their strategies in this area. In this way, we help companies to build an authentic employer image and become more competitive in the labor market.

IT companies, both globally and locally, set standards and trends in employer branding. Big global companies like Google, Microsoft, Apple and many others showed how a good work culture, professional development opportunities and clear values can attract and retain the best talent on the market. Of course, all these companies also have exceptional working conditions that support such an image.

In our country, IT companies follow these trends, but adapt them to the specifics of the domestic market. They focus on employee development, team culture and authentic messaging that they send to candidates. That way they not only follow global standards, but they contribute to the development of employer branding in Serbia.

eKapija: What are the most important components of a successful employer branding strategy? How can IT companies emphasize their strengths and attract quality staff?

- I believe that transparency is key when we talk about successful employer branding. It`s really important that employers communicate an authentic image of the company - projects they work on, work culture that sets them apart, but also the challenges they are facing. What I find particularly significant is that for employers to openly share the areas in which they are planning improvements. Such honesty sends a strong message of authenticity, which attracts applicants who want a clear and realistic picture of their future work environment.

Reviews of former and current employees are available on our platform, which can sometimes be challenging for the companies themselves. Our research shows that the experiences of former and current employees play a crucial role when deciding on a potential employer. Companies that respond to reviews are highly valued by candidates, because they perceive it as a clear signal for employers to actively work on their development. Such companies do not only build an image through promotional content, but also monitor the market and employee feedback, showing a willingness to improve and adapt, which makes them attractive for both current and future employees.

eKapija: What tools and platforms do you use to monitor and optimize employment in the IT industry? Have you started to apply any AI technologies to this process, and if so, what impact are they having?

- Our clients, whether they come from the IT sector or other industries, have access to advanced tools provided by Infostud. One of the key tools is the HR Lab Assistant ATS, which enables simple and efficient management of the recruitment process.

Through this tool, clients can use AI support to write ads, which helps them create high-quality and attractive ads with minimal effort. Also, the tool facilitates the selection process, and we are currently testing the functionality to automatically rank applications. This functionality will significantly accelerate the selection, reducing the amount of time customers spend reviewing applications and allowing them to focus on the strategic aspects of recruitment.

Our goal is to increase the efficiency of the entire recruitment process and reduce the operational burden on clients, helping them make better decisions in a shorter period of time.

Additionally, through our ML tools for ad recommendations and automated targeted notifications, we ensure that ads reach the most suitable candidates. These tools use advanced algorithms to analyze applicant profiles, their interests and previous activity.

This approach not only increases recruitment efficiency, but also enhances the user experience, making the application and selection process simpler and more relevant for all parties - employers and candidates.

eKapija: What are your plans and visions for HelloWorld`s future in the context of supporting companies in strengthening their employer brand?

- We will continue to monitor the needs of the candidates and we are developing services that will provide them with specific information and the tools to make better career decisions. Our focus is on making it easier for candidates to find ads matching their skills and interests, as well as to get accurate and relevant insight about the companies they are interested in.

For companies, this means they will be able to use our platforms even more efficiently in order to effectively present their values, work culture and the opportunities they offer, and thus, attract suitable candidates in a simple and effective way. Through improving user experience, we want to make the recruitment process simpler and more efficient for all parties.