Posted August 12, 2018 17:12:54For a while now, we’ve been seeing a pattern of companies going after the best and brightest, while not necessarily the most innovative.
This is especially true in the telecom industry, which has historically struggled to attract the best people to the field.
But a new report from Cisco, Cisco Consulting, suggests that this is changing.
The firm found that in 2017, companies across all industries spent $2.5 trillion to hire engineers, which represented nearly 20 percent of all industry revenue.
The report says that this was an increase of $2,200 per employee.
It’s also a significant increase from just two years earlier, when companies spent an average of $1,500 per employee on hiring engineers.
Cisco also found that the cost of hiring engineers in 2017 was $1.5 billion higher than in 2016, which is likely because more companies were using technologies that let them hire more engineers.
In other words, it’s likely that the industry is finally taking the right approach to hiring engineers, said Cisco CEO John Chambers.
Chambers says the market for tech talent is growing exponentially.
As of this week, there were 1.8 million software engineers in the United States, he said, up from 600,000 two years ago.
Cupcake.com, which helps companies identify the best talent in the tech industry, recently ranked the best in the country, with 824 out of 1,300 software engineers.
That was up from just 30 out of 827 in 2016.
Chamber says the industry should invest more in attracting the best engineers.
He’s encouraging companies to set aside $50,000 to spend on an internship or a mentorship program for new hires.
“We have to create more opportunities for these people,” he said.