Technology is a key driver of job creation among entrepreneurs, says an EY survey.
More than half (51%) of the world’s top entrepreneurs agree that investments made in technology have changed their workforce; 81% of those saying it’s led them to hire.
“Entrepreneurs here and around the world are creating jobs and driving economic growth,” says Colleen McMorrow, EY partner and Canadian strategic growth markets leader. “There’s a misconception that technology will reduce jobs, but that’s simply not what we’re seeing with entrepreneurial companies. Technology is helping these companies increase their cost competitiveness and efficiency, which in turn allows them to invest in their businesses and expand their workforces.”
The survey also finds entrepreneurs are increasingly global in their outlook and are exploiting the opportunities that technology brings them to tap the global talent pool and address skills shortages in their home market.
“Technology and mobile working is opening up a greater and more skilled pool of workers for entrepreneurial companies,” says McMorrow. “Companies are no longer constrained by having to hire from the obvious pools of talent, as technology enables employees to do their jobs from anywhere, inside or outside the physical walls of the organization.”
Companies in the technology sector are leading the way when it comes to employment growth. They created jobs in 2013 at a higher median pace (36%) than all other sectors (25%).
Other highlights from the survey include:
- 76% of entrepreneurs plan to increase the size of their workforce in the year ahead by an average of 19%
- 85% of entrepreneurs who invested in technology say it drives their plans for future growth
- 64% of female entrepreneurs cite the more mobile workforce as an asset enabled by technology (versus 41% of men)