The Channel logo

News

By | John Oates 16th January 2007 11:21

Scottish IT firms hit by Dell effect

Staff jumping ship

Scottish IT firms are struggling to hold onto staff tempted by the recent arrival of Dell.

Dell is on track to hire 850 staff for its Glasgow call centre and was given a grant of £7.5m from the Scottish executive to do so. But Scottish firms say this makes it harder for them to keep staff they've spent good money on training.

Scotsys managing director John McAleenan told The Sunday Times: "We spend quite a bit of money and time training people, but cannot compete with a global company which has resources like Dell, so when they come calling it is hard to fend them off."

McAleenan said the money from the Scottish Executive was meant to create jobs rather than just removing people from locally-owned businesses.

Dell received a Regional Selective Assistance grant of £7.48m to help it open its Glasgow centre in the year 2004/2005 - 66 per cent of awards that year went to Scottish owned firms.

Dell told the paper its recruitment was "transparent and fair".

More from the Sunday Times here. ®

alert Send corrections

Opinion

Merlin Data Center Interior

Trevor Pott

Enterprises want them, but they're still a pain in the ASCII
WWI French tank picture via Shutterstock
Vinod_Khosla

Chris Mellor

A VC with startup agenda slams established suppliers. Surprised? Neither were we
ZenPad_RealRacing

Features

Eclipse image via Shutterstock
The Azure Portal: Microsoft is betting on cloud for its future business
container_ship_hamburg_shutterstock_648
Michael Dell. Pic by Joi Ito
Cool Texas dude is just your average billionaire