The rise of no-code and artificial intelligence is transforming employment in the tech sector, with significant implications for the labor market in the Iberian Peninsula.
The labor market for programmers in the United States is undergoing a radical transformation due to the advancement of automation, the rise of no-code platforms, and the capabilities of artificial intelligence, such as ChatGPT. It is projected that the employment of programmers in the U.S. will decrease by 11% between 2022 and 2032, equivalent to the loss of approximately 147,000 jobs in the next decade.
This trend, which has led to major layoffs in tech companies like Meta and Amazon, is starting to replicate in Spain and Portugal. The adoption of no-code tools and automation is reducing the demand for traditional programmers, and professionals in the sector must prepare for a rapidly evolving labor market.
Layoffs and Wage Adjustments: A Radical Change
In the U.S., the increasing automation and use of no-code platforms have led to a wave of layoffs in the tech sector. Companies have begun to adjust their wage structures, with a notable drop in the salaries of junior programmers, in some cases by up to 50%. This phenomenon is already being observed in the Iberian market, where the impact on employment will be inevitable if companies do not adapt to the new technological realities.
In Europe, approximately 7.5% of developers have been laid off in the last year, according to a report by OfferZen. Although the impact has not yet reached the dimensions seen in the U.S., the European labor market, including Spain and Portugal, is beginning to feel the effects of this trend. The OECD warns that up to 30% of jobs in Portugal are “threatened” by automation and artificial intelligence, underscoring the urgency of adapting talent strategies in the region.
Transformation of Web Development: The Impact of No-Code and SaaS
No-code platforms like Shopify and WordPress are revolutionizing web development, allowing basic programming tasks to be performed by users without advanced technical knowledge. Shopify, with over 4.4 million stores globally, and WordPress, powering 43% of websites, are clear examples of how no-code is reducing the need for developers for routine tasks.
The no-code and low-code tools market is projected to grow by 23% annually until 2028, reaching a value of over $65 billion. This growth is transforming the technological landscape and redefining the skills demanded in the labor market. Companies are prioritizing the hiring of professionals capable of integrating and optimizing these tools, while traditional developers must adapt to remain relevant.
Artificial Intelligence and the ChatGPT Effect
The automation of coding through artificial intelligence tools like ChatGPT is redefining the programmer’s role. These tools can generate functional code from natural language descriptions, accelerating the displacement of employment in repetitive tasks. Programmers must now focus more on supervision and strategy than direct coding.
The use of ChatGPT and similar tools can make developers complete tasks up to 56% faster, an advancement comparable to the productivity revolution the steam engine brought to industry. However, this growing dependence on AI poses new demands in terms of skills, such as the ability to ask effective questions to maximize the utility of these tools.
Impact on Spain and Portugal: Necessary Adaptation
The structural change seen in the U.S. is beginning to impact Spain and Portugal. Iberian companies are rapidly adopting no-code tools and SaaS solutions, which could lead to a significant decrease in demand for traditional programmers. The integration of these technologies is creating a new business ecosystem and beginning to reduce development time and the need for specialized personnel.
In Spain, the software development market is growing at a rate of 15% annually, driven by the demand for advanced technologies like artificial intelligence and cloud computing. However, the integration of no-code and automation tools is displacing programmers performing less specialized tasks, leading to a shift in required competencies.
Strategies for Adaptation
To address these challenges, companies in Spain and Portugal must invest in the continuous training of their employees in new technologies and prepare for a market where the demand for traditional programming skills could dramatically decrease. The adoption of no-code and SaaS tools is reshaping the labor market, creating new opportunities in areas like no-code platform management and the integration of AI solutions.
The key to survival in this evolving environment will be adaptation and anticipation. Companies that effectively integrate these technologies will be better positioned to face the future and maintain their competitiveness in an increasingly automated world.
Source: Javier Cuervo on Proportione