There are plenty of organisations looking to hire IT professionals and many of them are focused on retaining existing staff in this area. Yet, companies are hesitant in give pay rises to IT professionals. This was the finding in the most recent salary report by professional services recruitment agency Hays.
Hays surveyed 2752 organisations in a broad range of industries, representing around 2.7 million employees across Australia. While the survey showed that there has been a lot of business activity and increases in job hires in the past year, which is expected to continue, salaries of employees remained flat. Around 16 per cent of employers didn’t give out pay rises at all. For those workers that did receive a salary bump, they didn’t get much; 58 per cent saw a pay rise of less than 3 per cent and 20 per cent got 3-6 per cent. Only 6 per cent of workers wound up with a salary increase of 6 per cent or more.
Employers are expected to continue their frugality with 66 per cent intending to increase salaries by less than 3 per cent in the year ahead while 12 per cent of respondents said they’re not looking to bump up pay at all.
For the IT and telecommunications industry, 56 per cent are intending to issue pay rises of 3 per cent or less and 19 per cent are not even considering salary increases for workers. Around 17 per cent are looking at giving out 3-6 per cent pay increases. Now this all may sound a bit bleak but considering salary in the IT industry are already quite high thanks to a long-running skills shortage, there’s probably not much wriggle room for employers to dish out pay rises.
That’s not to say that all IT segments will be affected by this sluggish salary growth. IT security professionals, developers and data analysts are still commanding high salary packages. It’s also encouraging to see that 47 per cent of organisations are looking to hire permanent IT staff.
Hays said in its report:
“Companies of all types and sizes are showing greater willingness to invest in their technology platforms and systems to drive internal efficiencies and more effective interaction with their customers. We predict this approach will become even more commonplace in the year ahead as both public and private organisations look to use technology more efficiently to help navigate change and to plan for growth.”
IT senior managers are in high demand as technology continues to take centre stage with an increased focus on digital transformations by organisations, according to the recruitment firm.
You can find the 2016 Hays Salary Guide over at the recruitment firm’s website.