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Bigger workloads for ICT professionals but the pay packet doesn’t match, according to Hudson
Sydney, Australia – 01 February 2013 – IT workers are taking the strain as Australian workplaces tackle the tough economic environment, with 75.1% of ICT professionals saying they are taking on more responsibilities than a year ago but over half (56.1%) say they have not been financially rewarded for this, according to Hudson ICT Salary & Employment Insights 2013.1
The Report provides a breakdown of ICT roles and average salary bands, hourly rates and roles in demand. It highlights that employees across all industries are taking on greater workloads with only one in five employers (20.2%) always replacing roles if a team member leaves, with the majority of employers distributing the work amongst the remaining team, while four in every five employers (80.2%) say their teams now have to do more with less.
This has caused IT hiring managers to place greater reliance contractors, with one in ten (10.1%) enlisting the support of contractors. While four in ten (40.1%) ICT professionals feel more stressed at work than they did a year ago, 45.6% feel more positive and 49.2% feel more engaged than this time last year.
“In terms of the IT skills the market is demanding, Big Data technology is advancing rapidly and demand for professionals with expertise in this field outstrips supply,” said Martin Retschko, National Practice Manager, Hudson Information, Communication & Technology. “Companies that cannot source talent externally must invest in staff training and development in this critical area. Cloud technology specialists are also much needed; with commercial, market-specific expertise particularly prized. At the most senior levels, success is about far more than technical skills and the most sought after candidates are excellent communicators and have the commercial acumen to deliver solutions that drive business outcomes.”
The report shows that the roles and skills most in demand include: Enterprise architects, Cloud computing experts, Relationship and supplier management, Mobile app developers, Change specialists, Health informatics professionals and Digital specialists.
The current economic conditions are causing real challenges for employers in all industries, with 78.9% experiencing increased pressure on budgets, 69.4% managing greater workloads and 62.5% facing more stringent headcount approval processes. As a red flag to employers, more than half (56.7%) of employees surveyed said they were looking for a new role, and of those looking to move nearly two-thirds (63.9%) said they expected to move within the next six months.
Pay is critical for IT job seekers, with 24.6% citing an increase in pay as the most important factor in their next role. It is also the biggest motivator for employees to stay in their current position, with 44.3% of all job seekers saying they would remain in their current role if given a salary increase.
There is little doubt that ICT professionals feel they deserve salary increases. While nearly half (47.2%) cite the cost of living as the main reason for deserving an increase, 35.4% said they deserve one because of their own high performance, almost a third (32.8%) said an increase was warranted because their skills and experience were in high demand outside of the organisation and 32.7% felt they had earned it by taking on greater or new responsibilities.
Across all sectors most employers (65.1%) intend to award pay increases of 2-3% for 2013, with retaining high performers the main reason, followed by ensuring pay parity. The majority of ICT employers (91.7%) have given employees a pay increase in the last 12 months, and more than half (55.2%) say they will be awarding bonuses this year.
Other employment factors are also very important to today’s ICT workforce, including having a role they are interested in (21.0%), being in a work culture that makes them happy (13.0%) and improving their overall career opportunities (12.5%). Staff benefits also play a significant role in the salary package and the IT industry has been notably progressive in this area, with ICT professionals viewing bonuses, flexible working hours, private health insurance and increased annual leave to more than the standard 20 days as the most valuable.
“For employers, getting remuneration right is of paramount importance. Employers who don’t meet market rates put their organisations at risk of losing both high performers and the best candidates, so a compelling salary proposition should be a primary consideration,” said Retschko.
Hudson recommends that when budgets are tight, employers should consider prioritising spending and ensure that reward and recognition programs incentivise high performance. Particular focus should be paid to rewarding those employees in critical roles, which may be hard to replace.
“During tough times like these employers may be better served increasing base salaries, scaling back benefits that are not always highly valued and looking at lower-cost ways of boosting staff morale and engagement. It’s also important to include regular and honest communication with managers and positive feedback on work or projects, to ensure team members are aware of the business challenges and objectives, and feel involved and motivated,” said Retschko.
Click here to read the Salary & Employment Insights 2013 - Australia Executive Summary.
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Hudson is a global talent solutions company with expertise in leadership and specialised recruitment, contracting solutions, recruitment process outsourcing, talent management, outplacement and eDiscovery. We help our clients and candidates succeed by leveraging our expertise, deep industry and market knowledge, and proprietary assessment tools and techniques. With more than 2,000 people in 20 countries, and relationships with millions of specialised professionals, we bring an unparalleled ability to match talent with opportunities by assessing, recruiting, developing and engaging the best and brightest people for our clients. We combine broad geographic presence, world-class talent solutions and a tailored, consultative approach to help businesses and professionals achieve higher performance and outstanding results. More information is available at Hudson.com.
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1 Hudson surveyed 4,921 employers and 5,853 employees across Australia and New Zealand for the Hudson Salary & Employment Insights 2013 (with 823 employers and 1,025 employees specifically targeted for the ICT report)