Technology workers will receive the most generous salary increases this year across all industries with one in five IT employers saying they will award staff raises of six per cent or more in their next review.
The Hays Salary Guide – based on interviews with 2,950 companies representing over three million staff – concluded that employers have a positive outlook but remain cautious when it comes to salaries.
The caution is less evident in the IT sector where 28 per cent of respondents said they intended to award a salary increase of between three and six per cent in their next review, which is higher than the national average across all industries of 19 per cent.
Meanwhile, 45 per cent of IT employers will give their staff a pay rise at the lower level of up to three per cent, compared to 65 per cent across all industries. Only seven per cent said they would not increase salaries at all, lower than the average of 11 per cent for all industries.
“Putting customers at the forefront, agility in approach and underpinning business decisions have been the key trends affecting technology and its use in the past year,” said Adam Shapley, senior regional director of Hays Information Technology.
“The term ‘digital’ has been used extensively and while this might mean ‘technology’, it’s the practical usage of it that has been the driving force. Digitalisation has had a knock-on effect across all areas as organisations look to harness technology not just to run or organise their business but to dictate where and how to engage with customers.”
He said hiring practices have been mainly affected by the shift towards IT contracting with organisations looking to bring on expertise in a non-permanent capacity to deliver projects and add technical skills in areas where a team is falling short.
“Technology skills are critical in our digital economy and employers are acknowledging this by doing what they can to ensure relevant skills are retained in the long run. This includes recruiting for cultural fit, setting themselves apart as an employer of choice and setting up dedicated innovation labs,” he said.
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