Despite financial uncertainty heading into 2021 and quickly altering trade dynamics, the outlook for IT professionals is a optimistic one. If the COVID-19 pandemic has finished one factor for the IT trade, it’s that it has shone a really brilliant mild on the more and more essential nature of digital IT instruments and infrastructures. What we wished to search out out is how this has impacted salaries and incomes potential?
According to the 2021 IDG Insider Pro and Computerworld IT Salary Survey, whole compensation over the previous 12 months, by way of base wage and bonuses has not modified dramatically, though the general common determine for compensation has fallen. However, the IT trade stays a dynamic, nicely invested and growth-orientated trade. Rapid acceleration in digital transformations over the previous 12 months has confirmed this, though the character and share of compensation in contrast with the earlier yr doesn’t essentially replicate this elevated standing.
Our annual IT wage survey of 1,172 IT professionals finds that the common wage amongst all respondents has fallen from $112,580 in 2020 to $104,446 this yr, though this doesn’t inform the total story of what has been an unprecedented yr with distinctive challenges. While considerably fewer respondents within the present survey report a rise in wage from one yr in the past, simply over half of respondents (56 p.c) did so. This compares with 70 p.c of IT professionals who noticed a base wage improve within the 2020 survey.
Despite financial uncertainty heading into 2021 and quickly altering trade dynamics, the outlook for IT professionals is a optimistic one. If the COVID-19 pandemic has finished one factor for the IT trade, it’s that it has shone a really brilliant mild on the more and more essential nature of digital IT instruments and infrastructures. What we wished to search out out is how this has impacted salaries and incomes potential?According to the 2021 IDG Insider Pro and Computerworld IT Salary Survey, whole compensation over the previous 12 months, by way of base wage and bonuses has not modified dramatically, though the general common determine for compensation has fallen. However, the IT trade stays a dynamic, nicely invested and growth-orientated trade. Rapid acceleration in digital transformations over the previous 12 months has confirmed this, though the character and share of compensation in contrast with the earlier yr doesn’t essentially replicate this elevated standing.Our annual IT wage survey of 1,172 IT professionals finds that the common wage amongst all respondents has fallen from $112,580 in 2020 to $104,446 this yr, though this doesn’t inform the total story of what has been an unprecedented yr with distinctive challenges. While considerably fewer respondents within the present survey report a rise in wage from one yr in the past, simply over half of respondents (56 p.c) did so. This compares with 70 p.c of IT professionals who noticed a base wage improve within the 2020 survey.The highest will increase have been reserved for senior IT administration (both full or part-time), who noticed common compensation packages rise from $166,768 to $173,033 final yr. In comparability, center administration noticed total common compensation fall from $107,449 to $99, 944, and IT employees fall from $88,571 to $78,662. Over the course of the final 4 years (2016-2020), senior IT administration has seen on common, a 40 p.c improve in wage, whereas center administration and IT employees have seen slower charges of improve, at 10 p.c and 5 p.c respectively.IT contract employees particularly noticed vital change over the previous 12 months, with 18 p.c claiming a lower in each day charges or base earnings, which accounts for the common day charge for contractors falling from $125/hour within the 2020 survey to $109/hour within the 2021 survey. However, simply over half of IT contractors (54 p.c) declare they’ve seen no change, with 28 p.c really seeing a rise.It’s fascinating to additionally word that the financial challenges many companies have confronted this yr have finished nothing to dampen expectations on bonus pay. Our survey discovered that senior IT managers particularly are fairly bullish. Last yr senior managers anticipated bonuses of $20,767 on common however this yr that has leapt to $27,480 on common. For different roles, there’s much less expectation, with center administration hoping for $6,768 on common (in contrast with $6,593 the earlier yr), whereas IT employees are literally anticipating much less this yr at $4,865, in comparison with $5,099 beforehand.Reasons to be cheerfulInterestingly, whereas the charges of improve for normal wage dropped (44 p.c in comparison with 55 p.c in final yr’s survey), extra wage will increase have been tied to efficiency (up from 30 p.c to 38 p.c) which maybe explains the expectations on bonus pay, particularly for the choice makers. Other rises have been linked to components akin to new duties (15 p.c in comparison with 11 p.c final yr), promotions (11 p.c v 9 p.c) and new expertise (9 p.c v 5 p.c). In the context of the present working and financial surroundings, that is comprehensible as extra organizations attempt to fulfill the quickly elevated calls for of digitization towards a backdrop of, in lots of instances, falling revenue. That is, no doubt, a optimistic reflection on the trade.In phrases of precise roles, we’ve seen just a few specialisms take heart stage in terms of holding long run wage worth and development. Enterprise utility integration, safety and ERP roles have seen excessive double-digit development in common salaries over the previous 4 years. Enterprise utility integration roles have seen 32 p.c development in revenue since 2016 with right now’s common wage of $139,913 topping the revenue charts. Roles focussed on safety usually are not far behind, with 28 p.c development since 2016 and a median annual wage of $134,365 in 2020. ERP expertise are available in third, with 25 p.c development since 2016 and a median wage of $130,602 for 2020.Other notable rises embrace cloud computing, which has seen 15 p.c development since 2016, enterprise intelligence/analytics with 21 p.c and utility growth, with 27 p.c. While these three ability capabilities command decrease salaries in 2020 ($127,025, $118,828 and $124,017 respectively) in contrast with Enterprise utility integration, safety and ERP, their relevance to the longer term success of organizations suggests continued development within the months to return.So, are IT professionals pleased? It’s been a tough yr for everybody however some greater than others. While IT work has by and huge, ridden the storm, there isn’t any assure of happiness in terms of accepting decreased wage will increase, bonuses and even having no improve in any respect. Given the growing demand for sure IT expertise that is fascinating. The survey finds that satisfaction with whole wage compensation hasn’t actually modified very a lot since final yr, though 18 p.c have been extra glad than final yr, in comparison with 12 p.c in 2019.About 20 p.c of respondents declare they don’t seem to be glad with their compensation, which has similarities to final yr’s 19 p.c determine. The most notable modifications are in age group, with older employees (45+) reporting larger ranges of satisfaction. That mentioned, the best share of IT professionals that have been extra glad than final yr, is the 18-34 age bracket (21.4 p.c).When requested; “When you think about 2021, what’s your biggest career objective?”, it was fascinating to notice the various feedback about wanting to extend base wage. One 34-year-old, Chicago-based knowledge heart supervisor claims that “COVID is a good excuse to not give a raise,” and consequently, he might be on the lookout for a brand new place within the coming months. One 40-year-old IT employee from Franklin, Tennessee supported the concept that COVID will have an effect with elevated distant working and a decreased wage consequently.Almost definitely COVID could have had some influence on the trade however the total image for IT professionals is a comparatively rosy one, regardless of the pandemic. The survey reveals an trade that, on the entire, needs to develop expertise and develop its wage consequently and that’s no totally different than in earlier years. The query now, given the pandemic, is whether or not or not employers are ready to match that ambition. [ Coming up this week: detailed analyses of hiring plans, job satisfaction, and technology certifications. And – how to get your hands on the full Salary Survey 2021 data set. ]