TECHNOLOGY SALARY & EMPLOYMENT. technology FORECAST

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1 FORECAST TECHNOLOGY ENCYCONSTRUCTIONDIGITALENGINEERINGFINANCEFINANCIALSERVICESHOSPITALITY&LEISU ANRESOURCESLEGALMANUFACTURINGMARKETINGMINING&RESOURCESOIL&GASPROCURE PROPERTYRETAILSALESSUPPLYCHAIN&LOGISTICSTECHNOLOGYAGENCYCONSTRUCTIONDIG NGINEERINGFINANCEFINANCIALSERVICESHOSPITALITY&LEISUREHUMANRESOURCESLEGALM ACTURINGMARKETINGMINING&RESOURCESOIL&GASPROCUREMENTPROPERTYRETAILSALES LYCHAIN&LOGISTICSTECHNOLOGYAGENCYCONSTRUCTIONDIGITALENGINEERINGFINANCEFIN IALSERVICESHOSPITALITY&LEISUREHUMANRESOURCESLEGALMANUFACTURINGMARKETINGM G&RESOURCESOIL&GASPROCUREMENTPROPERTYRETAILSALESSUPPLYCHAIN&LOGISTICSTEC LOGYAGENCYCONSTRUCTIONDIGITALENGINEERINGFINANCEFINANCIALSERVICESHOSPITALIT ISUREHUMANRESOURCESLEGALMANUFACTURINGMARKETINGMINING&RESOURCESOIL&GAS CUREMENTPROPERTYRETAILSALESSUPPLYCHAIN&LOGISTICSTECHNOLOGYAGENCYCONSTRU DIGITALENGINEERINGFINANCEFINANCIALSERVICESHOSPITALITY&LEISUREHUMANRESOURCE LMANUFACTURINGMARKETINGMINING&RESOURCESOIL&GASPROCUREMENTPROPERTYRETA LESSUPPLYCHAIN&LOGISTICSTECHNOLOGYAGENCYCONSTRUCTIONDIGITALENGINEERINGFIN EFINANCIALSERVICESHOSPITALITY&LEISUREHUMANRESOURCESLEGALMANUFACTURINGMAR NGMINING&RESOURCESOIL&GASPROCUREMENTPROPERTYRETAILSALESSUPPLYCHAIN&LOGI TECHNOLOGYAGENCYCONSTRUCTIONDIGITALENGINEERINGFINANCEFINANCIALSERVICESHO LITY&LEISUREHUMANRESOURCESLEGALMANUFACTURINGMARKETINGMINING&RESOURCESO ASPROCUREMENTPROPERTYRETAILSALESSUPPLYCHAIN&LOGISTICSTECHNOLOGYAGENCYCO UCTIONDIGITALENGINEERINGFINANCEFINANCIALSERVICESHOSPITALITY&LEISUREHUMANRE RCESLEGALMANUFACTURINGMARKETINGMINING&RESOURCESOIL&GASPROCUREMENTPROP ETAILSALESSUPPLYCHAIN&LOGISTICSTECHNOLOGYAGENCYCONSTRUCTIONDIGITALENGINE FINANCEFINANCIALSERVICESHOSPITALITY&LEISUREHUMANRESOURCESLEGALMANUFACTUR ARKETINGMINING&RESOURCESOIL&GASPROCUREMENTPROPERTYRETAILSALESSUPPLYCHAI GISTICSTECHNOLOGYAGENCYCONSTRUCTIONDIGITALENGINEERINGFINANCEFINANCIALSER HOSPITALITY&LEISUREHUMANRESOURCESLEGALMANUFACTURINGMARKETINGMINING&RES ESOIL&GASPROCUREMENTPROPERTYRETAILSALESSUPPLYCHAIN&LOGISTICSTECHNOLOGYA YCONSTRUCTIONDIGITALENGINEERINGFINANCEFINANCIALSERVICESHOSPITALITY&LEISUREH NRESOURCESLEGALMANUFACTURINGMARKETINGMINING&RESOURCESOIL&GASPROCUREME OPERTYRETAILSALESSUPPLYCHAIN&LOGISTICSTECHNOLOGYAGENCYCONSTRUCTIONDIGITA 1 INEERINGFINANCEFINANCIALSERVICESHOSPITALITY&LEISUREHUMANRESOURCESLEGALMAN

2 recruitment activity Strength of current hiring activity compared to the last 12 months Expecting to increase headcount Stronger (14%) Slightly stronger (21%) Steady (43%) 46% YES 45% NO Slightly weaker (8%) Weaker (14%) 9% UNSURE Market observations: Overall headcount in the technology sector has remained flat over the past 12 months. More organisations continued to adopt cloud services and outsourcing practices. This continued trend is predicted to reduce the number of people employed in the local technology sector. Company restructures have further reshaped the size of IT teams. Contract workers are in high demand on a project basis as companies seek to streamline, standardise and transform their processes. Contract workers are also a popular solution for risk-averse companies concerned about increasing permanent headcount in a flat economic environment. The majority of hiring for IT professionals is currently occurring in the healthcare, services, retail and resources sectors as companies continue to implement strategies in the areas of cloud computing, mobile, big data and social. The senior job market in the technology sector is currently highly competitive as executive-level roles are in short supply. Mobile and tablet applications remain a priority for many companies, in line with a shift toward consumer solutions. This is presenting job opportunities for Mobile Developers. When making new hires, employers are showing a preference for professionals with additional non-it skills, such as business acumen and commercial knowledge. The ability to align technological innovation with business strategy is highly regarded. Big data remains a key investment area for the technology industry, as businesses navigate methods of utilising data volumes in meaningful ways. This is leading to career opportunities for technology professionals with an analytical skill-set. As an increasing number of employees conduct their work on personal devices, companies will need to implement additional security processes. This is presenting opportunities for specialist IT professionals. A number of ICT projects are in the pipeline from both a Government and corporate perspective. This is expected to result in career opportunities for technology professionals. Note: All infographics in this report are based on the views of survey participants. The accompanying market commentary is based on the experience and observations of the Michael Page team. 2

3 RECRUITMENT ACTIVITY Experience level expected to be in highest demand Expectation of a professional skills shortage in the next 12 months Entry level 17% Unsure Yes Mid level Management Senior management 53% 4% 4% 12 % 31 % Specialists 22% No 57 % Skills shortage placing upwards pressure on salaries Impact of skills shortage on businesses in Australia over the next 12 months Yes, it will cause salaries to rise above the inflation rate (39%) 42% 29% Yes, salaries will increase but only at the rate of inflation (35%) No, the skills shortage will not impact salary levels (26%) Stronger focus on retaining staff Need to develop more targeted attraction strategies 13% Source talent from overseas 10% None 3% It will be difficult to maintain headcount 3% Other* *provide training to up-skill staff, etc. 3

4 RECRUITMENT ACTIVITY Regions companies operate in* How Australian business is faring in comparison with Asia operations 66% Australia only 30% 28% US 51% Europe Asia Pacific Much stronger (25%) Marginally stronger (20%) About the same (13%) Marginally weaker (16%) Much weaker (5%) Unsure (21%) 20% Other Salary and remuneration Salary increases over the next 12 months Average percentage salary increase over the next 12 months 22% All my employees will receive the same percentage increase 52% All my employees will receive an increase, but it will vary according to performance 0% - 2% 2% - 3% 3% - 4% 4% - 6% 6% - 8% 1% 42% 40% 10% 4% 18% Only my best-performing employees will receive an increase 8% No one in my team will receive an increase 8% - 10% 3% Market observation: Overall salaries in the technology sector have not increased over the past 12 months, as many companies remain in a cost-cutting mode of operation. * More than one option could be selected. 4

5 Salary and remuneration Factor most likely to impact salary levels in the next 12 months Flexible salary packaging or fringe benefits offered to employees 40 % Individual, team or company performance 26 % 8 % 8 % Domestic economic conditions Global economic conditions Competition with other companies 62% YES 38% NO 5 % 5 % 4 % 4 % Inflation Other* Not sure Don t expect any factors to impact salaries *Government funding, Enterprise Agreement, award, CPI, etc. Companies providing bonuses as part of the remuneration package Basis for bonuses over the next 12 months Team performance Individual performance 55% 45% 3 % Company performance 20 % 20 % Combination of all 57 % 5

6 Salary and remuneration Average percentage bonus of gross salary 1% - 5% 6% - 10% 11% - 15% 16% - 20% 21% - 30% 17% 49% 17% 11% 1% 31% - 40% 5% Attraction and retention Employer expectations for staff turnover in the next 12 months Key reason employees are likely to leave $ 56% YES 29% NO UNSURE 15% 32% 25% 21% 14% 4% 2% 2% Improve salary Gain more seniority Broaden experience/ opportunity to learn Other* Overseas opportunities Achieve better work/life balance Better training and support *end of project, retirement, cost cutting, change, etc. Most popular tools for attraction and retention Strong company culture Structured career progression Recognition and rewards Work/life balance initiatives 39% 18% 14% 14% Market observations: Career development remains a key retention strategy as employees place added emphasis on further education to advance their careers. Clear induction programs and structured career progression is currently operating as a successful retention model in many companies. Training and mentoring partnerships 12% Global career opportunities 2% Employers continue to offer incentivised referral programs. Some companies have increased the monetary benefits for successful referrals. Other** 1% **longer-term contracts, etc. 6

7 Attraction and retention Most popular options offered to support employees work-life balance* Combination of benefits offered to employees* 33% 39% Team building/offsite activities Alternative leave options (e.g. volunteering) 86% Flexible working arrangements 80 % Mobile phone 50 % 50 % 30 % Parking Personal laptop Company car 24% Increased maternity/paternity leave 20 % Higher superannuation contribution 13% Sabbaticals 19 % Income protection insurance 11% Other** 17 % 12 % Healthcare/health insurance Other*** **office snacks, 'free lunch Tuesdays', sponsored sports, study leave, etc. 7 % Travel pass ***employee share purchase scheme, equity as part of package-eg; e-tag, corporate gym membership, etc. WORKING HOURS Average weekly working hours Less than 37.5 hours hours hours hours 1 % 57 % 32 % 10 % * More than one option could be selected. 7

8 Leadership Size of company Small Medium Large Small Medium Large CIO/IT Director CTO N/A N/A Head of IT N/A N/A Head of Infrastructure N/A N/A Head of Applications N/A N/A IT Manager Operations Manager Size of company Small Medium Large Small Medium Large CIO/IT Director CTO N/A N/A Head of IT N/A N/A Head of Infrastructure N/A N/A Head of Applications N/A N/A IT Manager Operations Manager Size of company Small Medium Large CIO/IT Director CTO N/A Head of IT N/A Head of Infrastructure N/A Head of Applications N/A IT Manager Operations Manager Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Small to medium companies are defined as having a turnover of less than $100 million. Large companies are defined as having a turnover of more than $100 million. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 8

9 Architecture Size of company Small Medium Large Small Medium Large Enterprise Architect Solutions Architect Network Architect Security Architect Information Management Architect Size of company Small Medium Large Small Medium Large Enterprise Architect Solutions Architect Network Architect Security Architect Information Management Architect Size of company Small Medium Large Enterprise Architect Solutions Architect Network Architect Security Architect Information Management Architect Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Small to medium companies are defined as having a turnover of less than $100 million. Large companies are defined as having a turnover of more than $100 million. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 9

10 Consulting Practice Manager N/A N/A Consultant Pre-sales/Post-sales Practice Manager Consultant Pre-sales/Post-sales Experience Junior Intermediate Senior Practice Manager Consultant Pre-sales/Post-sales Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 10

11 Project Services Programme Manager/Director N/A N/A Portfolio Manager N/A N/A Head of PMO N/A N/A Project Manager Change Manager Project Scheduler Project/PMO Co-ordinator Business Analyst Technical Business Analyst Business Systems Analyst N/A N/A Process Analyst N/A N/A Technical Writer Trainer Programme Manager/Director Portfolio Manager Head of PMO Project Manager Change Manager Project Scheduler Project/PMO Co-ordinator Business Analyst Technical Business Analyst Business Systems Analyst N/A N/A Process Analyst N/A N/A Technical Writer Trainer Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 11

12 Project Services (CONTINUED) Experience Junior Intermediate Senior Programme Manager/Director N/A Portfolio Manager N/A Head of PMO N/A Project Manager Change Manager Project Scheduler Project/PMO Co-ordinator Business Analyst Technical Business Analyst Business Systems Analyst N/A Process Analyst N/A N/A Technical Writer Trainer Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 12

13 Applications Business Systems/Applications Manager Applications Team Lead Applications Support Business Systems/Applications Manager Applications Team Lead Applications Support Experience Junior Intermediate Senior Business Systems/Applications Manager Applications Team Lead Applications Support Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 13

14 Software Development Development Team Lead Developer/Programmer Web Developer Analyst Programmer Development Team Lead Developer/Programmer Web Developer Analyst Programmer Experience Junior Intermediate Senior Development Team Lead Developer/Programmer Web Developer Analyst Programmer Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 14

15 Testing Test Manager QA Manager Test Lead Test Analyst (Automation) Test Analyst Test Manager QA Manager Test Lead Test Analyst (Automation) Test Analyst Experience Junior Intermediate Senior Test Manager QA Manager Test Lead Test Analyst (Automation) Test Analyst Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 15

16 Business Intelligence/Data Warehouse BI/DW Manager Business Intelligence Developer Business Intelligence Analyst Database Developer Database Administrator Data Analyst BI/DW Manager Business Intelligence Developer Business Intelligence Analyst Database Developer Database Administrator Data Analyst Experience Junior Intermediate Senior BI/DW Manager Business Intelligence Developer Business Intelligence Analyst Database Developer Database Administrator Data Analyst Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 16

17 Networks/Infrastructure Infrastructure Manager Networks Manager Security Manager Systems Engineer System Administrator Network/Security Engineer Network/Security Administrator Infrastructure Manager Networks Manager Security Manager Systems Engineer System Administrator Network/Security Engineer Network/Security Administrator Experience Junior Intermediate Senior Infrastructure Manager Networks Manager Security Manager Systems Engineer System Administrator Network/Security Engineer Network/Security Administrator Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 17

18 Service delivery Service Delivery Manager Help Desk Manager Helpdesk Team Leader Service Desk/Desktop Support Analyst Helpdesk Analyst Service Delivery Manager Help Desk Manager Helpdesk Team Leader Service Desk/Desktop Support Analyst Helpdesk Analyst Experience Junior Intermediate Senior Service Delivery Manager Help Desk Manager Helpdesk Team Leader Service Desk/Desktop Support Analyst Helpdesk Analyst Salaries indicated are in Australian dollars and based on an annual basic salary, including superannuation at 9.5%, excluding bonus/incentive schemes. 2. Experience refers to total years experience in the stated role. 3. Roles marked N/A in this report are not commonly found for the specified years of experience. 4. Market rates are becoming much less uniform. While we have taken great care, these salary ranges can only be approximate guides, as there are often specific circumstances relating to individual companies. Please call us for additional information. 18

19 CONTACT US Sydney - CBD Level 32, Grosvenor Place 225 George Street Sydney NSW 2000 Tel Fax Sydney - North Shore Level 6, Tower B, Zenith Centre 821 Pacific Highway Chatswood NSW 2067 Tel Fax Melbourne - South East Suite 10, Level Ferntree Gully Road Wheelers Hill VIC 3150 Tel Fax Brisbane Level Creek Street Brisbane QLD 4000 Tel Fax Sydney - West Level George Street Parramatta NSW 2150 Tel Fax Perth Level 6, Westralia Plaza 167 St Georges Terrace Perth 6000 Tel Fax Melbourne - CBD Level Bourke Street Melbourne VIC 3000 Tel Fax

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