TPP Not for Profit Fundraising Salary Survey 2014

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1 TPP Not for Profit Fundraising Salary Survey 2014 Welcome to the 2014 TPP Not for Profit Fundraising Salary Survey. This report aims to benchmark fundraising salaries across the sector, allowing employees to compare their salary against the average and giving employers a standard when budgeting for new roles. TPP is a specialist recruitment consultancy with a dedicated fundraising and development division, and a close relationship with industry organisations like the Institute of Fundraising, which gives us a unique insight into the market. In fact, we were recently voted Best Recruitment Agency at the 2014 IoF Partners in Fundraising awards, for the 2 nd year running. fundraising staff in the sector There are over 164,000 charities registered in England and Wales, with an estimated 897,000 paid employees working for them. Based on the results of this survey, we estimate there are 271,909 staff members with at least some responsibility for fundraising and development, currently working in England and Wales. However, we estimate that the number of paid dedicated fundraisers is much smaller in the region of 25,000. Average salaries by seniority 2014 Difference Highest Lowest 22,578 21,660 4% 28,500 16,000 26,137 27,141-4% 36,000 17,000 32,929 32,644 1% 59,000 18,000 Manager/ Lead 35,285 36,054-2% 65,000 20,800 Head of 45,560 45,680 0% 70,000 27,000 Director 61,347 59,496 3% 120,000 29,500 38,535 39,627-3% Although salaries have risen very slightly for some levels of seniority, particularly at the junior and senior ends, drops in salaries in the executive and manager levels have resulted in a slight overall drop since the previous year, a similar pattern to the previous year s survey. We feel that the rise in salaries at the junior end is due to an increasing trend for basic tasks to be given to unpaid interns and volunteers, hence there is more responsibility given to Assistants / s which attracts higher pay. 1

2 There also appears to be a difficulty in fundraisers moving up the career ladder from manager to Head of or Director level, which again creates competition for the best candidates and continues to put pressure on salaries. The IoF have been continually campaigning for a clear career path for fundraisers and our findings demonstrate the need for this. Charities need to work to help fundraising executives and managers progress, as well as developing a pipeline of future fundraisers to replace them, or salaries at either end of the career ladder will continue to rise. Male vs female salaries Considerably more women work in fundraising roles to men, with 75% more women overall. This has increased slightly by 3% since. However female fundraisers are still paid considerably less than male fundraisers and the gap appears to be growing. In, the average salary for female fundraisers was 11% less than their male counterparts in it is now 15% less. We have seen similar gaps between male and female pay in our marketing and communications and HR salary survey results, so there is a gender gap in pay across all roles in the sector, even though women make up 68% of the voluntary sector workforce*. Area of expertise Legacy has remained the highest paid area, as it has been in the salary survey results for the last two years. This is consistent with the lack of high-quality legacy fundraising candidates looking for new roles. Therefore charities have to pay more to attract legacy fundraisers. Major donor salaries also remain higher than average, again reflecting the competition for candidates with a track record of success in this area. There has been a marked improvement in salaries for direct marketing and individual giving fundraisers these areas of expertise now rank 3 rd and 4 th. This most likely reflects rising demand for these candidates as charities seek to diversify their fundraising and increase income from small and medium value donations. Events fundraising salaries have dropped dramatically as in it ranked 3 rd in terms of average salary and is now the lowest, ranking 8 th. This could be because many events roles are at the junior/ assistant level, or because event fundraising is sometimes incorporated into other fundraising roles. Corporate fundraising has also dropped in the rankings, and is now in 5 th place from 2 nd in. This may be due to an increasing willingness for charities to consider candidates from the private sector for these roles, widening the pool of potential employees. Type of organisation The 2014 results show that education, environment and membership organisations have the highest salaries. However, it is difficult to compare salaries by type of organisation, as the difference between large and small charities is so great, regardless of whether they share a common mission. * The UK Voluntary Sector Workforce Almanac 2

3 Size of organisation As expected, large organisations (100+ employees) pay 4% more on average, with the biggest pay gap in the more senior roles. Directors are paid 28% more on average in large organisations compared to small organisations (1-10 employees.) Over 50% of respondents work for large organisations, surprisingly however they have seen a decrease in average salaries overall from by 3%. Both small and medium size organisations saw increases of 1-2%, suggesting the gap may be closing. There is a shrinking pool of fundraisers, and smaller and medium size charities increasingly need to compete against larger charities for the best staff, which probably explains the increases. Additionally larger organisations have more HR guidelines to follow and restrictions on pay, such as pay bandings. They also don t necessarily have to rely on salary as their main tool to attract staff; instead they use their brand and other non-financial benefits. Location of organisation Salaries by location is obviously skewed by the preference of national charities to have their headquarters in London or the South of England. 64% of respondents work in Greater London. Greater London & the South East has historically been the highest paid area on average, but we separated these areas in this year s survey, so the results are slightly different. South East is the highest paid area, followed closely by Scotland with Greater London and the Midlands follow in 3 rd and 4 th. We have received considerably more data from Scottish fundraisers this year which has skewed this comparison. Type of contract 10% of respondents work part-time; this has risen slightly since, although part-time fundraisers still earn 4% less on average. This difference becomes more pronounced as fundraisers progress in seniority; full-time directors earn 15% more than their part-time counterparts. 12% of respondents work on a temporary or contract basis, this has risen by 3% since. Generally, increasing numbers of temporary workers reflects a confidence in the market, as charities become willing to invest in one-off projects. Unsurprisingly those in contract roles and senior temporary fundraisers earn a higher salary on average, with junior temporary fundraisers earning lower on average. This reflects the increase in the number of contract jobs in the last year, as charities take a more flexible approach due to funding changes etc. Salary change over the past year The majority of respondents felt their salary has remained static over the last year (60%). 27% of fundraisers have seen a small increase, whilst 11% think they have decreased. Many fundraisers commented that their pay has been static for 3-6 years due to the recession and funding difficulties. 3

4 70% 60% 60% 50% 40% 30% 27% 20% 10% 0% 8% 3% 1% Increased a lot Increased a little Stayed the same Decreased a little Decreased a lot Reasons given for salaries increasing I think there has been an increase in Major Giving salaries due to recognition of the supply and demand issue. Recruiters are looking only for exceptional staff with experience. Therefore they are paying to pull them from other charities. Reasons given for salaries remaining the same/decreasing Fundraising income is still depressed and the funding climate from voluntary and statutory sources is under downward pressure In real terms I think salaries are decreasing because few charities are awarding increases that keep pace with inflation. Charities are nervous about paying their staff too much because of public/media/political pressure despite rising living costs and the hard work that we are all putting in/results we are achieving. I think the funding environment is also making trustee boards and senior managers nervous about awarding 'too much' because of future threats to funding. Our company is reducing salaries/hours and using interns! Motivation to change roles 71% respondents said a higher salary would tempt them to seek a new role. This has increased dramatically since, when only 23% respondents would move for a higher salary. Generally from the comments received it seems many fundraisers feel under-valued and under increasing pressure to juggle more work and meet higher targets, with little financial rewards. 47% of fundraisers would move for a more interesting role and 46% would move for more responsibility/seniority. 4

5 80% 70% 60% 50% 40% 30% 20% 10% 0% 71% 47% 46% 40% 34% 34% 22% 17% Holiday Fundraisers receive an average of 26 days holiday a year (not including bank or national holidays). This has remained static over the last couple of years. Many fundraisers accrue extra holiday for length of service and progression up the career ladder. Benefits Few respondents receive additional financial benefits such as bonus (5%) or commission (less than 1%.) However, 42% receive time off in lieu or paid overtime. This has dropped dramatically since, where 82% received time off in lieu or paid overtime. Similarly to, the most common non-financial benefit is pension contributions from their employer, with 76% of respondents receiving this. This has increased dramatically this year, probably as a result of the new workplace pension scheme. Flexible working and season ticket loans are also popular benefits given by employers. The additional benefits that respondents would most like to receive are flexible working hours and medical cover, followed by time off for voluntary work/trusteeships. Again this has not changed much in recent years. Some respondents, felt that there was a lack of support for professional development and would consider this when looking at a new job. An NCVO report*showed 70% of voluntary organisations trained managers, whilst only 17% trained elementary positions. This is going to result in skill shortages in the sector for senior roles, which in turn will affect pay. * NCVO UK Civil Society Almanac

6 80% 70% 76% 60% 50% 46% 40% 30% 20% 10% 0% 15% 33% 35% 12% 33% 18% 17% 21% 9% 16% 15% 11% 11% 0% 7% 11% Receive Would like More investment in training would be something I'd look for in a new role Local training courses organised by volunteer centre in the area - lack of any formal training budget means I can't go further afield! Methodology The salaries used in this report were compiled using information from 498 survey respondents from May As the results are anonymous, we cannot monitor the number of organisations these fundraisers come from. We have used the most common market terminology for roles for the purposes of this survey, however we appreciate not every job will fit this terminology. The results are provided as generic market information only, rather than any guarantee of salary. We hope you find this survey useful and would welcome any feedback or recommendations for our next report. If you would like any more detailed information or career advice, please feel free to contact our Fundraising and Development team. Access this report online at 6

7 About TPP Not for Profit TPP Not for Profit is a recruitment consultancy specialising in meeting the needs of organisations in the charity, arts and public sectors. Established in 1996 as The Principle Partnership, we use our experience, specialist knowledge of the sector and shared values and principles to meet our clients recruitment needs. All our consultants are sector specialists, able to offer the best advice and service to both our candidates and clients. TPP s divisions cover the full breadth of charity roles. The TPP Fundraising and Development Team is one of the longest established divisions within the company, and we take pride in supplying the best fundraising staff available for our clients. We recruit for all types of fundraising roles, from Corporate and Trusts to Major Donor and Legacy Fundraisers, Fundraisers, to Events, Community and Direct Marketing and at all levels, including appeal and project specialists, across the not for profit sector. We also have a Appointments team who are able to recruit excellent Fundraising Directors and our Specialist Support team can supply permanent and temporary fundraising support staff Contact Us TPP Fundraising & Development Tel: Web: North England, Midlands & Scotland Office Tel: Appointments Team (for Fundraising Directors) Tel: Office & Specialist Support Tel:

8 Salaries by gender Manager/ Lead Head of Director Grand Female 23,192 25,781 32,796 34,998 45,991 59,349 36,953 38,418 Male 21,579 28,165 32,518 36,561 44,179 63,631 43,461 43,121 Prefer not to say 40,860 27,000 33,930 39,725 Grand 22,578 26,137 32,929 35,285 45,560 61,347 38,535 39,627 Salaries by seniority and area of expertise Manager/ Lead Head of Director Grand All of the above 23,709 42,182 43,254 43,254 65,283 50,110 49,552 Legacy 27,000 36,500 55,000 43,375 49,961 Major Donor 29,983 32,281 35,496 44,700 68,906 41,951 45,193 Direct Marketing 25,118 24,480 33,458 37,798 49,857 70,775 40,039 43,650 Individual Giving 26,971 33,177 40,107 45,000 41,833 38,794 44,189 Corporate 22,780 26,598 32,115 35,988 48,582 54,279 38,598 46,028 Community/Regional 21,178 26,068 29,431 32,594 45,596 55,296 34,671 44,273 Trust/Foundation/ 22,826 25,571 35,865 36,602 40,875 34,280 41,626 Statutory Events 23,548 25,752 32,500 33,885 38,000 64,900 33,696 45,902 None/ Unknown 45,000 45,000 39,071 Grand 22,578 26,137 32,929 35,285 45,560 61,347 38,535 39,627 NB some respondents have multiple specialities Salaries by seniority and location of organisation Manager/ Lead Head of Director Grand Greater London 23,838 27,162 34,680 36,062 46,886 61,887 38,862 South East 21,242 27,629 31,710 35,638 40,055 67,023 41,155 South West & Wales 21,300 17,300 31,375 37,738 61,600 36,748 37,363 Midlands 22,409 18,000 36,000 46,000 48,167 37,364 36,909 Yorkshire & 20,000 22,613 25,976 44,000 25,446 Humberside North East 23,686 28,375 27,875 35,000 53,000 28,137 31,667 North West 27,000 27,067 29,657 45,501 31,954 33,833 Scotland 16,000 30,500 36,180 43,500 80,000 40,393 28,055 Northern Ireland 26,700 29,000 27,850 Other 19,251 18,000 30,000 37,217 47,700 56,805 43,774 48,004 Grand 22,578 26,137 32,929 35,285 45,560 61,347 38,535 39,627 8

9 Salaries by seniority and size of organisation Manager/ Lead Head of Director Grand Small 24,200 24,250 31,493 33,574 40,163 52,823 36,307 35,680 (1-10 employees) Medium 21,978 25,119 34,886 34,145 43,037 57,758 37,979 37,715 ( employees) Large 22,349 26,995 31,939 39,132 48,955 67,866 40,594 41,864 (100+ employees) Grand 22,578 26,137 32,929 36,798 45,560 61,347 39,092 39,627 Salaries by seniority and type of organisation Manager / Lead Head of Director Grand Education 24,381 26,560 37,100 39,458 34,000 71,008 45,789 44,537 Environment 18,000 19,800 36,700 42,000 73,333 41,940 35,122 Membership 25,500 30,100 40,500 54,500 40,933 30,250 International Aid 21,000 26,084 30,372 37,964 46,281 61,053 40,216 38,422 Children 22,333 26,723 37,700 33,951 48,833 63,841 40, Arts, Culture & 22,826 20,000 34,000 32,412 43,750 53,392 39,902 39,301 Heritage Animals 27,600 32,650 34,750 45,579 56,500 39,863 42,252 Cancer 26,767 28,500 36,376 55,501 60,000 38,777 37,270 Older People 25,000 38,321 46,000 38,525 34,739 Homelessness 28,000 38,100 35,300 42,000 48,000 38,478 37,534 Human Rights 22,000 27,500 37,100 34,028 47,750 48,000 36,663 38,579 Health 24,378 24,656 32,674 35,124 48,008 61,110 36,396 40,920 Society & Work 30,808 29,214 33,200 50,000 33,915 43,248 Sport 25,000 37,750 33,500 31,000 Disability 22,000 27,047 34,305 33,749 43,091 63,744 Hospices 25,205 31,000 30,253 43,000 55,033 32,373 47,336 Unknown 21,030 28,426 21,750 34,422 44, ,862 40,810 Grand 22,578 26,137 32,929 35,285 45,560 61,347 38,535 39,627 Salaries by seniority and type of contract Manager / Lead Head of Director Grand Full time 22,565 26,341 32,727 35,121 46,192 61,615 38,616 39,752 Job share 50,000 65,000 57,500 Part time 22,700 24,125 35,830 36,437 40,156 57,696 37,089 38,145 Grand 22,578 26,137 32,929 35,285 45,560 61,347 38,535 39,627 9

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