In an unstable financial climate, the fact that salaries for IT workers are beginning to stabilize is a good sign for the coming months, according to Katherine Spencer Lee, executive director of the specialized staffing firm Robert Half Technology (RHT), publisher of the 2003 Salary Guide for the information technology world.
She attributes the dip in starting salaries for IT employees as a continuing correction from the dot-com boom and the slumping economy. Weve certainly seen IT salaries stabilize over the course of the last 12 months, and I think well continue to see that stabilization in 2003, says Lee. Companies are being more conservative in regard to their hiring, and there are more people out in the job market. That certainly has an impact as well.
RHT projects starting salaries for IT workers to decrease by 1.3 percent this year in the United States and to fall by 2.2 percent in Canada. At the top level, starting salaries for CIOs will be down .21 percent in 2003, with a range from $119,250 to $199,750.
RHT breaks down the U.S. into nine regions and adjusts its estimates on a regional basis. The company further projects the fastest-growing industries for IT employees in each region, and six of the nine regions list financial services as one of the top markets for people looking for work. Insurance was specifically cited as a hot field in the East South Central region, which includes Alabama, Kentucky, Tennessee, and Mississippi.
Lee believes lower interest rates have spurred increases in property/ casualty coverage throughout the country. The move in financial services to T+1 has created a greater demand for technology in the broker space as well, she says.
For the third year in a row, security tops the 11 IT areas broken down by RHT. Starting salaries should increase by an average of 4.9 percent for positions such as data security analyst, systems security administrator, and network security administrator, with a range from $62,500 to $91,750. Were seeing an increased focus on security, and its not just due to 9/11 by any means, says Lee. The losses suffered from e-mail viruses such as Melissa and Love Bug have been significant. Companies are asking how they can protect their internal systems, especially as more and more companies are putting secure information online, she says.
The hardest hit area is Internet or intranet administrator, where starting salaries are expected to drop 5.7 percent, with a range from $53,500 to $72,250. Lee blames the tools that are available to companies today more than the talent level of workers. The skill set has certainly not become obsolete, but its less in demand than it was, she says. Its really just a matter of the technology getting better.
RHT also surveyed its customers to determine the one mistake companies make the most in managing their IT employees. Over half (52 percent) answered: Lack of communication between staff and management. Companies can look at this as either an opportunity or an obstacle, Lee says. This is a fabulous opportunity for IT professionals to communicate their skill sets, she says. Over the years, IT professionals have been judged by what technology they have, and the need today is to broaden their people skills.
Those people skills will be necessary if and when IT professionals begin looking for a new job, according to Lee. Old-fashioned networking is still the way to go to find a position. The companies surveyed by RHT report nearly a third of new hires (31 percent) are done through employee referrals.
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