Miles Jennings - Blog

Global IT demand prompts salary gains - Miles Jennings

Written by Miles Jennings | Oct 5, 2013 11:16:53 AM

While a number of sectors in the U.S. economy are still struggling to recuperate from the recession, the country’s information technology industry is booming.This specific area of the national – and international – market is continuously creating employment opportunities. What’s more, IT is raking in so much revenue that tech professionals are not only able to take their pick from a growing number of job possibilities, but they are also expected to encounter more generous compensation with these positions.International increase in IT demandAccording to Computer Weekly, as more and more companies across the globe are competing for IT talent, businesses are going to great lengths to ensure that any qualified professionals they recruit will be onboard for the long run. Among these measures taken to promote tech employee satisfaction, many chief information officers have decided to loosen their purse strings so that these valuable representatives are not inclined to look elsewhere for work.A recent survey performed by the news source found that within the last year, 59 percent of IT professionals in the UK received a salary bump. These income increases are generally falling under the 1 to 4 percent range, though some tech employees have received salary gains of 10 percent or more.This trend is anything but unique to the UK. Many companies throughout the world, including the United States, have been pulling out all the stops to keep their IT professionals happily employed in their current positions.American salaries to escalateTulsa World reported that some tech industry experts anticipate America’s average IT salaries to undergo increases starting at 3.7 percent. Though other professionals may contest this prediction, claiming that a crippled economy should lead to income reductions, that seemingly logical argument does not appear to be the case. The news source explained that promising to shell out more salary money to tech employees is just as important – if not, more – in times of market stagnancy.Granted, numerous sectors are slow to bounce back from the economic dip, unable to offer their staff members more compensation because companies just do not have the available funds to do so. However, the IT industry is not among these afflicted fields. In fact, it has only seen growth in various occupational areas in the past couple of years.One element of the business world that has not been hurt is the adoption of new technological tools throughout company operations. As organizations of every type have come to appreciate and desire the use of advanced IT solutions, the need for personnel who are qualified to implement and manage these innovations has become stronger.For this reason, Tulsa World stated that with more companies incorporating sophisticated IT into their functions, the demand for tech professionals has skyrocketed. In turn, every one of these employees has become a critical asset to whichever organization they are working for. Businesses have found that they cannot afford to lose the IT talent they have on staff, but they can afford to provide them with higher compensation. By promising steeper salaries, firms hope to prevent vital members of their IT departments from considering seeking employment with competitors.For certain corporations, there appears to be more at stake in terms of the threat of losing tech professional compared to other organizations. According to InfoWorld, IT giants in Silicon Valley seem to be making especially significant investments in ensuring employee retention through monetary means.Silicon Valley leads compensation inflationIn this specific region of the U.S., rivalry between tech companies is particularly stiff. Most of the leading companies within the IT industry, such as Apple and Google, call Silicon Valley their home. As a result, information technology professionals working in this area are some of the most generously paid employees in the entire country. The news source reported that the average IT worker employed in this portion of California have an income that is over three times the U.S. mean.Among some of the top earners, IT executives, developers and engineers appear to have a strong standing. Companies are fighting to win over employees by enticing them with more than just ample incomes. In addition to inflated salaries, InfoWorld said that corporations have taken to offering a variety of perks to IT professionals.These bonuses are attracting much public attention, as some of them border on excessive. Firms are now featuring anything from free laundry services to complimentary (leased) sports cars. On top of that, organizations are throwing substantial amounts of stocks into the mix.Despite these tempting options, IT professionals should not be distracted by flashy incentives. While these perks are appreciated, these employees need to realize that companies rely on talent like theirs, making them invaluable. Because of this, tech representatives hold all of the cards and they should ensure that they are receiving the most competitive salary possible. If not, then they can always explore their other employment options, of which there are many.