Tech salary trends and expectations in 2021
With demand for tech skills in the UK at an all-time high, employers need to keep up to date with the latest tech salary trends in order to manage hiring budgets efficiently. In the current landscape, recruiting for specialist tech roles that command high salaries can be particularly challenging. Learn more about tech salary expectations and how to attract top-level talent.
Despite a rise in UK unemployment, the UK’s IT job market continues to flourish with more than 100,000 jobs created since the start of the pandemic and more than 300,000 in the last 3 years.
With the tech industry’s persistent skills gap, companies need to stand out from the competition and grab candidates’ attention. To encourage more candidates to apply for hard-to-fill roles, recruiters need to be aware of the latest tech salary trends and understand current salary expectations.
According to Harvey Nash, tech salaries have risen for over a third (36%) of IT professionals. However, the pandemic has forced tech workers across the world to do more for their money. The report also reveals that over half (55%) of tech workers say their workloads have increased and around two thirds (64%) have either experienced pay freezes (48%), or a reduction in pay (16%).
Looking to the future, Harvey Nash reports that the tech roles most likely to receive pay rises are development management, team leadership, and architecture and software engineering. With most of the UK’s tech workforce still working remotely, it’s unsurprising to see management and team leadership roles predicted to see a rise in demand.
Tech salary expectations
According to Robert Half’s Salary Guide 2021, over half of employers across all sectors predict that salaries for existing and new roles will stay the same in 2021. It reports that 59% of employers expect salaries to stay the same, 25% expect salaries to increase, and 16% expect salaries to decrease.
In the tech sector, companies are finding it increasingly challenging to attract tech candidates for specialist roles. It’s therefore important that they keep up to date with tech workers’ salary expectations to help them manage their hiring budget effectively.
Robert Half’s guide reports the following salaries for these specialist roles in 2020:
- Infrastructure Architect (£70,000 – £82,000)
- Data Architect (£71,750 – £95,750)
- Lead Developer (£75,250 – £105,250)
- Testing Analyst (£35,000 – £57,500)
- DevOps Engineer (£60,500 – £82,000)
Tech roles with the highest salaries
According to Be-IT’s 2021 Salary Benchmark, tech roles with the highest salaries are C-suite roles like Chief Executive Officer (CEO), Chief Information Officer (CIO) and Chief Technology Officer (CTO) with salaries averaging between £100k and £160k.
In regards to entry level talent, graduate consultant/developer/tester salaries are around £25-30k, which is above the UK average of £24k, as shared in HESA’s Graduate Outcomes report.
Including salaries in job adverts
There are several benefits to including salaries in job adverts. Not only does it provide candidates with an indication of their suitability, but it gains candidates’ trust in a company’s brand. Transparency is key to attracting top talent in the competitive tech sector.
Research from our sister site Totaljobs reveals that adverts that include salary information receive up to 20% more applications. Our own Tech Candidate Survey also reveals that 58% of our candidates find missing salary information the most frustrating aspect of the job search.
Companies should aim to be as specific as possible when listing salaries and include exact figures if possible. If including a salary range, they should try to keep the difference as small as possible. Candidates appreciate specifics as it allows them to make informed decisions on which jobs to apply for.
Under the heading of salary, it’s also useful to include other information on job adverts like annual leave allowance, pension contributions, healthcare and company car allowance. Financial perks can be a big draw for top-level talent who have their pick of the top jobs in the industry.
Under the heading of salary, it’s also useful to include other information on job adverts like annual leave allowance, pension contributions, healthcare and company car allowance. Financial perks can be a big draw for top-level talent who have their pick of the top jobs in the industry.
For more information on how to how to create the perfect tech job advert, take a look at our comprehensive guide on the topic.
Employers who are looking to attract top tech talent can use our Premium ads with strong visuals and a salary range to attract even more candidates. Upgrading to a premium advert on CWJobs’ platform can deliver 16% more relevant applicants than a standard job listing.
The feature enables companies to upload photos and videos to increase candidate engagement. The adverts can be instantly shared with the most relevant candidates via email and employers receive instant recommendations based on their requirements. Likewise, the Recruiter Resources section on our platform provides market insights on salary trends and tech candidates’ workplace needs.