While employers are not exactly in a hiring frenzy, they are adding jobs, backfilling positions and channeling more energy into retaining the talent they have. However, more hiring does not necessarily mean higher pay. In the most recent Robert Half Professional Employment Report, 5 percent of executives expected to add full-time professionals by the end of this month. This quarterly survey covers more than 1,400 chief financial officers (CFOs); 1,400 chief information officers (CIOs); 500 senior human resources managers; 200 lawyers; and 500 advertising and marketing executives with hiring authority. In New England, 8 percent of those surveyed expected to hire by the end of this month, while 4 percent expected to reduce staff. Interestingly, 31 percent of regional executives expressed concerns about losing top performers. So who is likely to command more money? (In the breakdowns by field that follow, please note salary ranges are national averages and represent starting compensation.)
Accounting and Finance
Compensation for accounting and finance positions is expected to rise about 3.1 percent by year's end. Many employers continue to find it difficult to locate the precise talent they need. As a result, some firms are sweetening compensation packages. Business systems analysts are currently in heavy demand in NH due to a need for a liaison between technical and functional teams. That drives up their compensation. Similary, staff accountants, senior staff accountants and analysts are in high demand in the state, and many are seeing boosts in compensation. Other finance positions anticipated to see higher-than-average salary increases: Senior business analysts are expected to see the largest hike in base pay by the end of 2011, with the average starting salary rising 5 percent to between $66,500 and $85,500. Tax accounting managers at midsize companies ($25 million to $250 million in sales) will see a compensation range between $69,500 to $92,500-up 4.9 percent from 2010. Salaries for financial analysis managers at both large (more than $250 million in sales) and midsize companies are predicted to climb 4.8 percent by year-end.
Legal Professionals
As they have for the past five quarters, respondents in the legal profession in the second-quarter Robert Half Professional Employment Report forecasted the strongest hiring activity of any field. The 29 percent of lawyers interviewed for the report projected staff increases, and none anticipated declines. Across the nation, hiring activity is strongest at small and midsize law firms. Still, base compensation for many legal positions is increasing only slightly or remaining flat at both law firms and corporate legal departments. Exceptions include: Licensed lawyers with four to nine years of experience at midsize law firms are expected to see average starting salaries of $106,250 to $163,250 by December 31, a 4.1 percent increase over 2010 projections. First-year associates at midsize law firms are expected to earn $73,500 to $102,000 during 2011, a 1.9 percent increase. Paralegals with four to six years of experience at midsize law firms can expect a starting salary of $48,250 to $62,500, a 3.7 percent increase over 2010 projections. Although competition for top candidates is increasing, the hiring process can still be prolonged. Close to half (48 percent) of lawyers polled by Robert Half say it is challenging to find skilled legal professionals today.
Information Technology
The technology sector is faring better than many professions. According to the Bureau of Labor Statistics, IT unemployment for several positions is lower than the national average. Nine percent of CIOs surveyed in the Robert Half Professional Employment Report say they planned to add IT staff during the second quarter. Two percent anticipated reductions in personnel. Base compensation for most IT positions is showing modest increases. In general, starting salaries are expected to rise an average of 3.4 percent from 2010 levels. Some of the largest increases are: Base compensation for ERP technical developers is projected to spike 5.2 percent in 2012 to a range of $79,250 to $109,500. Average starting salaries for business intelligence analysts will rise 5 percent to the range of $82,500 to $116,250 annually. Data modelers can expect base compensation in the range of $80,750 to $111,250, a gain of 4.5 percent over 2010. Professionals who understand how IT initiatives link to larger business objectives and can help firms cut costs and increase efficiency are highly valued. Network administration remains the skill CIOs most want.
Administrative Professionals
Starting salaries for most administrative and office support positions are not expected to change significantly. The average projected increase in starting salaries for all positions is 1.1 percent, with slightly better gains in areas such as customer service and health care, where demand has risen for support staff. Positions with the largest projected increases are: Executive assistants can expect compensation between $35,750 to $49,000, a 3.4 percent increase from 2010. Marketing assistants will see average starting salaries of $27,500 to $36,000, a 3.3 percent increase. Starting salaries for medical customer service representatives are expected to rise 2.7 percent to between $24,750 to $32,250.
Creative Professionals
Because businesses are engaging customers through social networking and mobile applications, expertise in those services is in demand, and 19 percent of marketing and advertising executives polled by Robert Half plan to add staff in these areas. The positions and areas in greatest demand are: Social media/emerging media specialists can expect to earn between $61,500 and $78,000. Salaries for creative services managers are predicted to range from $71,000 to $100,250. Mobile applications designer/developers should command a starting salary of $73,250 to $102,500.
Executive Positions
Executive pay varies widely depending on experience and the size of the company, but some executive pay trends include: CFOs in companies with sales between $250 and $500 million are expected to earn between $187,750 and $265,250 during 2011, a 3.3 percent increase over 2010. CIOs may see average compensation increase 3.2 percent to between $134,500 and $217,000. Corporate counsel with 10 to 12 years of experience are likely to see average starting salaries increase 1.5 percent, to between $126,250 and $218,250. These salary ranges do not include bonuses, equity incentives and other perks.
While companies are hiring in response to increased customer demand and growing workloads, adding staff now is a good idea for another reason: The layoffs of the past few years offer a rare opportunity to bring in top-notch professionals who may not have been available previously. This talent will not be around forever. Some firms are already encountering challenges finding people with the right skills and experience.
Barry Roy is branch manager in Manchester for Robert Half International, a staffing firm with more than 350 locations globally, including offices in Manchester, Portsmouth and Nashua. For more information, visit www.rhi.com.
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