Temporary dip in ICT salaries

Temporary dip in ICT salaries

But increased recruitment in public sector, reports absoluteIT.

The median base salaries for IT staff in New Zealand has dropped in the past nine months but this is only temporary, reports absoluteIT. The latest absolute IT Salary Survey, conducted every six months, says the dip is due to the short-term hiatus in spending in the sector as new initiatives are rolled out slowly amidst reduced funding, pressure on headcounts and election year uncertainty.

The report, covering the period November 2010 to August 2011, shows the base median salary has decreased marginally by two percent in the past nine months, down from $76,500 to $75,000. The total value of overall employment packages has decreased by 3.1 percent, from $80,000 to $77,500.

The data is taken from more than 20,500 anonymous responses to

“With current political and ongoing economic uncertainty, we’re seeing more organisations focusing on maintenance, improvement and fine-tuning rather than investing in new projects, which is reflected in the increased remuneration rates for these types of skill sets,” says absoluteIT director Grant Burley.

The report says there are “pockets of increased recruitment activity” in the public sector with certain government agencies recrutiing staff for new systems and services.

Burley says he expects a gradual increase in recruitment following the election and in the next three years. There will be a new round of public sector investment in infrastructure and platforms, and demand for skilled IT talent will continue to outstrip supply over this period.

The survey also finds differences in pay based on gender. Male IT workers earn an average of 7.8 percent more than women. The average contract hourly rate for men is also 12.5 percent higher than women.

Burley says more women report having flexible hours which may indicate employers are catering to the needs of those with children.

By region, Auckland has the highest levels of recruitment activity across IT sectors, especially in permanent employment. Wellington ranks high for contract employment as uncertainty continues with realignment in government.

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