A skills shortage in the job market will ensure a pay rise of at least 3% for most Australian marketers and communications managers this new financial year, according to an industry salary survey.
But there’s a mismatch between what employers plan to give as a pay rise and what front line marketers expect. The employees say they deserve more than 3% and haev taken action.
Many have already negotiated a good salary increase in a red hot jobs market or have switched to a new, higher paying role at another company desperate for staff to take on the workload.
Industry insiders report candidates accepting new roles only to have them go to another employer, offering 20% to 30% more or extended benefits such as five weeks, instead of four, annual leave..
Eight in ten (83%) marketing and digital employers in Australia will increase salaries in their next review, up from 58% last year, according to the latest Hays Salary Guide.
Of these, one in five (22%) intend to raise salaries by more than 3%t, while 61% will increase salaries by less than 3%.
Employers (69%) say the skills shortage has forced them to offer higher salaries than otherwise planned.
But the marketers themselves say they deserve more
Most (83%) of the marketing professionals Hays spoke to say their performance and the demand for their skills merits an increase greater than 3%.
More than half (53%) say the skills shortage has made them more confident to ask for a pay rise and many (53%)t have already benefited from the skills shortage through a salary increase, new job or both.
Despite this, only 31% are satisfied with their current salary. An uncompetitive salary is the top factor motivating 57% of job searches. It ranks ahead of a lack of promotional opportunities and poor management or culture.
“Intense competition for skilled professionals will translate into gradual salary increases this coming financial year,” says Eliza Kirkby, regional director of Hays Marketing & Digital.
“Moving away from the salary stability stance of recent years, employers say the skills shortage is the reason increases are higher than planned. Already 90% are experiencing a skills shortage. 82% say it will impact the effective operation or growth plans of their organisation.
“This is fuelling a once-in-a-career market. Previously camouflaged by skilled migration, and further impacted by headcount growth, skills shortages have reached a level unmatched in our years in recruitment and sparked deliberate salary increases from employers.
“However, while both the value and extent of salary increases is rising, employees’ expectations are growing faster. In a job-rich, candidate-poor market, they feel more assured of their worth and have prioritised a pay rise.
“In such a market, the number one question we’re asked by employers is how to stand out as their preferred candidate’s first choice.”
Hays’s answer is a new equation for employers.
Kirkby: “We suggest that today’s skills shortage presents an opportunity to define a new equation in the world of work.
“Salary increase budgets only extend so far, so consider the full value exchange for each role. Along with salary, consider benefits, upskilling, career progression, purpose, and the relationship employers have with their employees.”
The Hays Salary Guide found the top five marketing skills in demand:
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Marketing Managers
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Product Managers
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Communications Managers
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Digital Marketing Managers
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eCommerce Managers
Benefits increase to attract candidates: A third (33%) of marketing employers have improved benefits and working practices to entice more staff. The top three benefits sought by marketing professionals are over 20 days' annual leave, training (either internal or external) and ongoing learning & development.
Hiring intentions rise: 65% of marketing employers intend to increase permanent staff levels in the new financial year. 46% will increase their use of temporary and contract staff.
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