It’s an interesting time in terms of the cost of living, but there’s a silver lining for marketing professionals: salaries are on the rise, according to the latest Salary Guide from Hays.
As the pool of qualified marketing professionals continues to shrink, employers are feeling greater pressure to actively attract and retain top-notch employees.
Kian Myers – Business Director – Hays
Based on the guide, a whopping 93 percent of employers have plans to increase marketing salaries during the upcoming review cycle, which typically aligns with the start of the new financial year. After conducting a survey with 14,000 employers, it was discovered that 62 percent of them intend to raise salaries by more than three percent compared to the current levels.
Several key factors are driving this encouraging trend, as highlighted by Hays:
Competition amid a skills gap crisis: Employers are grappling with a shortage of skilled marketing professionals, leading many of them to offer higher salaries than originally anticipated. About 26 percent of employers have gone as far as providing “substantially higher” salaries, while 42 percent have opted for “nominally higher” figures. Kian Myers, Hays’ business director, acknowledges the challenges employers face in finding the right talent, stating, “As the pool of qualified marketing professionals continues to shrink, employers are feeling greater pressure to actively attract and retain top-notch employees.”
The ripple effect of falling real wages: Both employers and employees, accounting for 76 percent, believe it’s reasonable to expect pay raises to keep pace with inflation. Employers are aware of the hidden costs associated with declining real wages, such as diminished employee engagement, impacts on mental health and well-being, decreased morale, and lower job satisfaction. While not all employers can match inflationary pressures, they are stretching their salary increase budgets as much as possible to support their workforce.
The impact of pay transparency: Many employers are embracing a transparent approach by openly sharing information about salary levels and increases. Approximately 20 percent of employers are transparent with all employees, while 23 percent are selectively transparent. Kian anticipates these figures will rise in the coming months, especially with the abolition of pay secrecy in Australia. More employers are likely to conduct salary audits, scrutinise disparities, and make necessary adjustments to ensure fair and equitable compensation.
‘The great ask’: This year, 55 percent of professionals are planning to ask for a pay raise. Employees feel a sense of empowerment and are growing more confident in negotiating better compensation.
It appears that the marketing industry is experiencing a positive trajectory in terms of salary increases, driven by competition, concerns about falling real wages, the emphasis on pay transparency, and employee assertiveness in seeking higher pay. As the market evolves, employers are recognising the importance of attracting and retaining talented professionals by offering competitive compensation packages.