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Tuesday, October 23, 2007 5:45 PM/EST

5.3% Growth Expected in Starting IT Salaries

If you work in network or desktop security, the next year will be a great year for you according to a new salary guide, which rates yours as the job category with the most growth within IT departments in 2008.

The 2008 IT Salary Guide from Robert Half Technology, released on Oct. 22, is based on analysis of the job placements managed by the company's U.S. offices. The analysis found that nearly 15 percent of firms said that they intended to increase their IT staff in 2008.

Starting salaries among IT pros are expected to increase by 5.3 percent in 2008, and high-demand areas such as applications or Web development, network management or database administration will see pay increases of 7 percent or higher.

"This was not really a surprise. The strong increases are still in the application development space, especially for individuals that have those Web 2.0 skill sets. Those who can architect and develop Web spaces had the highest increases that we saw, even 7.5 percent in some titles," Katherine Spencer Lee, executive director of Robert Half Technology told eWEEK.

The company pegged wireless communication as one of the top areas driving IT hiring in U.S. companies, as developers create more and more tools for mobile devices that IT departments are increasingly responsible for supporting. Lee called this the "gadget factor."

"With everyone's devices communicating with everyone else's devices, there is a need for people who are like the air traffic controllers of the IT department," said Lee.

The single highest salary increase expected in 2008 was among lead applications developers, at 7.6 percent, followed closely by applications architects at 7.5 percent, both under the application development umbrella.

Data modelers and network managers were both expected to see a 7 percent gain next year over 2007 and senior IT auditors were expected to see a 6.9 percent increase in base compensation.

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Comments (31)

Patrick :

If this were even remotely true then I would be employed and earning more than ever before.

Does the ITAA pay e-week to write this stuff? There is no shortage of IT personnel skilled or otherwise. If there was... then a company would be screaming to hire me and train me on all their latest technology.

Just ain't happenin...

BillyJoeJimBob :

Perhaps this refers to the IT resources in New Delhi.

BJJB

Patrick :

BJJB,

Or Mumbai...which is where my last job is now.

Depends on the area. The best person to ask would be in HR. Lack of qualified applicants is a big problem.

Patrick :

I am qualified for all manner of network admin and engineering positions and have seventeen years experience in information technology as a database programmer, network admin/engineer, help desk level 2/3 et cetera.

If I am so unqualified for some of these positions... then why doesn't a company hire and train me if there is a shortage of those "qualified"?

Chris :

Patrick,

Just because you can't find a job does not mean there is not a shortage. I know firsthand that it is next to impossible to find qualified AND competent people in the Boston, MA area. It typically takes us 6-8 weeks to find good candidates.

Chris

javadude :

Patrick:

What was your area of expertise?

Thomas :

The term qualified often means "cheap" until the ish hits the fan or the H1's are used up. Really good developers still get good pay but those positions normally filled through a reference or internal promotion. Most jobs posted on monster, dice, hotjobs etc are for H1s.

Dobra David :

Patrick,

Quite a few company's don't feel it's their job to hire AND train you - they are looking for qualified people coming in the door.

It's YOUR job to make yourself "qualified".

DD

Mic :

Hi

IT Shortage ???

Yes It's Becuase Many managers Have Tieups/share with Consulting Companies (which they call Prefered Vendors). All these Consulting Companies Pay $$$$ per Hour to the Managers .

That's why many managers Creates new Jobs to make extra $$$$.that too when they hire people thru prefered vendors they will take formal interviews just to show off / name sake ( of course the prefered Vendor already know what questions they ask in Interviews.)

That's the IT Industry Man

Shadow Dwarf :

Patrick, where are you located? Maybe you need to relocate to a market where your skills are more in demand.

There are two views here macro and micro; I think the article is taking a macro view and you're taking a micro (or local) view. Maybe you're both right.

-SD

Carlos :

I'm associated with a recruiting firm, as it's hard to get qualified IT personnel. A diploma is the first qualification but that's not all. Lack of experience and real exposure to business environment is a major concern.

Shaun :

Like with many things the issues are regional. But in general there is a large and growing shortage of IT people throughout North America. There is numerous research to that affect and with the number of people set to retire over the next 10 to 20 years this is expected to get a lot worse. And it's not just an IT problem.

My company is in Vancouver, BC and we would be growing at a much faster rate if there were more suitable people to hire. But despite the overall shortage I still say "suitable" because bringing the wrong people onboard is almost universally worse than growing slower. By "wrong people" I simply mean someone wrong for the job for any number of reasons, from not being suited to the characteristics and demands of the position, to not being suited to the corporate culture.

Even when there are lots of candidates available, many will be unsuited to specific positions. When the pool is smaller it becomes that much more difficult to make a good match. Smart hiring managers recognize when someone is taking a position because they need a job, rather than wanting *that job*. Hiring that person is usually a losing investment. By the time they are of real value to the company they have found something closer to what they wanted in the first place and they're gone. And you've wasted time, effort and money. So lots of companies will go the experience only route to mitigate this - if the employee is good to go in the position, the ramp up investment is minimal and you don't get as dinged if they are a short term hire.

I've heard something like only 16% of the available workforce are registered or active users of online jobsites. Which means the vast majority of positions are being filled through other means - which means to me both employees and employers need to be more creative if they are not having success with those resources.

Step :

I've recently had to fill two C#/Share Point positions in the Midwest. First one took 5 months to find a qualified candidate. Second one took 3 months and I had to eventually get a contractor through an agency. I must have interviewed 15+ candidates for both positions. It seems as if the top people are staying put and only the lower level people are actively looking.

Torre :

I have been attempting to fill a network administrator/engineer and a server administrator/engineer for the last 8 months and have been unable to find available qualified candidates. Our pay and benefits are very competitive for our Midwest area but the lack of candidates and qualified candidates is surprising. Three years ago I would have had ten to twenty times the number of applications I have been getting. Training is not an issue as we have a very diverse environment and I would not expect anyone to fill all aspects of the positions without some training. Go figure! Torre

Albert :

I agree with the regional area problems. I have interviewed many candidates for Field Service Technician positions and was not impressed with their level of interest. As one previous person posted, wanting the job and needing a job are two very different things. I have been in the IT industry for 20 years plus. I am a certified IBM Engineer and have various certifications. I pride myself in my diagnostic abilities as well as being able to provide top-level Customer Service.

Having moved from a large metropolitan area, Los Angeles California to a small city/county in southern Oregon, makes a huge difference in quantity of jobs and pay scales. I'm not wishing to relocate back into a larger city but am seeking a new job that I can continue to climb within. Landing a job with a large company that has room for growth is difficult because those already in the positions do not tend to leave. Being willing to relocate is often what it will take to land the right job for the right person.
Albert

Pat :

Patrick
You say you are qualified for Network Engineer?
Have you had any Novell expertise?
The company I am at right now is looking for a Novell Network Engineer, they are getting a bit scarce.
Pat

MO :

Why would anyone want to get in to IT at this time? Candidates are hard to find because the good ones are burnt out and refuse to take jobs that appear to be well-paying. They know that when they get hired, they'll be working 80 hours a week to make up for the slackers they work with. If you break it out to an hourly wage, most IT professionals are pulling $10/hour if they're lucky. IT is crap.

Albert :

A job is what you make of it. The grass is not always greener on the other side. Having worked in the following industries, Manufacturing, Retail, IBM VAR/IR, Local City Government, and now Not-for-Profit Health Care, I have seen many shades of green.

I’ve had my share of 80 hour work weeks at the salary rate of another 40 hour tech, traveled up to 120 miles in any direction for an IBM Re-marketer, dealing with employers that only increase your salary or hourly wage based on Cost of living adjustments, which generally range in the 3% or 4% of your current rate.

I endured those jobs because I love what I do. I enjoyed each one of those jobs. I often counseled and suggested to those constant complainers to move on and not waist a third of their life at a job they despise.

Work at improving what you know and love. The rest will come with a little work. Look at all the benefits and rewards of the job, they often make up and/or surpass the salary difference between one job and another……… Albert

Patrick :

Pat,

I am in the Greater Cincinnati/N. Kentucky area and yes I have been working with Netware and Netware clients since Netware 2.2 and 3 were the standard. I am also quite good with Groupwise. I've done server builds/engineering with Netware 4 and have some Netware 5 experience as well.

I also have alot of experience migrating networks and e-mail systems from Groupwise/Lotus Notes to Microsoft Exchange.

If they are looking for CNE Master CNE... I do not have em' but that doesn't mean I don't speak Netware.


Patrick :

Torre,

What are the qualifications for the Network Admin/Server Admin/Engineer positions you are speaking of?

I've been doing Windows networks since Windows 3.11 for Workgroups... just finished a gig providing 2nd level support and administering 6,288 Microsoft Clusters/VMWare boxes and regular servers and did not have any problem with the technology. I think and feel I am qualified to be a Network Admin at least... I have also built and system engineered entire networks including all the applications and application integrations that go with it. Also trained designated on-site personnel to be the network administrator (these were originally semi-technical admin personnel).

Em-me :

As a CEO, I agree with Shaun. Many of the candidates are primarily interested in a great job, with great pay and benefits but are somewhat dismayed if the job is difficult or the customer needs some nurturing, hand holding or even coddling. It has been my experience (CISSP-ISSMP former CIO) that technical skills with people and business skills are now preferred and more than essential.

I can tell you I am tired of hearing how can I a business owner provider more money for someone to have less of a commute.

Our company provides good benefits competitive with large firms. We enjoy paying and rewarding those who perform.

The shortage is, in my humble opinion, one of IT personnel who are more than a one trick pony.

Em-me

Winston on Truth :

Oddly enough, this report is generated by Robert Half, because they pay the lowest wages to consultants (or temporary workers) than any other placement firm. I've had several opportunities to fill some of their job opportunities as a Sr. Consultant/Project Manager but turned them all down due to the low hourly rates. I'd never work through Robert Half.

In reading through the comments here I see the same old thing, Ageism in IT is alive and well.

Companies find all sorts of excuses to not hire someone over 40 and avoid breaking the law. Here are a few that I've heard and are repeated in these comments:

"unsuited for the position"
"not suited for the demands of the position"
"not suited to the corporate culture"

What they would say if they were honest is "Get lost old man."

chuck :

RE: "two C#/Share Point positions" - this is the problem.

Instead of general IT programmer, DBA or engineer positions, recruiting has become a game of "buzzword bingo" with employers looking for very specific shopping lists of application domains and platforms/languages. The H1-B phenomenon fed into this because of the resume gamesmanship that was perfected by the outsourcers.

True, there is a shortage. :

I believe there is a shortage of qualified candidates.

Finding a programmer that can gel with the team is next to impossible which is the most important overall factor.

If you did get asked for a second interview that means you need to update your skills or look how you are coming across in other peoples eyes.

txtechie :

True, there is a shortage:

You're right. I just read an article where it said the #1 concern for CIOs is "Lake of IT Talent Shortage" -- based on Society for Information Management survey. They cited retiring baby boomers & not a deep enough bench to make up for it.

For those of you complaining about not finding jobs, look at itzbig.com, they are geared toward IT/tech jobs -- only in Texas right now -- but expanding West soon. They use a web 2.0 platform so you're profile (no resume posting-totally anonymous) is matched, scored & ranked, and then the top candidates are put in real-time, direct communication with the hiring company...Much more intuitive and efficient than anything else I've seen.

Patrick :

Seems like everyone stopped posting and disappeared.... so much for the discussion.

txtechie, there is no shortage of talent... whether its talent that is a fit for the job... or talent that is skilled in a similar skillset that a mere few thousand of training in x could make them skilled.

I have at least three years of installing and operating Unix systems... but I havent worked (other than a machine here and there) with Unix fulltime for a few years. Does that mean I am unqualified for a current Unix position? No. It just means I would need a little ramp up to absorb the new stuff.

... but of course companies won't do that... and it isnt always that easy to get machines to run expensive enterprise class software on to learn myself (although I have a machine that can run all flavors of Unix).

The bottom line is companies want someone who fill a particular role right now. They do not want to train or ramp up.

You and I will agree that it makes sense to have some flexibility but they would rather wait four months to fill a position than wait four months for the ramp up.

Southbaysteve :

There is no 'shortage' of qualified IT personnel in the Los Angeles area. I live here and I am in the IT game so I am can say for sure, there is no shortage. I watch 5 job boards, and my name is all over them. I get MANY calls from recruiters from all over (I have a 7 page resume as well) with tons of skillsets. The only thing I can say is that company recruiters are targeting a PERFECT match instead of doing what they could to find an appropriate match. Many companies here in LA want to pay only as much as they should, if they were located in the Midwest so I am not attracted to that. In most cases, I ask them up front how long they've been looking and it's less than 2-3 weeks, but they are not paying what they should for the area. LA is the 2 or 3rd highest cost area in the country for living expenses. There is no reason not to pay reasonable compensation. It'll cost me $5000 to get a CISSP or a CCNP. Why shouldn't the company pay for these benefits of employing my skillsets? Because they have unfortunately bought off on the bogus idea that their salary is in line with the "national" standard for that role, but conveniently neglected to review the comment for high cost of living areas. Just simple gamesmanship. Nothing more. They pay as little as the next candidate with reasonably acceptable skills will tolerate. That's about the bottom line. Recruiters are NOT looking to find the right candidate; they are looking to make a profit. Companies are looking to reduce the cost of IT (about 20% of company profits in some cases, sometimes more) and therefore IT salaries are a big portion of reductions. A BS IT costs no less than $40000 to fulfill in the US. Why would ANY company expect that the skillsets gathered would only be worth that much money as a starting point? If $40K is a "starting salary", how can the candidate afford to live in the company's area, unless its in a lower cost of living area (not in the LA area) or a danerous place such as Watts or East LA? I wouldn't put my safety at risk for any company. Companies are only there for their shareholder's interests or the needs of the leaders. They don't care about IT, although they need it's expertise. They DO care that it costs them more than the value proposition in their estimation, and therefore are very hesitant to actually pay some candidate a salary commensurate with the area's expenses and the skillsets that the company would benefit with the candidate joining their team.

There is NO shortage, except of trust and true concern for community. There is however a GLUT of greed and selfishness disguised as "good business practice".

IT folks: Play the game. Learn business terminology and understand a value proposition. Understand that IT is only as good as the best effort to reduce the costs of the company using it to gain an advantage over their competitor business. Understand that an IT manager is only there to represent THEIR interests, not the best needs of the company. Their job is to stay employed for their families. Nothing wrong there, but taking a risk on your behalf is not on the menu for success. Talk about how you REDUCE costs and risks. Talk about how you can preemptively address issues before they can become a managerial issue. Talk about how you solved your last company's crisis with a stick of gum and a paperclip, rescuing their data from the brink of a catastrophe. Don't talk tech. Talk business.

Sorry for the dissertation. It's on my mind too.

Jack :

Dude,
Sounds like you know what your talking about as far as experience. I live just north of Dayton so I am sort of in your area. Jobs right now are crazy. I posted with monster a week ago and I've had 1 interview and 2 more next week. My own experience, 5 years, is object oriented. I started looking for the pay increase and change of scene. The jobs are there. Just spit balling here but maybe you don't interview very well. If you can get into a job that requires a clearance you can find all kinds of thing in south Dayton(about 30 min.) drive for you. Best of luck brother, don't get depressed or discouraged.

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