| | Top-Consultant.com and
sister site
TopITconsultant.com have
published their annual
salary benchmarking
report, detailing
remuneration levels and
trends in the IT
consulting and
management consultancy
sectors.
Based on detailed
survey responses from
over 1,600 readers, the
report highlights that
pay rises and bonuses in
the last 12 months have
been modest at best –
with the biggest gainers
being those who have
secured a rise through a
change of employer.
Tony Restell, author
of the report, comments
that “overall the
picture is one of modest
gains in remuneration
over the last year, with
a significant proportion
of consultants –
particularly at the
lower levels – seeing
their real incomes | |
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| | actually shrinking”.
The key findings
illustrate that the
consultancy market is
now a mature
price-sensitive
industry, less able to
pay headline-grabbing
salaries than it could
during the dot-com era:
? Pay rises averaged
6% for those who
received one – however
26.5% of consultants
received no rise over
the course of the last
12 months.
? Bonuses averaged
13.5% of basic salary
for those that received
a bonus – but 33.4% of
respondents received no
bonus this last year.
? This bonus figure
is down from 14.6% a
year ago – and the
proportion receiving no
bonus has also risen –
highlighting the fact
that margins are tight | |
|
| | in consulting and
rewards are being
targeted at individuals
whom the firms are most
concerned to retain or
to entice into
employment.
? The likelihood of
not receiving any bonus
is far higher for those
in the earlier years of
their career, with 50.7%
of junior consultants
and 36.6% of senior
consultants receiving no
bonus this last year.
The report
illustrates that
consultants a couple of
years into their careers
can expect a total
remuneration package of
£42,700; this rises to
£79,700 by the time a
consultant turns 30;
those making it to
partner can, on average,
expect total
remuneration of
£167,600. For a small
minority of top | |
|
| | partners, remuneration
can even become a
multiple of this amount.
The figures, though,
highlight why consulting
firms have been
struggling to hit their
recruitment targets in
recent quarters. From a
purely financial
perspective, the
attractiveness of
employment in the City
has left consulting in
its wake. At the same
time, many recruiters
questioned for the
report confirm that FTSE
employers are offering
more attractive packages
to those who move out of
consulting than those
who remain in the sector
can secure. The overall
impact is a brain drain
out of consulting and
into those sectors of
the economy that can
afford to pay more for
talent.
Amongst the
categories of consulting
assessed within the | |
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| | report, strategy
consulting and business
transformation/change
management consulting
emerged as the two areas
of consulting most able
to compete for talent on
financial terms.
Consultants surveyed
from these sectors
typically enjoyed the
highest basic salaries
and the highest total
packages (basic +
benefits + bonus) across
the various grades of
consultant.
The full report is
available for download –
readers wishing to
download a copy of the
full 2007 salary
benchmarking report (in
PDF format) may do so by
clicking here
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