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Is it time for the IET to conduct a new Salary Survey - for the benefit of all UK and Ireland Members and Employers?








Is it about time that the IET carried out another UK and Ireland Engineering Salary Survey before Brexit Chaos Ensues ? On 6 Feb 1998 the IEE received responses from some 10,575 UK and Eire based Fellows, Members, Associate Members and Associates at a time when the total UK wide IEE Membership was 69,775. The recent Salary Survey 2019 - published in The Engineer Magazine in collaboration with CBS Butler received responses from just 1568 engineers covering 12 engineering sectors, ranging from Academia, through Rail and Infrastructure, Defence and Security, Automotive, Aerospace, Telecomms/Electronics, Food and Drink, Chemicals, Oil and Gas and Energy/renewables/nuclear, 3 levels of responsibility (Junior, Senior/Manager and Director) and 6 geographical regions. This works out to be 12 x 3 x 6 groups spread over 1568 data points i.e. an average of just 7 data points per cell. Needless to say this Survey could not show either salary medians, upper and lower quartiles nor any analysis on the basis of Class of Membership e.g. Chartered, Incorporated, Technician. By comparison the IEE Salary Survey 1998 covered six responsibility levels and was able to show meaningful statistical data by age group in 5 year age bands from graduation to retirement. The IET alone now has 168,000 members in 150 countries world wide, surely a golden opportunity for a New Salary Survey? The President Elect, Dr Peter Bonfield asked us, at his recent address, entitled 'The Future of Engineering' given on 3rd July 2019, at The University of Hertford, for suggestions to facilitate the ongoing advancement of the IET Profession both individually, collectively, educationally, and reputationally in the public eye in order to encourage many more bright youngsters and school leavers to take Professional Engineering in the UK as their career of first choice. Maybe this survey would provide an up to date view of where we are and where we need to make improvements for the sake of all our futures.




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  • To play Devil's advocate (I actually always rather enjoy salary surveys), who would it benefit? UK engineering salaries are pretty much a free market, employers will pay just what they need to attract and retain the right candidates, which for an individual employer for an individual role in an individual part of the country can easily be 20-30% or more away from the median in either direction. So personally I do tend to find that, although interesting, they're often not particularly useful. The argument goes that if you're not paying enough you know it because you can't find staff, and if you're overpaying you know it because your competitors undercut you. So that it all tends to sort itself out.


    In fact, back in the days when I used to recruit I remember having furious arguments with HR, who loved living by salary surveys, where I would point out that we needed to pay what we needed to pay to find the right staff (because of where we were based we had a very small pool to choose from), and if that meant we had to pay a "graduate" salary to a non-graduate then tough!


    It's very interesting to compare the situation in the UK, where individual salaries are pretty much secret, with, say, Scandinavia where they tend to be open and published. I honestly wouldn't like to say which works better, I suspect the Scandinavian system is fairer overall but perhaps doesn't allow so much for individual situations. Sorry, that's a bit off topic...   


    Not trying to say I disagree that a salary survey should be run; rather, I'm trying to flush out what makes a good and useful salary survey by thinking about what the end benefits would actually be and to whom?


    I will say my personal view is that to be really useful to either job seekers or employers it has to be very granular for role, industry and location in the country, unfortunately to the point where it can be quite hard to get significant data and to make it readable. And also, and this is where the IET (and IEE before it) always struggles, it needs to cover engineering staff both inside and outside the Institutes. Most engineers are not members of a PEI, those that are tend to work in very specific industry sectors which can have quite different salary structures (not necessarily higher or lower, just different) to those with few PEI members. And it's hugely important to recognise both.


    But very interesting suggestion, look forward to seeing where this goes! 


    Cheers,


    Andy

Reply
  • To play Devil's advocate (I actually always rather enjoy salary surveys), who would it benefit? UK engineering salaries are pretty much a free market, employers will pay just what they need to attract and retain the right candidates, which for an individual employer for an individual role in an individual part of the country can easily be 20-30% or more away from the median in either direction. So personally I do tend to find that, although interesting, they're often not particularly useful. The argument goes that if you're not paying enough you know it because you can't find staff, and if you're overpaying you know it because your competitors undercut you. So that it all tends to sort itself out.


    In fact, back in the days when I used to recruit I remember having furious arguments with HR, who loved living by salary surveys, where I would point out that we needed to pay what we needed to pay to find the right staff (because of where we were based we had a very small pool to choose from), and if that meant we had to pay a "graduate" salary to a non-graduate then tough!


    It's very interesting to compare the situation in the UK, where individual salaries are pretty much secret, with, say, Scandinavia where they tend to be open and published. I honestly wouldn't like to say which works better, I suspect the Scandinavian system is fairer overall but perhaps doesn't allow so much for individual situations. Sorry, that's a bit off topic...   


    Not trying to say I disagree that a salary survey should be run; rather, I'm trying to flush out what makes a good and useful salary survey by thinking about what the end benefits would actually be and to whom?


    I will say my personal view is that to be really useful to either job seekers or employers it has to be very granular for role, industry and location in the country, unfortunately to the point where it can be quite hard to get significant data and to make it readable. And also, and this is where the IET (and IEE before it) always struggles, it needs to cover engineering staff both inside and outside the Institutes. Most engineers are not members of a PEI, those that are tend to work in very specific industry sectors which can have quite different salary structures (not necessarily higher or lower, just different) to those with few PEI members. And it's hugely important to recognise both.


    But very interesting suggestion, look forward to seeing where this goes! 


    Cheers,


    Andy

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