July's figures are seeing the trend for cooling off of candidates expectations and a slight increase in employers offerings. The big firms are still paying a premium for the best talent.
June's figures are showed a cooling off in expectations of job seekers salary demands. Firms have held firm on their salary offerings for most of this year and then paid a premium for the top talent, sometimes as much as 15% over advertised salaries. July continues to follow this pattern.
We mentioned that last month a few firms had broken ranks and started to offer more. July sees one of the bigger firms take the plunge and try to get ahead of the pack. However, this hasn't really had an impact yet in terms of starting salaries because this tends to take up to 6 months to filter through.
Permanent salaries have been showing a steadily increase for the last 12 months but this is cooling off now. The salaries on offer from clients are quite steady and considerably less than the salaries being demanded by potential candidates.
Bonus have been lower this year in areas not related directly to sales.
We are not expecting to see upward pressure on bonus for at least the next 12 months.
The chart to the left shows the combined effect of average base salary and average bonus reported and then combined into a total compensation package. No allowance for additional compensation is made such as cars, pensions and other such benefits.
Interim Day Rate
Demand is driving the day rates up for senior staff.
The ‘Associate Consultant’ model operated by a large number of the boutique firms is thriving and their reduced operating costs has allowed them to compete for the best contract talent with improved day rates. This trend is only going to continue in our opinon.
Where did our data come from?
The data for this month's survey results was gathered from 2312 people and 93 firms.
Our normal smoothing was applied which includes removing the top and bottom 5% of data converting as input data to UK £ Sterling.