Engineering sector sees salary growth
Published: 24 March, 2020
Salary levels across the engineering sector continued to grow last year, as the industry witnessed steady salary increases across a variety of job roles, according to new data released by Reed Engineering.
From analysis of 7.5 million jobs posted since the start of 2016, the Reed Engineering Salary Guide 2020 – part of the company’s annual suite of salary guides – found that the engineering sector remained solid going into 2020. The sector saw a 0.9% growth in the number of jobs posted, bolstered by a 2.1% average increase in advertised salaries resulting in a wage of £42,000 for executive roles. However, the sector does lag behind others in terms of overall salary growth.
Engineering not the only sector showing growth
Despite the steady salary growth in the engineering support sector, this was not the highest growing sector. The technology sector experienced 13.8% growth in the level of roles advertised. While the hospitality sector experienced an increase of 6.1% per cent in salaries over the past 12 months.
The engineering industry was the fourth highest when it comes to average salary for its executive roles at £42,767. Despite tough trading conditions reinforced by business and consumer uncertainty caused by Brexit, the sector has been able to maintain growth for both salary levels and the level of job roles being advertised since 2017.
Mark Brown, Reed Engineering expert, said: “The fallout from Brexit has meant engineering businesses have seen a large number of projects put on hold. Recruitment has taken a domestic focus due to the economic and political uncertainty that has been created.
“Yet, the sector continues to perform steadily and has been able to maintain salary levels for its employees in order to attract the best talent from a smaller pool. With greater clarity surrounding Brexit and an uplift in economic confidence, we expect to see an upward turn in salaries, as well as growth in roles. This will be more visible in the coming year as more projects – which have been previously delayed – get given the green light.
Businesses recruiting to adapt to changing business climate
Of the salary increases identified, some roles have benefitted more than others in the last year. And the biggest percentage of wage increases can be seen below the £40,000 mark, including CNC programmers (5.5%) and field service engineers (2.9%).
For salaries above £40,000, roles with the highest increases include programme managers (5.6%) and engineering directors (2.9%).
Brown continued: “With investment expected to grow in the sector over the next year, employers will be searching for candidates who can fit into the working environment and culture, while employees are wanting flexibility and additional benefits. To achieve this,
getting the right pay rates is always essential. Employers can use our annual salary guide to help understand the changing climate within the sector.
“We expect to see engineering professionals continue to be in demand as companies look to push forward with projects and plan ahead in the coming months – now that the future is becoming clearer. Employing the right people and capturing the best talent will be crucial to helping businesses achieve their goals. These salary guides will give an indication of where the competition is and where it is going to be in 2020 and beyond.”
