REPRESENTING THE REMUNERATION OF 130,000 ENGINEERS YOUR GUIDE TO EFFECTIVE ENGINEERING REMUNERATION PLANNING
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2012 Salary & Benefits Survey
Engineers Australia Salary & Benefits Survey
2012
Your guide to effective engineering renumeration planning
Published January 2013
Published by Engineers Media, a wholly owned subsidiary of Engineers Australia
Engineers Australia Salary and Benefits Survey 2012
i
2012 Salary & Benefits Survey
2012 Salary & Benefits Survey
© Engineers Media 2013
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Published by Engineers Australia Pty Limited (ACN 001311511), trading as Engineers Media, a wholly owned subsidiary of Engineers Australia.
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Engineers Australia Salary and Benefits Survey 2012
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2012 Salary & Benefits Survey
Foreword Remuneration is an important aspect of career planning for engineers and the companies they work for. I am delighted to be able to offer the Engineers Australia Salary and Benefits Survey, which is now in its tenth year. The survey was produced by our subsidiary company Engineers Media, using data from a survey conducted by newfocus research strategy and implementation. I would like to thank the 383 engineering companies that contributed to this years survey for their support. Recruitment and retention of suitable, qualified engineers is still an issue for many of the companies we surveyed. This salary and benefits survey is part of the package that we offer to members (and their employers) for career development. Other services include assistance with resume writing, helping understand the importance of Chartered Status, and general career advice on matters such as performance reviews and further training. Additional related information is available once you are logged in as a member at the Engineers Australia website – www.engineersaustralia.org.au click on the professional development tab, then go to the career development centre. I trust that the data in this publication will assist you with your workforce salary and remuneration planning for the next year. Jennifer O’Donovan Manager Career Development Centre Engineers Australia
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Engineers Australia Salary and Benefits Survey 2012
2012 Salary & Benefits Survey
Contents 1
General Information1
2
Introduction2
2.1 Background
2
2.2 Aims and outcomes
2
2.3 Methodology and sample
3
3
Executive summary4
4
Findings5
4.1 Key findings – salaries and conditions, Chartered Professional Engineers, hours worked, professional development, benefits
5
4.2 Other findings – extra salary or benefits, overtime, performance reviews, percentage increases, paid leave, postgraduate qualifications, female engineers, HR issues
18
4.3 Sample characteristics
28
5
Salary tables31
5.1 Terms used
31
5.2 Description of grades
31
5.3 Engineers’ salary tables – total sectors by discipline and grade
32
5.4 Engineers’ salary tables – private and public sectors by discipline and grade
35
5.5 Engineers’ salary tables – private and public sectors by discipline, grade and location
39
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Engineers Australia Salary and Benefits Survey 2012
2012 Salary & Benefits Survey
Contents 1
General Information1
2
Introduction2
2.1 Background
2
2.2 Aims and outcomes
2
2.3 Methodology and sample
3
3
Executive summary4
4
Findings5
4.1 Key findings – salaries and conditions, Chartered Professional Engineers, hours worked, professional development, benefits
5
4.2 Other findings – extra salary or benefits, overtime, performance reviews, percentage increases, paid leave, postgraduate qualifications, female engineers, HR issues
18
4.3 Sample characteristics
28
5
Salary tables31
5.1 Terms used
31
5.2 Description of grades
31
5.3 Engineers’ salary tables – total sectors by discipline and grade
32
5.4 Engineers’ salary tables – private and public sectors by discipline and grade
35
5.5 Engineers’ salary tables – private and public sectors by discipline, grade and location
39
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Engineers Australia Salary and Benefits Survey 2012
2012 Salary & Benefits Survey
2 introduction 2.1 Background Engineers Australia is the key representative body for Australian engineers across all engineering disciplines and has a membership base of over 100,000. The organisation aims to enhance both the influence and professional standing of engineers in the community, and includes a range of activities such as: • advancing the science and practice of engineering • cultivating lifelong learning by members • promoting the contribution of the profession • championing professional and ethical conduct • celebrating excellence in engineering outcomes • sustaining the integrity of the profession • taking the lead in advocacy of the profession • welcoming all those who wish to practice engineering • allowing members’ aspirations to flourish, and learn from their creativity and innovation • drawing inspiration from an engineering heritage. The contribution of Engineers Australia to the engineering community is highly valued, with the organisation providing members with such resources as networking events, seminars, career advice and publications. This report continues the salary and remuneration studies that newfocus has undertaken on behalf of Engineers Australia since 2003. The survey has undergone minor modifications across the years to ensure the most relevant data is captured. Since 2006, questions were included to assess the extent of the skills shortage in the engineering industry, as well as the impact it has had on engineering organisations. In 2009 additional questions were included to capture anticipated industry skills shortages. The total number of employers who completed the survey was 383, a decrease from the 429 captured in 2011. Although lower than the number we have seen in the past two years, this number of completed interviews is still comparable with the numbers from previous years, such as in 2009 (n=395). Although 46 fewer surveys were completed in 2012, the responses are reflective of
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Engineers Australia Salary and Benefits Survey 2012
the working conditions of approximately 130,298 permanent professional engineers, a significant increase from 2011 with more instances of organisations with large numbers of engineers in 2012.
2.2 Aims and outcomes The general aim of this study was to investigate the employment conditions of professional engineers. More specifically, this included obtaining data relating to: • staff numbers: − total number of staff employed in the company − breakdown of part-time and full-time engineering staff − types and grades of engineers employed − location (by state) of engineering employees − number of engineers employed who are under 30 years of age − any shortages of engineers (in relation to type of engineer, grade and location by state) − issues experienced by companies due to recruiting difficulties − the consequence of professional engineering skills shortages for the company − any anticipated shortages of engineers (in relation to type of engineer, grade and location by state). • salary of engineering staff: − monetary value of package items and content of package (for example, mobile phone, car, etc) − extra benefits for engineers working in remote areas or cities with above-average living expenses − annual salary increases − anticipated salary increases. • company policies pertaining to: − sick leave − annual leave
2012 Salary & Benefits Survey
− maternity/paternity leave − carer’s leave − compassionate leave − study leave − overtime. • number of hours worked per week by: − all staff − engineering employees. • postgraduate qualifications of engineering employees • the employment and salary conditions of Chartered Professional Engineers (CPEs) and perceived benefits of employing CPEs • whether the company has an Engineers Australia Professional Development Plan (PDP) in place • whether company training is provided to engineering students • biggest HR challenges facing the organisation. The survey conducted by newfocus has facilitated the production of a report that addresses these points and provides Engineers Australia, as well as engineering organisations, with valuable insight into the salary and remuneration packages offered to engineers.
2.3 Methodology and sample An online survey methodology was again used in 2012. This year conscious efforts and strategies were made during the project setup phase to boost the response rate, including ensuring the survey was active prior to commencing marketing efforts. Furthermore an item in the eNews email newsletter,
produced by Engineers Media, advised of the survey and encouraged participation. This, combined with other marketing and promotional activities, has been very effective in significantly improving the response rate from previous years. In addition to this, Engineers Australia supplied newfocus with lists of potential respondents, which included those with PDPs in place. A number of incentives were again offered to respondents in order to boost the response rates. Respondents were: • given automatic entry into a draw for a choice of either an accommodation package at a top class hotel in their nearest capital city up to the value of $750, a Coles Myer voucher to the value of $750 or an iPad and accessories to the value of $750 • offered a copy of a summary report and discount on the price of the full report. Response rates were monitored on a daily basis throughout the research. Two reminder emails were sent to those on the lists. The survey was active from 24 September to 29 October 2012. Those individuals who participated in the survey were employers within engineering firms who had a thorough knowledge of the salary structure within their organisation. As an example, the types of people who responded included managers, human resource managers, payroll officers and a variety of different types of engineers (eg mining, electrical, etc). In 2012, a total of 383 respondents completed the survey, which provided a strong sample for comparison with the 2011 (n=429) and 2010 (n=447) results. The 2012 respondents represented approximately 130,298 engineers.
Engineers Australia Salary and Benefits Survey 2012
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2012 Salary & Benefits Survey
3 EXECUTIVE SUMMARY The average base salaries and salary packages of professional engineers in 2012 fell by 3% from 2011, the first decrease in the history of this survey. The largest declines were observed in the public sector with a 7% decrease in both base salary and package. In the private sector, the average base salary declined by 1.9% and the package decreased by 1.7%. Despite this fall, the average level for both base salary and salary packages across both sectors remains above the $100,000 mark, broken for the first time last year, at $100,644 and $113,421 respectively. Across both sectors, the average base salaries for Grade 4 and 5 engineers (with more than 10 years’ experience) fell by 4% and 5% respectively. Grade 3 engineers (4-10 years’ experience) recorded a slight salary increase, while Grades 1 and 2 observed a small decrease. Eighty-three of respondents said they had a chartered engineer in their organisation. Of these, 24% indicated that chartered engineers were paid more than other engineers with comparable duties. The main benefits of employing chartered engineers were cited as industry recognition, experience and professional image. On average, engineers in the private sector work longer hours than their public sector colleagues. While 68% of public sector full-time engineers worked 36-40 hours per week, only 30% of private sector engineers did so. Conversely, 57% of private sector engineers worked 41-50 hours compared to 27% of their public sector colleagues. The number of organisations reporting having a Professional Development Plan in place for their engineers increased to 43% from 36% last year.
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Engineers Australia Salary and Benefits Survey 2012
The most frequently mentioned salary package benefits were mobile phones, professional memberships, laptops, performance bonuses and vehicles or vehicle allowances. These results are similar to previous years. Engineers in the public sector enjoyed more generous paid leave provisions on average than those in the private sector. The majority of public sector respondents offered paid study, maternity, carers’ and paternity leave. In the private sector, paid study leave declined with 40% of organisations offering this option compared to 43% in 2011 and 47% in 2010. However, the private sector recorded increases in the percentage of organisations offering paid maternity, paternity and carer leave. The percentage of women in the engineering workforce increased in the private sector. While 42% of private sector respondents said women made up 2% or less of their engineers, this is a decrease from 50% in 2011. This was accompanied by increases of around 5% in the respondents reporting 6%-10% and 11%-20% women. On the other hand, female engineers in the public sector fell, with the percentage of respondents reporting 0%-2% of female engineers increasing from 27% to 32% with corresponding falls in most other bands. Recruitment, retention and remuneration remained the main human resources challenges cited. Professional engineer skills shortages were reported by 56% of respondents with civil, electrical and mechanical engineers being the most soughtafter. The consequences of skills shortages were reported as moderate by 54% of respondents and severe by 31%, while 3% said they did not proceed with a project due to skills shortages.
2012 Salary & Benefits Survey
4 Findings
4. 4.1 4.1.1
4.1 Key findings
Findings
4.1.1 Average salaries – total (private and public sectors combined) Average salaries – total (private and public sectors combined)
Key findings
$120,000 Findings
4.
$100,000
110,870 95,410
117,030 104,156
113,421 100,644
Mean
Mean
Mean
Mean
4.1 Key findings Overall, the average base salary and salaries – total (private and public sectors combined) salary packages for engineers in 4.1.1 Average$80,000 2012 fell slightly with both figures $60,000 117,030 $120,000 113,421 110,870 down by 3% from the levels seen in 104,156 100,644 95,410 $40,000 $100,000 2011, the first time such a fall has been recorded. Despite this fall, the $80,000 $20,000 average level for both base salary $60,000 $0 and salary packages remains above 2010 (n=416) 2011 (n=416) 2012 (n=366) $40,000 the $100,000 mark at $100,644 and Base Salary Salary Package $113,421 respectively. $20,000 In line with the overall trend, $0 2010 (n=416) 2011 (n=416) 2012 (n=366) the average reported base salary 4.1.2 Average salaries – private and public sectors separated Base Salary Salary Package and salary package in the private 4.1.2 Average salaries – private and public sector also fell. However, these falls 119,309 117,346 sectors separated were almost negligible with falls of 113,156 $120,000 107,994 106,112 4.1.2 Average salaries – private and public sectors separated 104,059 100,510 1.9% for base salary and 1.7% for 97,462 95,902 96,401 $100,000 89,462 salary package. At $104,059 and 85,851 119,309 117,346 113,156 $120,000 107,994 $117,346, the reported average base $80,000 106,112 104,059 100,510 97,462 95,902 96,401 $100,000 salary and salary package continued $60,000 89,462 85,851 $80,000 the trend of eclipsing the overall $40,000 averages. $60,000 $20,000 Despite a large 11% increase $40,000 $0 in both base salary and salary $20,000 2010 2011 2012 2010 2011 2012 package levels from 2010 to 2011, (n=353) (n=292) (n=74) (n=63) (n=72) $0(n=340) 2010 2011 2012 2010 2011 2012 the average salaries in the public Private(n=353) Sector Public Sector(n=72) (n=340) (n=292) (n=74) (n=63) sector in 2012 fell by 7% to levels of salary SalaryPublic package PrivateBase Sector Sector $89,462 and $100,510 respectively Base salary Salary package for base salary and salary package. However, as stated last year,Overall, cautionthe average base salary and salary packages for engineers in 2012 fell slightly with Overall, the average base salary and salary packages for engineers in 2012 fell slightly with both should be used in interpreting these figures down by 3% from the levels seen in 2011, the first time such a fall has been recorded. De figures down by 3% from the levels seen in 2011, the first time such a fall has been recorded. Despite figures due to the small sample sizes. this fall, the average level for both base salary and salary packages remains above the $100,000 m this fall, the average level for both base salary and salary packages remains above the $100,000 mark
at $100,644 and $113,421 respectively. at $100,644 and $113,421 respectively.
linethe withoverall the overall trend, averagereported reported base base salary salary package in theinprivate In line In with trend, thethe average salaryand and salary package the pri sector also fell, however these falls were almost negligible with falls of 1.9% for base salary and 1.7% sector also fell, however these falls were almost negligible with falls of 1.9% for base salary and 1 for salary package. At $104,059 and $117,346, the reported average base salary and salary package for salary package. At $104,059 and $117,346, the reported average base salary and salary pack continued the trend of eclipsing the overall averages. continued the trend of eclipsing the overall averages. Despite a large 11% increase in both base salary and salary package levels from 2010 to 2011, the
Despiteaverage a largesalaries 11% increase in bothsector base insalary salary levels fromand 2010 to 2011 in the public 2012 and fell by 7% package to levels of $89,462 $100,510 base public salary and salaryinpackage. As stated caution should beand used$100 in averagerespectively salaries for in the sector 2012 fell by 7%lasttoyear, levels of $89,462 interpreting these salary figures, however, due to the small As sample sizes.last year, caution should be use respectively for base and salary package. stated interpreting these figures, however, due to the small sample sizes. 4344_EA_2012 SalaryStudyRpt
—4
4344_EA_2012 SalaryStu
Engineers Australia Salary and Benefits Survey 2012
5
2012 Salary & Benefits
Salaries and conditions
The total range of salaries for professional engineers was broken down into base salary and sal packages in the private and public sectors. In addition, salaries were broken down into five grad which indicate years of experience. These grades are defined as follows: Survey • Grade 1 represents starting salaries for engineers with a bachelor in engineering (four ye as a minimum tertiary qualification 4.2study) Salaries and conditions •TheGrade 2 represents engineers with 2 to 3engineers years experience total range of salaries for professional was broken down into base salary and sal •packages Grade 3inrepresents 4 to 10 years experience the private and public sectors. In addition, salaries were broken down into five grad •which Grade 4 represents 10 to 15 years experience indicate years of experience. These grades are defined as follows: •• Grade 5 represents 15 years experience and over Grade 1 represents starting salaries for engineers with a bachelor in engineering (four ye
4.1.3 Average salaries – private and public sectors combined, by grades of study) as a minimum tertiary qualification experience
Mean
Mean
Mean
Mean
The total range of salaries for 4.2.1 Average salaries –engineers private and sectors combined, by grades of experience • Grade 2 represents withpublic 2 to 3 years experience • Grade 3 represents 4 to 10 years experience professional engineers was broken • Grade 4 represents 10 to 15 years experience Grade 1 down into base salary and salary $120,000 • packages in the private and public Grade 5 represents 15 years experience and over $100,000 sectors. In addition, salaries were 4.2.1 Average salaries public sectors combined, by grades of experience broken down into five grades, which 74,273 $80,000 – private and 72,693 70,985 64,423 63,268 61,825 indicate years of experience. These $60,000 Grade 1 grades are defined as follows: $120,000 $40,000 • Grade 1 represents starting $100,000 salaries for engineers with a $20,000 74,273 $80,000 72,693 70,985 bachelor in engineering (four 64,423 63,268 $0 61,825 years’ study) as a minimum tertiary $60,000 2010 (n~250) 2011 (n~255) 2012 (n~233) qualification Base Salary Salary Package $40,000 • Grade 2 represents engineers with $20,000 Grade 2 2 to 3 years’ experience $120,000 $0 • Grade 3 represents 4 to 10 years’ $100,000 2010 (n~250) 2011 (n~255) 2012 (n~233) 85,962 85,235 experience 82,140 Base Salary 76,922 Salary Package 75,942 $80,000 73,292 • Grade 4 represents 10 to 15 $60,000 years’ experience Grade 2 $120,000 • Grade 5 represents 15 years’ $40,000 $100,000 experience and over. 85,962 85,235 $20,000 $80,000
73,292
$0 $60,000
82,140
2010 (n~248)
76,922
2011 (n~260) Base Salary
$40,000
75,942
2012 (n~222)
Salary Package
$20,000 $0
2010 (n~248)
2011 (n~260) Base Salary
2012 (n~222)
Salary Package
Average salaries – private and public sectors combined, by grades of experience (continued) Grade 3
$120,000
Mean
$100,000
93,034
103,744
108,040
96,321
108,549 96,943
$80,000
4344_EA_2012 SalaryStud
$60,000
—
$40,000 $20,000 $0
2010 (n~283)
2011 (n~301) Base Salary
133,301
$140,000 113,097
Mean
$120,000 Engineers Australia Salary and Benefits Survey 2012 $100,000 $80,000
Salary Package
Grade 4
$160,000
6
4344_EA_2012 SalaryStud
2012 (n~265)
139,995 124,696
119,241
133,860
—
Mean
$20,000 $100,000 $0 $80,000
96,943
96,321
93,034 2010 (n~283)
$60,000
2011 (n~301) 2012 (n~265) 2012 Salary & Benefits Survey Base Salary
Salary Package
$40,000 $20,000 $160,000 $0 $140,000
Mean
Mean
$120,000
Grade 4 133,301 2010 (n~283) 113,097
$100,000 $60,000 $160,000 $40,000 $140,000 $20,000 $120,000 $0 $100,000
Base Salary
133,860 2012 (n~265) 119,241
Salary Package
$80,000
Grade 4 133,301 113,097 2010 (n~246)
$20,000 $180,000 $0 $160,000 $140,000
139,995 124,696
119,241
2011 (n~282) Base Salary
$40,000
133,860
2012 (n~238)
Salary Package
Grade 5 168,280 2010 (n~246) 141,162
177,515
157,551 2011 (n~282)
Base Salary
$120,000
170,096 149,162 2012 (n~238)
Salary Package
$100,000 $80,000
Mean
139,995 2011 (n~301) 124,696
$80,000
$60,000
Mean
In 2012 base salaries for engineers in Grades 1 to 3 remained relatively consistent with 2011 levels. The largest discrepancy was the base salary for Grade 1 falling by 2%. Average base salaries for the more experienced engineers in Grades 4 and 5 saw larger falls in base salaries, falling by 4% and 5% respectively from 2011 levels after a 10% rise in 2010 and 12% increase in 2011. This general trend of lower grades remaining consistent and the higher grades bearing the brunt of the fall was mirrored for reported salary packages.
$60,000 $180,000 $40,000 $160,000 $20,000 $140,000 $0 $120,000 $100,000 $80,000
Grade 5 168,280 141,162 2010 (n~247)
177,515
157,551
2011 (n~273) Base Salary
170,096 149,162 2012 (n~243)
Salary Package
$60,000
Bucking the trend$40,000 which has recently seen base salaries increase across all grades, in 2012 ba Public and private sectors salaries remained$20,000 relatively consistent with 2011 salaries for Grades 1 through to 3 with the ba salary package salary for Grade 1 engineers the largest discrepancy, falling by 2%. Average base salaries for t $0 (n~247)4 and 5 however 2011 (n~273) 2012 (n~243) more experienced engineers of2010 Grades saw larger falls from 2011 levels with ba Grade 5: $170,096. salaries falling by 4% and 5% respectivelyBase Salary 4 and Salary5Package for Grade after a substantial increase from 201
2011 (10% and 12% respectively). This general trend of lower grades remaining consistent and t higher grades bearing the has bruntrecently of the fall wasbase mirrored for reported packages. Bucking the trend which seen salaries increasesalary across all grades, in 2012 ba salaries remained relatively consistent with 2011 salaries for Grades 1 through to 3 with the ba salary for Grade 1 engineers the largest discrepancy, falling by 2%. Average base salaries for t more experienced engineers of Grades 4 and 5 however saw larger falls from 2011 levels with ba salaries falling by 4% and 5% respectively for Grade 4 and 5 after a substantial increase from 201 2011 (10% and 12% respectively). This general trend of lower grades remaining consistent and t 4344_EA_2012 SalaryStudy higher grades bearing the brunt of the fall was mirrored for reported salary packages. —
4344_EA_2012 SalaryStudy
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Engineers Australia Salary and Benefits Survey 2012
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2012 Salary & Benefits Survey
sector
Mean
Mean
Mean
Mean
Mean
Mean
Within the private sector, base 4.1.4 Average salaries – private salaries and salary packages 4.2.2 Average salaries – private sector remained relatively consistent with 2011 salary levels with the largest Grade 1 $120,000 differences being a 3% increase in both base salary and salary $100,000 4.2.2 Average salaries – private sector packages for Grade 3 engineers and $80,000 73,387 72,444 a 3% decrease in both base salary 64,173 61,979 Grade 1 $120,000 $60,000 and salary package for Grade 4 engineers, and base salary for Grade $100,000 $40,000 5 engineers. 4.2.2 Average salaries – private sector $80,000 $20,000
$60,000 $0 $120,000 $40,000 $100,000 $20,000 $80,000 $120,000 $0 $60,000 $100,000 $40,000 $80,000 $20,000 $120,000 $60,000 $0 $100,000 $40,000 $80,000 $20,000 $60,000 $0 $120,000 $40,000 $100,000 $20,000 $80,000 $0 $120,000 $60,000
Mean
Mean
$100,000 $40,000 $80,000 $20,000 $60,000 $120,000 $0 $40,000 $100,000
2010 (n~200)
$0 $60,000
$100,000 $20,000 $80,000 $0 $60,000
73,387 61,979 2010 (n~200) 73,272
80,918
72,444
Grade 1 2011 (n~207)
64,720
72,433
72,433
2012 (n~178)
Salary Package
Grade 72,444 2 64,173 2011 (n~207) Base Salary Salary Package 85,591 76,612
72,433 64,720 2012 (n~178) 77,470
86,947
Grade 2 2010 (n~200) 2011 (n~207) 85,591 80,918 76,612 Base Salary Salary Package 73,272
2010 (n=200)
Grade 2 2011 (n=212) Base Salary
73,272
80,918
2010 (n=200) 105,254
94,130
76,612
Salary Package 85,591
Grade 3
108,508 2011 (n=212) 96,837 Base Salary Salary Package
Grade 3 105,254 2010 (n=200) 94,130
108,508 96,837 2011 (n=212) Base Salary
Grade 3
2010 (n~227)
2011 (n~248) Base Salary
2012 (n~178) 86,947
77,470
2012 (n~173)
77,470
86,947
111,682 2012 (n~173) 99,727
111,682 99,727 2012 (n~173)
Salary Package
2010 (n~227) 2011 (n~248) 108,508 105,254 Base Salary 96,837 Salary Package 94,130
$40,000
Private sector salary package Grade 3: $111,682.
64,173
Base Salary
$20,000 $80,000
$120,000 $40,000
Mean
73,387
61,979
64,720
2012 (n~213) 111,682 99,727
2012 (n~213)
Salary Package
$20,000 $0
2010 (n~227)
2011 (n~248) Base Salary
2012 (n~213)
Salary Package
4344_EA_2012 SalaryStudyR
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Engineers Australia Salary and Benefits Survey 2012
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2012 Salary & Benefits Survey Average salaries – private sector (continued) Grade 4
$160,000
137,175
Average salaries$140,000 – private sector (continued) Mean
$120,000 $100,000
$120,000 $40,000
137,175 115,422
$80,000 $0
2010 (n~205)
$20,000
Mean
143,318
127,681
123,859
$0 $200,000 $180,000 $160,000 $140,000 $120,000 $100,000 $200,000 $80,000 $180,000 $60,000 $160,000 $40,000 $140,000 $20,000 $120,000 $0 $100,000 $80,000 $60,000 $40,000 $20,000 $0
2011 (n~232) Base Salary
$40,000
Mean
138,835
138,835
$100,000 $20,000 $60,000
Private sector salary package Grade 5: $179,688.
123,859
Grade 4
$160,000 $80,000 $140,000 $60,000
Mean
115,422
143,318
127,681
2010 (n~205) 174,673
146,282
2012 (n~184)
Salary Package
Grade 5
2011 (n~232) 2012 (n~184) 182,710 179,688 Base Salary 161,673 Salary Package 156,905
Grade 5 174,673 146,282
2010 (n=197)
182,710 161,673
2011 (n=226) Base Salary
2010 (n=197)
179,688 156,905
2012 (n~191)
Salary Package
2011 (n=226)
2012 (n~191)
Within the private sector, base salaries andBase salary packages relatively consistent with 201 Salary Salary remained Package salary levels with the largest differences being a 3% increase in both base salary and salary package for Grade 3 Engineers and a 3% decrease in both base salary and salary package for Grade engineers, and base salary for Grade 5 engineers.
Within the private sector, base salaries and salary packages remained relatively consistent with 201 salary levels with the largest differences being a 3% increase in both base salary and salary package for Grade 3 Engineers and a 3% decrease in both base salary and salary package for Grade engineers, and base salary for Grade 5 engineers.
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2012 Salary & Benefits Survey
4.1.5 Average salaries – public sector 4.2.3 Average salaries – public sector Grade 1
$120,000
Mean
$100,000 $80,000
69,130
61,096sector 4.2.3 Average salaries – public
65,313
73,580 58,732
$60,000
$40,000 $120,000
66,525
Grade 1
Mean
$20,000 $100,000 $0 $80,000
2010 (n~50) 69,130 61,096
Mean Mean
$60,000 – public sector 4.2.3 Average salaries $40,000 $120,000 $120,000 $20,000 $100,000 $100,000 $0 $80,000 $80,000 $60,000 $60,000
Mean
$0 $0 $80,000
87,343 82,904 78,076 2010 (n~50) 2011 (n=48) 74,011 73,580 69,130 65,313 Salary Package Base Salary 61,096
82,904 74,011 2010 (n~47) 2010 (n~50)
$40,000
Mean Mean Mean
96,468
87,197 82,904 2010 (n~47) 74,011
$60,000 $60,000 $40,000 $40,000 $120,000 $20,000 $20,000 $100,000 $0 $0 $80,000
87,197
96,468
2010 (n=54) 2010 (n~47)
$40,000
Mean
106,191
94,281
87,343 2011 (n=48) 78,076 Base Salary
Salary Package
97,856 87,442 2012 (n=49) 79,403 70,739
106,191 94,281
87,442
2011 (n=53) 2011 (n=48) Base Salary Salary Package Base Salary Salary Package
97,856
2012 (n=51) 2012 (n=49)
Grade 3
$120,000 $20,000
$80,000
79,403 70,739 2012 (n=49) 2012 (n~54)
Grade 3
$60,000
$100,000 $0
87,343 78,076 2011 (n=48) 2011 (n=48) Base Salary Salary Package Base Salary Salary Package
Grade 3 Grade 2
$120,000 $20,000
$80,000 $80,000
79,403 2012 (n~54) 70,739 66,525 58,732
Grade 2
$60,000
$100,000 $100,000 $0
2012 (n~54) 66,525 58,732
Grade Grade 2 1
$40,000 $40,000 $120,000 $20,000 $20,000 $100,000
73,580 2011 (n=48) 65,313 Base Salary Salary Package
96,468
87,197 2010 (n=54)
106,191 94,281 2011 (n=53) Base Salary
97,856 87,442 2012 (n=51)
Salary Package
$60,000 $40,000 $20,000 $0
2010 (n=54)
2011 (n=53) Base Salary
2012 (n=51)
4344_EA_2012 SalaryStudyR
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10
Engineers Australia Salary and Benefits Survey 2012
2012 Salary & Benefits Survey Average salaries – public sector (continued) $140,000
Average salaries – public sector (continued)
Mean
Mean
$120,000
$100,000 $140,000 $80,000 $120,000 $60,000 $100,000 $40,000 $80,000 $20,000 $60,000 $0 $40,000
99,325
108,574
Mean
$120,000
99,325
2010 (n=39)
Mean
$60,000 $120,000
112,102
2010 (n=39)
119,345
134,907
119,345
139,222
2012 (n=53)
154,414 Salary Package
Grade 5 134,907
2012 (n=53)
Salary Package
2011 (n=50) Grade 5 Base Salary 139,222
118,372 104,843
2011 (n=50) Base Salary
$100,000 $160,000 $80,000 $140,000
118,372 104,843
125,976
108,574
$160,000 $140,000
125,976
112,102
Grade 4
$20,000 $0
Grade 4
126,330
154,414 126,330
141,251
141,251
$40,000 $100,000 $20,000 $80,000 $0 $60,000 $40,000
2010 (n~48)
$20,000 $0
2011 (n=47) Base Salary
2010 (n~48)
2012 (n=51)
Salary Package
2011 (n=47)
2012 (n=51)
Public sector engineers appeared to feel the brunt dropPackage in salary levels with engineers from a Base Salaryof theSalary Grades experiencing a fall in salary. The fall in salary ranged from a decrease of 6% (Grade 4 - sala package) up to a decrease of 10% (Grade 1 – base salary and salary package).
Public sector engineers appeared to feel the brunt of the drop in salary levels with engineers from a Grades experiencing a fall in salary. The fall in salary ranged from a decoaec( )0.7(o)-0.6ft -12.66%k
4344_EA_2012 SalaryStudyR
Engineers Australia Salary and Benefits Survey 2012 11
—1
4344_EA_2012 SalaryStudyR
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2012 Salary & Benefits Survey
Average Salary Packages – Private and Public Sectors Combined Grade 1: Starting
Grade 2: 3-5 years
CSlus
12
Engineers Australia Salary and Benefits Survey 2012
Grade 2:3: 4-10 years
Grade 4: 10-15 years
Grade 5: 15 years plus
2012 Salary & Benefits Survey
4.1.6 Chartered Engineers Do you have any Chartered Professional Engineers in your organisation? (Q18) 83% (n=295) had a Chartered Professional Engineer in their organisation. Are the Chartered Professional Engineers paid a higher salary than other engineers with comparable job duties in your organisation? (Q19) 61% reported that they are not paid a higher salary, while 24% indicated that their salaries are indeed higher (n=247). How much extra are Chartered Professional Engineers paid than other engineers with comparable job duties in your organisation? (Q20) n response 2012 (n=46)
2011 (n=54)
2010 (n=50)
0-2%
4
2
3
3-5%
5
14
8
6-10%
12
16
13
11-20%
12
11
11
21-30%
8
6
13
31-40%
3
2
1
41-50%
–
1
1
More than 50%
2
2
–
Note: Given the small number of respondents who answered this question, this data should be interpreted with caution.
The majority of those respondents who paid higher salaries to their Chartered Professional Engineers indicated their salaries were 6%-30% higher than non-chartered engineers with comparable duties. This is a slight increase from 3%-20% in 2011.
Engineers Australia Salary and Benefits Survey 2012 13
2012 Salary & Benefits Survey
What do you see are the benefits of employing a Chartered Professional Engineer? (Q21) % response 2012 (n=50)
2011 (n=49)
Industry recognition
30
24
Experience
24
16
Professional image/standards
20
29
Well qualified/confidence of competencies/more extensive training
16
14
Can sign documentation
12
16
Better client acceptance
10
8
Meeting of legislative/statutory requirement
8
–
Knowledge
6
12
Ethical/understanding code of ethics/responsibility
6
2
Less supervision required
6
12
Oversee work/computation checking/technical advice
6
–
Certified/benchmark of expertise
4
12
More work/income opportunity
4
8
No benefit
4
–
Continued professional development/regularly updated/on changes
2
16
Senior/higher/mentoring role/graduate engineer
2
4
Guarantee/professional indemnity/insurance benefits
2
4
Commitment to engineering
2
2
14
Engineers Australia Salary and Benefits Survey 2012
2012 Salary & Benefits Survey
4.1.7 Average hours worked by engineers per week On average, how many hours per week do full-time engineers in your organisation work? (Q9) As observed in previous years, engineers in the private sector tend to work more hours on average than those in the public sector. The majority of private sector engineers (87%) work 36-50 hours. In comparison, 90% of engineers in the public sector worked between 36 and 45 hours per week and 68% worked between 36 and 40 hours per week.
Average Working Hours – Private Sector (n=303)
6%
5%
56
32%
Average Working Hours – Public Sector (n=73) 1% 5%
51
Engineers Australia Salary and Benefits Survey 2012 15
2012 Salary & Benefits Survey
4.1.8 Professional development development Does4.2.7 yourProfessional company offer industrial training to engineering students? (Q16) Does your company offer industrial training to engineering students? (Q16)
Do you have an an Engineers Development in place? Do you have EngineersAustralia Australia Professional Professional Development PlanPlan (PDP)(PDP) in place? (Q17) (Q17)
% yes response
100 80 60
65
74
75
40
38
36
2010 (n=412)
2011 (n=397)
43
20 0
2010 (n=413)
2011 (n=402)
2012 (n=348)
Industrial training offered (Q16)
2012 (n=350)
Engineers Australia Professional Development Plan (PDP) (Q17)
Three-quarters of organisations industrialindustrial trainingtraining to engineering students, Three-quarters of organisationsreported suggestedthat thatthey they offer offer additional to engineering consistent with 2011. There waswhich also saw an increase in the number of organisations with an students, consistent with 2011 the end of(7%) a downward trend in this regard. There was also a moreAustralia significant increase (7%) in the number organisations an Engineers Australiathe Engineers Professional Development Plan of (PDP) in place.with At 43%, this represents Professional Development highest percentage of PDPs Plan since(PDP) 2007.in place. At 43%, this represents the highest percentage of PDPs since 2007.
16
Engineers Australia Salary and Benefits Survey 2012 4344_EA_2012 SalaryStudyRpt
— 15
2012 Salary & Benefits Survey
4.1.9 Benefits included in engineers’ salary packages Do you offer your engineers salary packages (ie. benefits over and above base salary and compulsory superannuation)? (Q11) The majority of respondents (68%) confirmed that engineers are offered salary packages, with the remaining 32% indicating that this was not the case at their organisation (n=383).
What types of benefits do you typically include in your engineers’ salary packages (over and above their base salary and compulsory superannuation)? (Q12)
% response 2012 (n=259)
2011 (n=295)
2010 (n=293)
Mobile phone
69
72
71
Professional memberships
60
60
60
Laptop
56
52
55
Performance bonus
52
49
49
Vehicle or vehicle allowance
46
54
52
Parking
31
28
33
Extra superannuation (in addition to compulsory superannuation)
29
25
27
Annual leave loading
25
25
25
Employee share scheme
21
12
16
Overtime
14
14
12
Profit share
11
12
11
The most frequently mentioned benefits included in engineers’ complete salary packages in 2012 were: • mobile phone (69%) • professional memberships (60%) • laptop (56%) • performance bonus (52%) • vehicle or vehicle allowance (46%). The top 5 benefits have remained remarkably consistent over the last 3 years with mobile phones again the most likely benefit included in packages, offered by 69% of all organisations. The only change in these 5 most common benefits has been performance bonuses (52%) jumping ahead of vehicles or vehicle allowances (46%) to be the fourth most common benefit. Outside of the top 5, extra superannuation provided by the employer and employee share schemes have bucked a downward trend and become more popular in 2012, with employee share schemes in particular increasing from 12% to 21%.
Engineers Australia Salary and Benefits Survey 2012 17
4.3
Other findings
2012 Salary & Benefits Survey 4.3.1 Extra salary or benefits
Does your organisation provide extra salary or benefits to engineers who live in remot locations? (Q38)
provide salary extra salary benefits to engineers who live in cities with 4.2 Other findings Does your organisation 4.2.1 Extra ororbenefits above-average living expenses (eg Sydney)? (Q40)
30
1-2% 3-5% 6-10% 11-20% 21-30% 31-40% 41-50% More than 50%
% response (n=99) 4 11 18 30 18 10 2 6
4344_EA_2012 SalaryStudyR
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18
Engineers Australia Salary and Benefits Survey 2012
2012 Salary & Benefits Survey
How are engineers employed by your organisation normally compensated for working overtime? (Q10) Over one-third of respondents suggested that no compensation was offered for working overtime – returning to the level seen in 2010. Other popular mechanisms such as time off in lieu and overtime built into base salary both decreased in 2012 by 4% with a small increase in organisations offering monetary payment at an hourly rate (16% up from 13% in 2011).
% response 2012 (n=372)
2011 (n=417)
2010 (n=436)
No compensation
35
28
35
Time off in lieu
23
27
24
Overtime built into base salary
Engineers Australia Salary and Benefits Survey 2012 19
2012 Salary & Benefits Survey
4.2.4 Percentage increase in salaries On average, what annual percentage increase in salaries did your engineering employees receive in the last pay review? (Q42) On average, what annual percentage increase do you expect your employees to receive in the next pay review? (Q43) The percentage of engineers who had received a salary increase of 5% or more was down by 10% (35%, compared to 45% in 2011). Although the percentage of engineers who received no increase or a reduction in salary fell, as with previous years, there was a rise in the percentage of engineers whose salaries will likely remain the same or decrease as a part of their next pay review (8%, up from 6% in 2011).
Actual/Forecast percentage increases in salaries
Actual 2012 Forecast
26 26
25% 22
20% 17 17
15%
14
14 12 10
10%
8
7
7
7
7
5% 2
0%
0%
1-2%
3%
4%
5%
6-7%
1
1
8-9%
10-15%
1
0
16-20%
1
20%+
Actual 2011 n=341 Forecast n=325
4.2.5 Leave entitlements Sick leave How many days sick leave do you offer your engineers per annum? (Q13)
Consistent with previous years, public sector engineers had more sick days offered compared to private sector engineers. The majority of organisations in the private sector (74%) offered engineers up to 10 days of 3.4 Leave entitlements sick leave compared to 33% in the public sector, whereas 40% of organisations in the public sector offered ck leave 11-20 days of sick leave compared to 14% in the private sector.
ow many days sick leave do you offer your engineers per annum? (Q13) 100
% response
80
n Private Sector (2010 n=350, 2011 n=344, 2012 n=295) 77
69
n Public Sector (2010 n=75, 2011 n=66, 2012 n=70)
74
60 40
48 35
36
13 2010
40
33
20 0
47
2011
2012
1-10 days
2010
11 2011 11-20 days
14 2012
7 7
5
2010
12
2011
14 2 2012
Unlimited
Private Sector (2010 n=350, 2011 n=344, 2012 n=295) Public Sector (2010 n=75, 2011 n=66, 2012 n=70)
100
ponse
2080 60 40
Engineers Australia Salary and Benefits Survey 2012
7
3
2010
3
3
2011
4
6
2012
Determined on a case by case basis
4
3
2010
2 2011 None
6 2012
1
5
2010
2
2
2011
1
7
2012
More than 20 days
2012 Salary & Benefits Survey
Paid leave
Paid leave
Do youDo offer ofany theoffollowing to your engineers? youany offer the following to your engineers?(Q14) (Q14) 100
78
% response
80 60
47
40
75
67 40
2011
2012
90 76
71 50
43
94
85
48
59 41
47
72 51
76
66 40
37
2010
2011
72
41
20 0
2010
Paid study leave
2010
2011
2012
2010
2011
2012
Paid maternity leave Paid carers leave
2012
Paid paternity leave
Private Sector (2010 n=352, 2011 n=354, 2012 n=302) Public Sector (2010 n=79, 2011 n=67, 2012 n=72)
Consistent with previous years, public sector engineers were more likely to be offered a range of different
Consistent previous publicsector. sector were likely be offered leavewith options comparedyears, to the private Paidemployees maternity leave was more again the mostto common option a range of differentoffered leavetooptions compared to private maternity was again engineerswhen in the public sector (90%) despitesector. falling byPaid 4% from 2011. Theleave other forms of leave the most all reported to be by 70-75% organisations the public sector. falling by 4% from 2011. The commonwere option offered to offered engineers in theofpublic sectorin (90%) despite In theof private leave to is becoming lessby and70-75% less common with 40% of organisations offering other forms leavesector, werepaid all study reported be offered of organisations in the public sector. this option, continuing a downward trend. In comparison, paid maternity, carers and paternity leave all increased.
In the private sector, paid study leave is becoming less and less common with 40% of organisations offering this option, continuing a downward trend. In comparison, paid maternity (11%), carers Other paid leave offered 2012 (4%) and paternity (4%) leaveinall increased. % response Private Sector (n=302)
Public Sector (n=72)
None
14
–
Paid volunteers/community service leave
0
–
Other paid leave offered in 2012
Extra week of annual leave Paid study leave/training course leave
None Note: 0% represents n=1. Paid volunteers/community service leave Extra week of annual leave Paid study leave/training course leave
% response 0 – Private Sector Public Sector – 1 (n=302) (n=72) 14 0 0 1
Note: 0% represents n=1
Engineers Australia Salary and Benefits Survey 2012 21
2012 Salary & Benefits Survey
4.2.6 Postgraduate qualifications
4.3.5 Postgraduate qualifications Approximately what proportion of the engineers that you employ on a permanent basis hold postgraduate qualifications? (Q36)
% response
Approximately what proportion of the engineers you employ on a permanent basis hold postgraduate qualifications? (Q36)
17
15
16
10
11
10
7
12
7
14
17
15
2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012 None
1-2%
3-5%
6-10%
(2010 n=387, 2011 n=389, 2012 n=322)
% response
The proportion of engineers employed who do not hold postgraduate qualifications has remained relatively consistent year-on-year. In 2012, there have been increases in organisations reporting that 1%-10% of engineers held a postgraduate qualification.
100 90 80 70 60 50 40 30 20 10 0
100 90 80 70 60 50 40 30 20 10 0
17
13
12
11
10
7
5
3
6
6
6
17 5
15
15
2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012 11-20%
21-30%
31-40%
41-50%
>50%
(2010 n=387, 2011 n=389, 2012 n=322)
The majority of respondents (84%) indicated that they employ at least one engineer with postgraduate qualifications on a permanent basis. In 2012, organisations were 10% more likely to employ between 1 and 10% of employees with a postgraduate qualification, but were 9% less likely to employ 11-50% of employees with such a qualification. Furthermore, the proportion of engineers employed who do not hold postgraduate qualifications remains relatively consistent year-on-year.
What are the main types of postgraduate qualifications your engineers hold? (Q37) Note: Only Masters Degrees are included. Only responses of 1% and above for the current wave are shown. In the 2011 report the results included qualifications other than postgraduate. These figures have been updated in the current report to include only postgraduate qualifications.
Masters in Engineering (73%) remains the most common form of postgraduate qualification, with Masters in Business Administration and PhD the second and third most frequently mentioned qualifications (52% and 30% respectively).
22
% response
Masters in Engineering Masters in Business Administration PhD Masters in Science Masters in Finance Masters in Marketing Project Management/ Masters/graduate diploma Masters Leadership and Management
Engineers Australia Salary and Benefits Survey 2012
2012 (n=233)
2011 (n=292)
2010 (n=274)
73
66
73
52
50
50
30 18 5 3
24 16 2 1
1
1
1
1
–
–
28 15 3 3 4344_EA_2012 SalaryStudyRpt — 23
2012 Salary & Benefits Survey
4.2.7 Female engineers Of the total number of engineers your organisation employs, approximately what percentage of them are female? (Q6) 2012 results exhibited increases in the percentage of female engineers employed in the private sector with more private organisations reporting women made up 3%-20% of their engineering workforce. In the public sector, there has been an increase in organisations reporting that women made up only 0%-2% of the engineering workforce.
2012 Percentage of female engineers employed 50 42
40 32
30
26 19
17
20
20
14
13
9
10
8 1
0
50
0-2%
3-5%
6-10%
11-20%
21-50%
Private n = 289 0
Public n = 65
