Companies are under growing pressure to increase wages in
order to recruit and retain IT staff, according to new
research.
Half of UKemployers are looking to recruit more staff over the next
few months, according to a quarterly survey of recruitment trends
published next month by the Chartered Institute of Personnel and
Development (CIPD).
The CIPD, which surveyed more than 950 human resources managers,
also predicted that inflation was likely in IT salaries.
The findings echo those of the Computer Weekly/SSL Quarterly Survey
of Appointments Data and Trends, published earlier this year, which
showed a continued recovery in the IT jobs market.
"Firms will have to be careful to retain the skills they have as
there could be a shortage of people as the market steadily
improves," said Paul Smith, director at recruitment agency Harvey
Nash.
Smith added that companies must take account of the fact that some
staff have not had meaningful pay increases for up to three years.
For organisations where extra money is not an immediate option,
changing benefits packages to offer training and perks might help
retain skilled workers, he said.
But for those staff looking to cash-in on the more buoyant jobs
market, what are the most effective methods to secure a pay
rise?
The annual employee appraisal has become an important part of pay
negotiations, according to Rebecca Clake, adviser at the CIPD.
"This is often the best way of making sure your performance is
properly evaluated for both immediate and future discretionary pay
rises," she said.
Staff looking to make sure they get a fair rise the following year
should use the appraisal system to establish clear business and
personal objectives, and to get credit for what they are doing,
Clake added.
When looking back at the previous year, staff in appraisal meetings
should be prepared to demonstrate tangible results, including
quantifiable sales figures or savings and efficiencies to the
business as well as new achievements over and above targets set in
the previous appraisal.
Clake acknowledged that appraisals are not done well in every
company, with some of the people employed to manage the appraisal
process failing to do so effectively.
Poorly-trained middle managers are sometimes to blame, said Clake.
They can fail to deliver fair and appropriate appraisal meetings
that encourage open and honest conversations - although IT as an
industry does not have any greater problem with this than other
sectors, she said.
Because appraisals are now seen as the key area of performance
management linked to pay, it should not come as a surprise when
newly introduced and contested appraisal systems lead to disputes
between companies and their staff.
Outside the appraisal system, there are other areas staff need to
take account of when evaluating their pay possibilities, said
Clake. Employees taking on extra responsibility for no extra pay
will have more bargaining power during salary negotiations.
Profit-related pay is also becoming more common.