How have salaries in IT changed post-pandemic? It is a burning topic so we have decided to cover it in our blog.
Salaries after COVID have been on a roller coaster and the adoption of remote-work or hybrid models has played its role. Salaries for software engineering across the US have increased. Location is no longer an important factor when it comes to determining employee compensation.
Deciding on the best pay strategy is a great challenge especially in today’s world of uncertainty. However, the tech industry is among the lucky industries that have adapted to changes very quickly.
Post pandemic world has altered tech hiring in the US in many ways. The salaries have increased in all areas of the country. In the past, hiring engineers in places where the cost of living is traditionally lower like Texas, Alabama or Kansas was much easier since they used to have lower salaries. However, now as location is no longer a very significant factor in determining pay, software engineering salaries have flattened. Employees from these states are leaving their jobs and seeking new opportunities across the country.
Since the emergence of remote and hybrid positions has totally changed the salary ranges in IT, you need to expand the pay band and offer more perks and benefits to your employees to stay competitive.
The flexibility of remote work has changed the whole picture of salaries in IT.
Post-Pandemic Salaries in IT
The average salary for a junior software engineer with max 2 years of experience is $70K to $100k per annum.
Mid-level engineers with 3-5 years of experience can expect to earn $100k-$150K while Seniors IT specialists may qualify for $150k-$180K. The rise in numbers is just the beginning if you strive to stay competitive and survive in the market.
As headhunting for top talent is the new normal, you need to package an offer with exceptional benefits.
If you are still confused about how much to offer your candidates, or how to make sure the salary attracts them, check out HIRECLOUT’s salary calculator to find quick answers to your questions.
Other perks and benefits
How else has the IT professional package changed after COVID? Most companies are offering stock options or RSUs. It is a great incentive for your candidate to change jobs, especially senior IT specialists, who are in high demand right now. Stock options with attractive conditions can be a game-changer for the candidate’s decision.
Additionally, you can consider full healthcare coverage of your employees and up to 60% coverage of their dependents. The pandemic triggered the healthcare sector by altering our perception of our healthcare needs. . By offering an exceptional healthcare insurance package to a candidate, you will show your level of care towards their wellbeing.
Mental health support
During pandemic and after almost a year spent locked down, we also need to take care of our mental health. As a company you need to take care of your employees wellbeing in all aspects and maybe offer a couple of free sessions with a healthcare professional. Additionally there are many mental health support apps with low subscription rates that can be offered to your team. In fact, it is an extra cost for your company. But you will be acting proactively and it will take you to a new level of employee retention.
Remote is the norm and is necessary to be competitive. If remote is not possible, at the minimum, companies are expected to offer hybrid models with at least 3 days remote.
If you are still struggling with the changes in post-pandemic salaries in IT, our professionals at HIRECLOUT can help you determine a competitive compensation package for your candidates. Since you have considered reading this article, we can assume that you also consider pay as one of the most important factors in talent acquisition.
It is one the top lines of the basic offer. So study the market bandwidth and the personal preferences of your candidate. It should be a standard tactic in your hiring strategy to ask for salary expectations while also assessing the skills a candidate will bring to the table. Candidates are sometimes good at realistically setting their salary expectations, and if your salary budget meets their expectations, you will be in a win -win situation.
By the way, you can also get to know the 5 Must-Know Recruitment Trends for Hiring Managers in 2021 which will help you stay in the competition.
HIRECLOUT’s team of top-notch tech recruiters will share their recommendations with you. You can complete the form here and our team will get back to you.