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META Group Finds Growing Gap Between IT and Non-IT Salaries

  • 10 June, 2004 14:26

<p>Survey Shows 76 Percent of Companies Paying IT Employees as Much as 20 Percent More, Need for Internet-Related Capabilities Remains High</p>
<p>SYDNEY, Australia. (June 10, 2004) - An overwhelming majority of companies continue to pay information technology (IT) employees as much as 20 percent more than their non-technical counterparts, according to the 2004 IT Staffing and Compensation Guide, an annual report released by META Group, a leading provider of IT research, advisory services, and strategic consulting. This compensation imbalance can be partially attributed to a gradually improving job market and the overall demand for key IT skills.</p>
<p>“This year more than 76 percent of companies indicated they continue to pay IT employees higher salaries, and 45 percent of companies claim to be paying premiums for critical skills because IT organizations are finding them so difficult to locate and retain,” said Maria Schafer, a senior program director of META Group’s Executive Directions advisory service and author of its annual IT Staffing and Compensation Guide. “These skills are primarily lacking in highly specialized areas that represent emerging technology needs such as wireless, security, and data management.”</p>
<p>Despite the substantial publicity concerning the outsourcing of highly skilled IT jobs, META Group also finds that demand for certain IT skill sets remains strong. This year’s respondents indicate a continuing need for Internet-related capabilities, including application development (15percent of respondents), Java application management (15 percent of respondents), and networking (11 percent of respondents). Demand for e-commerce skills lessened this year, with only 15 percent of respondents indicating a strong need, as opposed to 22 percent last year and 25 in 2002.</p>
<p>“Universities like MIT have made significant strides in maintaining a steady stream of students with these specific skills in today’s workforce,” said Thomas W. Malone, professor of management at the MIT Sloan School of Management and author of the book The Future of Work. “However, the consistency with which these skill sets are identified in META Group’s study is a strong indicator that even more could be done to develop these capabilities.”</p>
<p>About the Report</p>
<p>META Group’s 2004 IT Staffing and Compensation Guide is recognized by IT and HR executives as the industry’s definitive source for IT staffing and compensation data. This year’s edition delivers unmatched insight into the latest human capital management best practices and trends impacting the IT workforce. In addition, the report provides salary and bonus information for about 180 IT positions — including detailed job descriptions that outline desired skills and experience, expected responsibilities, and suggested reporting structures.
This year’s report is based on compensation and best-practice surveys of more than 650 large and midsize companies spanning 14 industries and over 40 geographic markets. For more information about META Group’s 2004 IT Staffing and Compensation Guide, please visit, or call 800-945-META [6382].</p>
<p>About META Group</p>
<p>META Group is a leading provider of information technology research, advisory services, and strategic consulting. Delivering objective and actionable guidance, META Group’s experienced analysts and consultants are trusted advisors to IT and business executives around the world. Our unique collaborative models and dedicated customer service help clients be more efficient, effective, and timely in their use of IT to achieve their business goals. Visit for more details on our high-value approach.</p>
<p>Jessie Shepherd
Markom Marketing
<p>Peter Carr, Vice President, Director Operations
META Group

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