EA 2012 Salary Survey

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REPRESENTING THE R EMUNERA TION OF 130,000 ENGINEERS  YOUR GUIDE T O EFFECTIVE ENGINEERING REMUNERA TION PLANNING

Transcript of EA 2012 Salary Survey

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REPRESENTING THE REMUNERATION OF 130,000 ENGINEERS

 YOUR GUIDE TO EFFECTIVE ENGINEERING REMUNERATION PLANNING

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2012 Salary & Benefts Survey

Engineers Australia Salary and Benefts Survey 2012 i

EnginEErs AustrAliA

sAlAry & BEnEfits survEy 

2012 Y g cv gg pg

Pbsh Jy 2013

Pbished b Eninees Media, a who owned sbsidia o Eninees Asaia

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2012 Salary & Benefts Survey

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Engineers Australia Salary and Benefts Survey 2012 iii

2012 Salary & Benefts Survey

© Engineers Media 2013

Published by Engineers Australia Pty Limited

(ACN 001311511), trading as Engineers Media,

a wholly owned subsidiary o Engineers Australia.

For urther inormation on this survey please contact

the Engineers Australia National Manager Careers

on 1300 366 631 or email

[email protected]

Distributed by EA Books

Level 4, 2 Ernest Place, Crows Nest 2065.

EA Books Csome Seice

Phone: (02) 9438 5355

Fa: (02) 8823 6526

Emai: [email protected]

Websie: www.eabooks.com.au

ISSN: 1448-8396

ENgINEErS AuStrAlIA 

Naiona Ofce

11 National Circuit, Barton, ACT 2600

Phone: (02) 6270 6555

Fa: (02) 6273 1488

Websie: www.engineersaustralia.org.au

Csome Seice Emai: [email protected]

Phone: 1300 653 113

Coe Desin: Michelle WattsPodcion: Stean Novak 

Coe Phoo: iStockphoto

DIvISION OFFICES

Canbea

11 National Circuit, Barton, ACT 2600

Phone: (02) 6270 6519

Newcase

122 Parry Street, Newcastle West 2302

Phone: (02) 4926 4440

Nohen GPO Box 417, Darwin 0801

Phone: (08) 8981 4137

Qeensand 

447 Upper Edward Street, Brisbane 4000

Phone: (07) 3832 3749

Soh Asaia

Level 11, 108 King William Street, Adelaide 5000

Phone: (08) 8202 7100

SdneLevel 3, 8 Thomas Street, Chatswood 2067

Phone: (02) 9410 5600

tasmania

2 Davey Street, Hobart 7000

Phone: (03) 6234 2228

vicoia

13-21 Bedord Street, North Melbourne 3051

Phone: (03) 9329 8188

Wesen Asaia712 Murray Street, West Perth 6005

Phone: (08) 9321 3340

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2012 Salary & Benefts Survey

Engineers Australia Salary and Benefts Survey 2012iv 

FOrEWOrD

Remuneration is an important aspect o career planning or engineers and the companiesthey work or. I am delighted to be able to oer the Engineers Australia Salary and BenetsSurvey, which is now in its tenth year. The survey was produced by our subsidiary company

Engineers Media, using data rom a survey conducted by newocs research strategy andimplementation.

I would like to thank the 383 engineering companies that contributed to this years survey ortheir support.

Recruitment and retention o suitable, qualied engineers is still an issue or many o thecompanies we surveyed.

This salary and benets survey is part o the package that we oer to members (and theiremployers) or career development. Other services include assistance with resume writing,

helping understand the importance o Chartered Status, and general career advice onmatters such as perormance reviews and urther training. Additional related inormation isavailable once you are logged in as a member at the Engineers Australia website –www.engineersaustralia.org.au click on the proessional development tab, then go tothe career development centre.

I trust that the data in this publication will assist you with your workorce salary andremuneration planning or the next year.

Jennie O’Donoan

MANAgEr CArEEr DEvElOPMENt CENtrEENgINEErS AuStrAlIA 

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2012 Salary & Benefts Survey

Engineers Australia Salary and Benefts Survey 2012 vi

1 gENErAl INFOrMAtION 1

2 INtrODuCtION 2

2.1 Background 2

2.2 Aims and outcomes 2

2.3 Methodology and sample 3

3 ExECutIvE SuMMAry  4

4 FINDINgS 5

4.1 Key ndings – salaries and conditions, Chartered Proessional Engineers, hours worked,proessional development, benets 5

4.2 Other ndings – extra salary or benets, overtime, perormance reviews,

percentage increases, paid leave, postgraduate qualications, emale engineers, HR issues 18

4.3 Sample characteristics 28

5 SAlAry tABlES 31

5.1 Terms used 31

5.2 Description o 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

Contents

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Engineers Australia is the key representative body

or Australian engineers across all engineeringdisciplines and has a membership base o over100,000. The organisation aims to enhance boththe infuence and proessional standing o engineersin the community, and includes a range o activitiessuch as:

• advancing the science and practice oengineering

• cultivating lielong learning by members

• promoting the contribution o the proession

• championing proessional and ethical conduct• celebrating excellence in engineering outcomes

• sustaining the integrity o the proession

• taking the lead in advocacy o the proession

• welcoming all those who wish to practiceengineering

• allowing members’ aspirations to fourish, andlearn rom their creativity and innovation

• drawing inspiration rom an engineeringheritage.

The contribution o Engineers Australia to theengineering community is highly valued, withthe organisation providing members with suchresources as networking events, seminars, careeradvice and publications.

This report continues the salary and remunerationstudies that newocs has undertaken on behal oEngineers Australia since 2003.

The survey has undergone minor modicationsacross the years to ensure the most relevant datais captured. Since 2006, questions were included

to assess the extent o the skills shortage in theengineering industry, as well as the impact ithas had on engineering organisations. In 2009additional questions were included to captureanticipated industry skills shortages.

The total number o employers who completedthe survey was 383, a decrease rom the 429captured in 2011. Although lower than thenumber we have seen in the past two years, thisnumber o completed interviews is still comparablewith the numbers rom previous years, such as in

2009 (n=395). Although 46 ewer surveys werecompleted in 2012, the responses are refective o

the working conditions o approximately 130,298

permanent proessional engineers, a signicantincrease rom 2011 with more instances oorganisations with large numbers o engineers in2012.

2.2 as cs

The general aim o this study was to investigate theemployment conditions o proessional engineers.More specically, this included obtaining data

relating to:• sa nmbes: 

− total number o sta employed in thecompany

− breakdown o part-time and ull-timeengineering sta

− types and grades o engineers employed

− location (by state) o engineering employees

− number o engineers employed who areunder 30 years o age

− any shortages o engineers (in relation totype o engineer, grade and location bystate)

− issues experienced by companies due torecruiting diculties

− the consequence o proessional engineeringskills shortages or the company

− any anticipated shortages o engineers(in relation to type o engineer, gradeand location by state).

• saa o enineein sa:

− monetary value o package items andcontent o package (or example, mobilephone, car, etc)

− extra benets or engineers working inremote areas or cities with above-averageliving expenses

− annual salary increases

− anticipated salary increases.

• compan poicies peainin o:

− sick leave

− annual leave

2 introduCtion

2.1 Bckg

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− maternity/paternity leave

− carer’s leave

− compassionate leave

− study leave

− overtime.

• nmbe o hos woked pe week b:

− all sta

− engineering employees.

• posadae qaifcaions oenineein empoees

• he empomen and saa condiions oChaeed Poessiona Eninees (CPEs)and peceied benefs o empoin CPEs

• whehe he compan has an Eninees Asaia Poessiona Deeopmen Pan(PDP) in pace

• whehe compan ainin is poided oenineein sdens

• bies Hr chaenes acin heoanisaion.

The survey conducted by newocs has acilitatedthe production o a report that addresses thesepoints and provides Engineers Australia, as well asengineering organisations, with valuable insight intothe salary and remuneration packages oered to

engineers.

2.3 mhgy sp

An online survey methodology was again used in2012.

This year conscious eorts and strategies weremade during the project setup phase to boost theresponse rate, including ensuring the survey wasactive prior to commencing marketing eorts.

Furthermore an item in the eNews email newsletter,

produced by Engineers Media, advised o the surveyand encouraged participation. This, combined withother marketing and promotional activities, hasbeen very eective in signicantly improving theresponse rate rom previous years.

In addition to this, Engineers Australia suppliednewocs with lists o potential respondents, whichincluded those with PDPs in place.

A number o incentives were again oered torespondents in order to boost the response rates.Respondents were:

• given automatic entry into a draw or a choiceo either an accommodation package at a topclass hotel in their nearest capital city up to thevalue o $750, a Coles Myer voucher to thevalue o $750 or an iPad and accessories to the

value o $750• oered a copy o a summary report and

discount on the price o the ull report.

Response rates were monitored on a daily basisthroughout the research. Two reminder emails weresent to those on the lists. The survey was active rom24 September to 29 October 2012.

Those individuals who participated in the surveywere employers within engineering rms who had athorough knowledge o the salary structure withintheir organisation. As an example, the types o

people who responded included managers, humanresource managers, payroll ocers and a variety odierent types o engineers (eg mining, electrical,etc).

In 2012, a total o 383 espondens completedthe survey, which provided a strong sample orcomparison with the 2011 (n=429) and 2010(n=447) results. The 2012 respondents representedapproximately 130,298 engineers.

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3 eXeCutiVe SummarY 

The average base salaries and salary packages oproessional engineers in 2012 ell by 3% rom2011, the rst decrease in the history o this survey.The largest declines were observed in the publicsector with a 7% decrease in both base salary andpackage. In the private sector, the average basesalary declined by 1.9% and the package decreasedby 1.7%.

Despite this all, the average level or both basesalary and salary packages across both sectorsremains above the $100,000 mark, broken orthe rst time last year, at $100,644 and $113,421respectively.

Across both sectors, the average base salaries orGrade 4 and 5 engineers (with more than 10 years’experience) ell by 4% and 5% respectively. Grade 3engineers (4-10 years’ experience) recorded a slightsalary increase, while Grades 1 and 2 observed asmall decrease.

Eighty-three o respondents said they had achartered engineer in their organisation. O these,24% indicated that chartered engineers were paidmore than other engineers with comparable duties.The main benets o employing chartered engineerswere cited as industry recognition, experience andproessional image.

On average, engineers in the private sector work longer hours than their public sector colleagues.While 68% o public sector ull-time engineersworked 36-40 hours per week, only 30% o privatesector engineers did so. Conversely, 57% o privatesector engineers worked 41-50 hours compared to27% o their public sector colleagues.

The number o organisations reporting havinga Proessional Development Plan in place or their

engineers increased to 43% rom 36% last year.

The most requently mentioned salary packagebenets were mobile phones, proessionalmemberships, laptops, perormance bonuses andvehicles or vehicle allowances. These results aresimilar to previous years.

Engineers in the public sector enjoyed moregenerous paid leave provisions on average thanthose in the private sector. The majority o publicsector respondents oered paid study, maternity,carers’ and paternity leave. In the private sector,paid study leave declined with 40% o organisationsoering this option compared to 43% in 2011 and47% in 2010. However, the private sector recordedincreases in the percentage o organisations

oering paid maternity, paternity and carer leave.

The percentage o women in the engineeringworkorce increased in the private sector. While42% o private sector respondents said womenmade up 2% or less o their engineers, this is adecrease rom 50% in 2011. This was accompaniedby increases o around 5% in the respondentsreporting 6%-10% and 11%-20% women. On theother hand, emale engineers in the public sectorell, with the percentage o respondents reporting0%-2% o emale engineers increasing rom 27% to

32% with corresponding alls in most other bands.

Recruitment, retention and remunerationremained the main human resources challengescited. Proessional engineer skills shortages werereported by 56% o respondents with civil, electricaland mechanical engineers being the most sought-ater. The consequences o skills shortages werereported as moderate by 54% o respondents andsevere by 31%, while 3% said they did not proceedwith a project due to skills shortages.

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4 indinGS

4.1 Ky fgs

Overall, the average base salary andsalary packages or engineers in2012 ell slightly with both guresdown by 3% rom the levels seen in2011, the rst time such a all hasbeen recorded. Despite this all, theaverage level or both base salaryand salary packages remains abovethe $100,000 mark at $100,644 and$113,421 respectively.

In line with the overall trend,the average reported base salaryand salary package in the privatesector also ell. However, these allswere almost negligible with alls o1.9% or base salary and 1.7% orsalary package. At $104,059 and$117,346, the reported average basesalary and salary package continuedthe trend o eclipsing the overallaverages.

Despite a large 11% increasein both base salary and salarypackage levels rom 2010 to 2011,the average salaries in the publicsector in 2012 ell by 7% to levels o$89,462 and $100,510 respectivelyor base salary and salary package.However, as stated last year, cautionshould be used in interpreting thesegures due to the small sample sizes.

4.1.1 avg ss – (pv pbc scs cb)

4.1.2 avg ss – pv pbcscs sp

 

95,410104,156

100,644

110,870117,030 113,421

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n=416) 2011 (n=416) 2012 (n=366)

   M  e  a  n

Base Salary Salary Package

 

97,462106,112 104,059

85,851

96,40189,462

113,156 119,309 117,346

95,902

107,994100,510

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010(n=340)

2011(n=353)

2012(n=292)

2010(n=74)

2011(n=63)

2012(n=72)

Private Sector Public Sector  

   M  e  a  n

Base salary Salary package

 

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Ss cs

The total range o salaries orproessional engineers was broken

down into base salary and salarypackages in the private and publicsectors. In addition, salaries werebroken down into ve grades, whichindicate years o experience. Thesegrades are dened as ollows:

• gade 1 represents startingsalaries or engineers with abachelor in engineering (ouryears’ study) as a minimum tertiaryqualication

• gade 2 represents engineers with2 to 3 years’ experience

• gade 3 represents 4 to 10 years’experience

• gade 4 represents 10 to 15years’ experience

• gade 5 represents 15 years’experience and over.

 

61,825 64,423 63,268

74,273 72,693 70,985

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~250) 2011 (n~255) 2012 (n~233)

   M  e  a  n

Grade 1

Base Salary Salary Package

 

73,292 76,922 75,94282,140

85,962 85,235

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~248) 2011 (n~260) 2012 (n~222)

   M  e  a  n

Grade 2

Base Salary Salary Package

 

93,034 96,321 96,943103,744

108,040 108,549

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~283) 2011 (n~301) 2012 (n~265)

   M  e  a  n

Grade 3

 

4.1.3 avg ss – pv pbcscs cb, by gs

xpc

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113,097124,696

119,241

133,301139,995

133,860

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

2010 (n~246) 2011 (n~282) 2012 (n~238)

   M  e  a  n

Grade 4

Base Salary Salary Package

 

141,162

157,551149,162

168,280177,515

170,096

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

2010 (n~247) 2011 (n~273) 2012 (n~243)

   M  e  a  n

Grade 5

Base Salary Salary Package

 

In 2012 base salaries or engineersin Grades 1 to 3 remained relativelyconsistent with 2011 levels. Thelargest discrepancy was the basesalary or Grade 1 alling by 2%.Average base salaries or the moreexperienced engineers in Grades 4and 5 saw larger alls in base salaries,alling by 4% and 5% respectivelyrom 2011 levels ater a 10% risein 2010 and 12% increase in 2011.This general trend o lower gradesremaining consistent and the highergrades bearing the brunt o the allwas mirrored or reported salarypackages.

Public and private sectors salary package

Grade 5: $170,096.

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4.1.4 avg ss – pv sc

 

61,979 64,173 64,72073,387 72,444 72,433

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~200) 2011 (n~207) 2012 (n~178)

   M  e  a  n

Grade 1

Base Salary Salary Package

 

73,272 76,612 77,47080,91885,591 86,947

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n=200) 2011 (n=212) 2012 (n~173)

   M  e  a  n

Grade 2

Base Salary Salary Package

 

94,130 96,837 99,727105,254 108,508 111,682

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~227) 2011 (n~248) 2012 (n~213)

   M  e  a  n

Grade 3

Base Salary Salary Package

Within the private sector, basesalaries and salary packagesremained relatively consistent with2011 salary levels with the largestdierences being a 3% increasein both base salary and salarypackages or Grade 3 engineers anda 3% decrease in both base salaryand salary package or Grade 4engineers, and base salary or Grade5 engineers.

Private sector salary  packageGrade 3: $111,682.

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115,422127,681 123,859

137,175143,318 138,835

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

2010 (n~205) 2011 (n~232) 2012 (n~184)

   M  e  a  n

Grade 4

Base Salary Salary Package

 

146,282161,673 156,905

174,673182,710 179,688

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

$200,000

2010 (n=197) 2011 (n=226) 2012 (n~191)

   M  e  a  n

Grade 5

Base Salary Salary Package

 

Private sector salary  package

Grade 5: $179,688.

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4.1.5 avg ss – pbc sc

 

61,09665,313

58,732

69,13073,580

66,525

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~50) 2011 (n=48) 2012 (n~54)

   M  e  a  n

Grade 1

Base Salary Salary Package

 74,011

78,07670,739

82,90487,343

79,403

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n~47) 2011 (n=48) 2012 (n=49)

   M  e  a  n

Grade 2

Base Salary Salary Package

 87,197

94,28187,442

96,468106,191

97,856

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

2010 (n=54) 2011 (n=53) 2012 (n=51)

   M  e  a  n

Grade 3

Base Salary

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99,325

112,102104,843108,574

125,976118,372

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

2010 (n=39) 2011 (n=50) 2012 (n=53)

   M  e  a  n

Grade 4

Base Salary Salary Package

 

119,345

139,222126,330

134,907

154,414

141,251

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

2010 (n~48) 2011 (n=47) 2012 (n=51)

   M  e  a  n

Grade 5

Base Salary Salary Package

 

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 Aeae Saa Packaes – Piae and Pbic Secos Combined

gade 1:Sain

gade 2:3-5 eas

gade 2:3:4-10 eas

gade 4:10-15 eas

gade 5:15 eas ps

CSs

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4.1.6 Ch egs

Do you have any Chartered Proessional Engineers in your organisation? (Q18)

83% (n=295) had a Chartered Professional Engineer in their organisation.

 Are the Chartered Proessional 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 areindeed higher (n=247).

How much extra are Chartered Proessional Engineers paid than other engineers with

comparable job duties in your organisation? (Q20)

n esponse

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 ProfessionalEngineers indicated their salaries were 6%-30% higher than non-chartered engineers withcomparable duties. This is a slight increase from 3%-20% in 2011.

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What do you see are the benefts o employing a Chartered Proessional Engineer? (Q21)

% esponse

2012 (n=50) 2011 (n=49)

Industry recognition 30 24

Experience 24 16

Proessional image/standards 20 29

Well qualied/condence o competencies/more extensive training 16 14

Can sign documentation 12 16

Better client acceptance 10 8

Meeting o legislative/statutory requirement 8 –

Knowledge 6 12

Ethical/understanding code o ethics/responsibility 6 2Less supervision required 6 12

Oversee work/computation checking/technical advice 6 –

Certied/benchmark o expertise 4 12

More work/income opportunity 4 8

No benet 4 –

Continued proessional development/regularly updated/on changes 2 16

Senior/higher/mentoring role/graduate engineer 2 4

Guarantee/proessional indemnity/insurance benets 2 4

Commitment to engineering 2 2

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4.1.7 avg hs wk by gs p wk

On average, how many hours per 

week do ull-time engineers in your 

organisation work? (Q9)

 As observed in previous years,engineers in the pae eco tendto work more hours on average thanthose in the public sector. The majorityof private sector engineers (87%)work 36-50 hours. In comparison,90% of engineers in the pbc eco 

worked between 36 and 45 hours perweek and 68% worked between 36

and 40 hours per week.

<40

41-45

46-50

51-55

>56

Average Working Hours – Private Sector (n=303)

5%

19%

32%

38%

6%

<40

41-45

46-50

> 51

Average Working Hours – Public Sector (n=73)

1%

72 %

22%

5%

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Engineers Australia Salary and Benefts Survey 201216

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Does your company oer industrial training to engineering students? (Q16)

Do you have an Engineers Australia Proessional Development Plan (PDP) in place? (Q17)

 

6574 75

38 3643

0

20

40

60

80

100

2010(n=413)

2011(n=402)

2012(n=348)

2010(n=412)

2011(n=397)

2012(n=350)

Industrial training offered (Q16) Engineers Australia ProfessionalDevelopment Plan (PDP) (Q17)

   %   y  e  s  r  e  s  p  o  n  s  e

 Three-quarters of organisations reported that they offer industrial training to engineering students,consistent with 2011. There was also an increase (7%) in the number of organisations with anEngineers Australia Professional Development Plan (PDP) in place. At 43%, this represents thehighest percentage of PDPs since 2007.

4.1.8 Pss vp

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 The most requently mentioned benefts included in engineers’ complete salary packages in 2012 were:

• mobile phone (69%)

• proessional memberships (60%)

• laptop (56%)• perormance bonus (52%)

• vehicle or vehicle allowance (46%).

The top 5 benets have remained remarkably consistent over the last 3 years with mobile phones againthe most likely benet included in packages, oered by 69% o all organisations. The only change in these5 most common benets has been perormance bonuses (52%) jumping ahead o vehicles or vehicleallowances (46%) to be the ourth most common benet.

Outside o the top 5, extra superannuation provided by the employer and employee share schemes havebucked a downward trend and become more popular in 2012, with employee share schemes in particular

increasing rom 12% to 21%.

4.1.9 Bfs c gs’ sy pckgs

Do you oer your engineers salary packages (ie. benefts over and above base salary and

compulsory superannuation)? (Q11)

The majority o respondents (68%) conrmed that engineers are oered salary packages, with the remaining32% indicating that this was not the case at their organisation (n=383).

What types o benefts do you typically include in your engineers’ salary packages (over and

above their base salary and compulsory superannuation)? (Q12)

% esponse

2012(n=259)

2011(n=295)

2010(n=293)

Mobile phone 69 72 71

Proessional memberships 60 60 60

Laptop 56 52 55

Perormance bonus 52 49 49

Vehicle or vehicle allowance 46 54 52

Parking 31 28 33

Extra superannuation (in addition to compulsorysuperannuation)

29 25 27

Annual leave loading 25 25 25

Employee share scheme 21 12 16

Overtime 14 14 12

Prot share 11 12 11

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4.2 oh fgs 4.2.1 ex sy bfs

% esponse (n=99)

1-2% 4

3-5% 11

6-10% 18

11-20% 30

21-30% 18

31-40% 10

41-50% 2

More than 50% 6

 

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How are engineers employed

by your organisation normally 

compensated or working

overtime? (Q10)

Over one-third o respondentssuggested that no compensationwas oered or working overtime –returning to the level seen in 2010.Other popular mechanisms such astime o in lieu and overtime builtinto base salary both decreased in2012 by 4% with a small increasein organisations oering monetarypayment at an hourly rate (16% uprom 13% in 2011).

% esponse

2012

(n=372)

2011

(n=417)

2010

(n=436)

No compensation 35 28 35

Time o in lieu 23 27 24

Overtime built intobase salary2024 22

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4.2.4 Pcg cs ss

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 inthe next pay review? (Q43)

The percentage of engineers who had received a salary increase of 5% or more was down by10% (35%, compared to 45% in 2011). Although the percentage of engineers who received noincrease 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).

4.2.5 leae eniemens

Sck v

How many days sick leave do you oer your engineers per annum? (Q13)

Consistent with previous years, public sector engineers had more sick days oered compared to privatesector engineers. The majority o organisations in the private sector (74%) oered engineers up to 10 days osick leave compared to 33% in the public sector, whereas 40% o organisations in the public sector oered

11-20 days o sick leave compared to 14% in the private sector.

25%

 Actual 2012

Forecast

20%

15%

10%

5%

0%0%

7

14

8

12

26

17

7

110

26

17

14

22

10

7

21

7

1

1-2% 3% 4% 5% 6-7% 8-9% 10-15% 16-20% 20%+

 Acual/Frca prcag icra i alari

 Actual 2011 n=341 Forecast n=325

6977 74

13 11 147 5 2

35 36 33

48 4740

712 14

0

20

40

60

80

100

2010 2011 2012 2010 2011 2012 2010 2011 2012

1-10 days 11-20 days Unlimited

   %   r  e  s  p  o  n  s  e

 

2010 2011 2012 2010 2011 2012 2010 2011 2012

37

3 3 4 46 3 26

15 2 2 1

7

Determined ona case by case

basis

None More than 20 days

n Private Sector (2010 n=350, 2011 n=344, 2012 n=295)

n Public Sector (2010 n=75, 2011 n=66, 2012 n=70)

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P v

Do you oer any o the ollowing to your engineers? (Q14)

 

4743 40

50 48

59

4147

51

40 3741

78

6775

85 94 90

7176

7266

7672

0

20

40

60

80

100

2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012

Paid study leave Paid maternity leave Paid carers leave Paid paternity leave

   %   r  e  s  p  o  n  s  e

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 oered a range o dierentleave options compared to the private sector. Paid maternity leave was again the most common optionoered to engineers in the public sector (90%) despite alling by 4% rom 2011. The other orms o leave

were all reported to be oered by 70-75% o organisations in the public sector.In the private sector, paid study leave is becoming less and less common with 40% o organisations oeringthis option, continuing a downward trend. In comparison, paid maternity, carers and paternity leave allincreased.

Other paid leave offered in 2012

% esponse

Piae Seco(n=302)

Pbic Seco(n=72)

None 14 –Paid volunteers/community service leave 0 –

Extra week o annual leave 0 –

Paid study leave/training course leave – 1

Note: 0% represents n=1.

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4.2.6 Psgqfcs

 Approximately what proportion

o the engineers you employ on a permanent basis hold

 postgraduate qualifcations?

(Q36)

The proportion o engineers employedwho do not hold postgraduatequalications has remained relativelyconsistent year-on-year. In 2012, therehave been increases in organisationsreporting that 1%-10% o engineersheld a postgraduate qualication.

 

17 15 1610 7 10 11

712 14 15 17

0

10

20

30

40

50

60

7080

90

100

2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012

None 1-2% 3-5% 6-10%

   %   r  e  s  p  o  n  s  e

(2010 n=387, 2011 n=389, 2012 n=322)

1317

12 10 117

3 5 6 6 6 5

17 15 15

0

10

20

30

40

50

60

7080

90

100

2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012 2010 2011 2012

11-20% 21-30% 31-40% 41-50% >50%

   %   r  e  s  p  o  n  s  e

(2010 n=387, 2011 n=389, 2012 n=322)

 

What are the main types o 

 postgraduate qualifcations

 your engineers hold? (Q37)

Note: Only Masters Degreesare included. Only responses o 1% and above or the currentwave are shown. In the 2011

report the results included qualifcations other than postgraduate. These fgureshave been updated in thecurrent report to include only  postgraduate qualifcations.

Masters in Engineering (73%)remains the most common ormo postgraduate qualication, withMasters in Business Administration

and PhD the second and third mostrequently mentioned qualications(52% and 30% respectively).

% esponse

2012(n=233)

2011(n=292)

2010(n=274)

Masters in Engineering 73 66 73

Masters in Business

Administration

52 50 50

PhD 30 24 28

Masters in Science 18 16 15

Masters in Finance 5 2 3

Masters in Marketing 3 1 3

Project Management/ Masters/graduate diploma

1 1 1

Masters Leadership andManagement

1 – –

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4.2.7 gs

O the total number o engineers your organisation employs, approximately what

 percentage o them are emale? (Q6)

2012 results exhibited increases in the percentage o emale engineers employed in the private sector withmore private organisations reporting women made up 3%-20% o their engineering workorce. In the publicsector, there has been an increase in organisations reporting that women made up only 0%-2% o theengineering workorce.

2012 Percentage of female engineers employed

0

10

20

30

40

50

<50%21-50%11-20%6-10%3-5%0-2%

42

32

13

26

17

14

19 20

9 8

10

Private n = 289 

Public n = 65

2011 Percentage of female engineers employed

0

10

20

30

40

50

<50%21-50%11-20%6-10%3-5%0-2%

50

27

11

24

12

21

16

11 11

15

02

Private n = 353 

Public n = 62

2010 Percentage of female engineers employed

0

10

20

30

40

50

<50%21-50%11-20%6-10%3-5%0-2%

49

40

14

19

12 1113

22

11

7

2 1

Private n = 344 

Public n = 73

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4.2.8 Hr sss

What are the biggest HR issues or your organisation? (Q22)

Sta recruitment, retention and remuneration remain the key challenges acing HR teams.

% esponse

2012(n=287)

2011(n=340)

Employ/recruit/attract/suitable/qualied/experienced sta 19 27

Sta retention/constant turnover 17 22

Pay/remuneration/market rates/maintaining competitive salaries/wage equality 11 15

Finding engineers/Australian educated/experienced/qualied/good attitude/communication skills 10 9

No issues/none 6 5

Skills/eld knowledge shortage/various proessions 5 3

Good communication/between departments/management/employees 5 3

HR department policies/systems/lack support/inconsistencies/out o touch 5 3

Motivation/morale/challenges/keep interest 4 4

Reluctance to work in undesirable/remote/regional area/or long periods o time 3 4

Poor management/skills shortages 3 2

Not having a HR department/manager/onsite 3 –Training/identiying requirements/costs/locality/time 2 4

Work/lie balance/amily 2 –

Workload/overload/peaks/troughs 2 4

Job security/down sizing/term/cyclic work/nding uture contracts 2 –

Work ethic/incompetence/perormance/unsupervised/removing non perormers 2 2

Career planning/development/promotional prospects/lack o 2 3

Perormance management/assessments/requency/lacking/development 2 3

Mentoring/lack o senior engineers or young engineers/leadership skills 2 –

Occupational health and saety/sae working environments 2 –

Absenteeism/leave/sick/paid parental leave/time in lieu/RDO/management reluctance to approve 2 –

Succession planning/management/leadership 2 2

Note: Only responses 2% and above are shown.

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Please record the skills shortages experienced by your company by type o engineer 

and grade. (Q 24-32)

More than hal (56%) o respondents experienced a skills shortage in the last 12 months, a slight decreaserom 2011 where 63% reported shortages. Consistent with past years, the highest number o respondentsto report shortages related to Civil Engineers.

n esponse

gade 1 gade 2 gade 3 gade 4 gade 5 toa

Cii Eninees 33 35 61 52 39 100

Sca Eninees 28 26 46 38 30 68

Eecica Eninees 34 35 62 47 37 93

Mechanica Eninees 29 37 50 46 34 85

Chemic a Eninees 19 16 18 22 17 35

It, teecommnicaion,& Eeconic Eninees

25 25 26 22 19 55

Enionmena Eninees 17 12 17 17 17 36

Minin Eninees 15 13 13 15 16 29

Has your company experienced proessional engineer skills shortages over the past

12 months? (Q23)

56%

44%

Yes

No

% response(n=348)

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Which o the ollowing best describes the consequence o proessional engineering skills

shortages or your business? (Q35)

4.2.8 Hr sss (c)

What issues did your company experience due to recruiting difculties? (Q34)

% esponse

2012(n=195)

2011(n=251)

Could not recruit the required skill set 69 76

Longer recruitment period than normal 59 57

Paid a higher salary than expected to pay 32 43

Could not recruit at all 32 29

Recruited a dierent skill set or re-training 20 23

Sta recruitment, retention and remuneration remain the key challenges acing HR teams.

% response(n=196)

12% Mir

irriai bu mary 

iu

31% Majr

prblm, icludig

prjc dlay 

ad c

54% Mdra

prblm wih

m mary 

prblm

3% Did prcd wih

availabl prjc

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In what states or territories did your company experience proessional engineering skills

shortages? (Q33)

% esponse

 ACt

(n=14)

NSW

(n=53)

Nt

(n=8)

QlD

(n=83)

SA 

(n=25)

tAS

(n=5)

vIC

(n=48)

WA 

(n=81)

Cii Eninees 7 45 25 46 40 40 25 53

Sca Eninees 7 21 25 22 20 – 21 43

Eecica Eninees 36 55 38 49 40 20 48 51

Mechanica Eninees 43 25 50 43 48 20 33 48

Chemica Eninees 7 6 25 20 16 20 6 27

It, teecommnicaionsand Eeconics

Eninees

36 25 25 20 28 – 27 25

EnionmenaEninees

– 13 25 16 16 – 4 28

Minin Eninees 7 6 25 18 4 – 2 27

Do you expect your company to experience a proessional engineer skills shortage

over the next 12 months? (Q35a)

% esponse(n=308)

 Yes 44

No 56

In what states or territories do you expect your company to experience the shortages?

(Q35b)

% esponse

 ACt(n=13)

NSW(n=46)

Nt(n=6)

QlD(n=64)

SA (n=16)

tAS(n=6)

vIC(n=34)

WA (n=49)

Cii Eninees 8 50 17 36 19 33 15 43

Sca Eninees 23 28 33 20 19 33 15 33

Eecica Eninees 62 41 17 42 25 50 53 41

Mechanica Eninees 38 22 17 30 31 17 32 35

Chemica Eninees 23 9 17 16 13 17 9 16

It, teecommnicaions& Eeconics Eninees

54 22 17 16 25 33 26 18

Enionmena Eninees 8 13 – 16 – – 3 16Minin Eninees 8 2 33 22 13 33 3 27

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4.3 Sp chcscs

4.3.1 ogs yp 

4853

46

33 31 34

9 6 6

0

20

40

60

80

100

2010 2011 2012 2010 2011 2012 2010 2011 2012

Private sector Private sector consulting State Government

   %   r  e  s  p  o  n  s  e

(2010 n=442, 2011 n=429, 2012 n=383)

4 4 5 3 2 3 2 3 5

0

20

40

60

80

100

2010 2011 2012 2010 2011 2012 2010 2011 2012

Local government Commonwealthgovernment

Semi-government (egstatutory authority)

   %   r  e  s  p  o  n  s  e

(2010 n=442, 2011 n=429, 2012 n=383)

Which one o the ollowing best describes your organisation? (Q2)

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4.3.2 P pys

 Approximately how many permanent employees do you employ in Australia? (Q3)

 Approximately how many o the permanent employees are proessional engineers? (Q4)

 

17 17 1524 26

19

8 8 7

46 47

37

2125

21

8 7 11

0

20

40

60

80

100

2010 2011 2012 2010 2011 2012 2010 2011 2012

1-10 11-50 51-100

   %   r  e  s  p  o  n  s  e

Permanent employees (2010 n=435, 2011 n=420, 2012 n=371)

Professional engineers (2010 n=439, 2011 n=423, 2012 n=375)

20 25 22

5 6 7

2618

31

14 14 15

4 3 6 7 49

0

20

40

60

80

100

2010 2011 2012 2010 2011 2012 2010 2011 2012

101-500 501-1000 >1000

   %   r  e  s  p  o  n  s  e

Permanent employees (2010 n=435, 2011 n=420, 2012 n=371)

Professional engineers (2010 n=439, 2011 n=423, 2012 n=375)

4.3.3 P- pys

What percentage o the engineers are employed part-time by your organisation? (Q5)

% esponse (n=325 )

0-2% 56

3-5% 17

6-10% 12

11-20% 7

21-50% 4

More than 50% 3

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4.3.4 S

In which state do the majority o your engineers work? (Q8)

 

28 26 2428 29 27

19 18 16 15 1622

6 5 6 3 3 2 2 2 2 0 1 10

20

40

60

80

100

10 11 12 10 11 12 10 11 12 10 11 12 10 11 12 10 11 12 10 11 12 10 11 12

NSW QLD VIC WA SA ACT TAS NT

   %   r  e  s  p  o  n  s  e

(2010 n=447, 2011 n=429, 2012 n=383)

Note: 0% represents n=2 or less

4.3.5 Yg gs

O the total number o engineers your organisation employs, approximately what

 percentage o them are under 30 years old? (Q7)

 

19

5

13

21

33

8

0

20

40

60

80

100

0-2% 3-5% 6-10% 11-20% 21-50% More than50%

2012 (n=349)

   %   r  e  s  p  o  n  s  e

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5 SalarY taBleS

5.1 ts s

Sp szIndicates the average number o respondents romorganisations.

Sy

Gross base salary 

Annual salary excluding compulsory occupationalsuperannuation.

Total salary packageAnnual salary plus benets including items suchas motor vehicle, proessional memberships,superannuation, perormance bonuses,discounted loans, laptop computer, prot sharing,mobile phones, overtime, etc.

Ssc

Mean

The mean (or average) is the sum o the valuesdivided by their number.

Median

The median is the value o the middle item in aseries ater it has been arrayed according to size.

Upper and lower quartiles

The upper quartile is the top 25% and the lowerquartile is the bottom 25% o values.

5.2 dscp gs

gadeMinimm

qaifcaionsEpeience

Job dies/ esponsibiiies

Eampe o job ie

gade 1Bachelor oEngineering

(4 year degree)

Little or noexperience in the

practical side o work Work is overseen Graduate Engineer

gade 2 As per Grade 12 – 3 years’experience

Work is overseen

Chemical (orappropriate discipline)

Engineer Project

Engineer

gade 3 As per Grade 14 – 10 years’experience

Moving into managemento projects, people

and budgets–

gade 4 As per Grade 110 – 15 years’

experience

Manager o section,engineering unction andreview o technical work 

Senior Engineer orProject Manager

gade 5 As per Grade 1More than 15

years’ experience

Senior Manager odepartment or organisation,

may or may not be“ocused” on engineering

General Manager

or Deputy Director

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