Adam Brown, Manager of our Engineering recruitment team, provides his observations, predictions and advice from the 2023 PACE Survey for the Victorian Engineering industry.
Observations
Predictions from 2021 that it would get busier were accurate. The last few years, particularly last year, were the busiest in engineering across all sectors. Some reasons for this were record infrastructure budgets, a vibrant property market, and Victoria’s Big Build.
Candidate sponsorship went from 17% 2021, to 35% in 2022.
Highest rate of year-on-year salary increases ever recorded from PACE, trying to keep pace with the rate of inflation.
There has been more focus on diversity and inclusion policies.
Most companies have settled on three days working in the office with two of those being floating days. This is set to continue.
Jobs have been very safe, with only 0.5% of staff made redundant in 2022 and no one was enforced to reduce their hours.
While turnover was at 9.4%, the main reasons people left were for career development and higher salaries. It’s worth noting that the ‘Great Resignation’ never really affected the engineering industry like it affected some others. We didn’t really see an influx of turnover.
Predictions
Over half of engineering companies are feeling optimistic about the next two years and are still feeling confident in success, though the market may simmer a little. The same level of activity can’t be expected with the state budget and review of funding for the airport rail. Activity relies on access to funding, but the wiliness is there.
Graduate recruitment went up in the last year and is predicted to continue. Companies are becoming more open to training and sponsoring junior engineers due to the talent shortage.
There’ll be more of a stable market for jobseekers in the next 12 months than there was in the last 12 months with even job and talent demand.
Forecast that salary will increase by 4.7%. Advice from Adam is to benchmark your salary off where the market is at, not where you are at in life. It’s okay to be aspirational, but be realistic. Salaries are based on data – look at the Engineering salary tables in the 2023 PACE Survey. Third party consultants have a lot of insight into the market, listen to their advice. They’ll champion you and get the best result for you.
Looking for a job in Engineering? Get in contact with our Engineering Recruitment team.
If you’re after more insights from PACE, you can download the free 2023 PACE Salary Guide & Market Report.
