BRIEF – 26 May 2010 – The property industry is experiencing a turnaround in fortunes with business conditions stabilising, confidence returning and employees looking to hire new staff, according to a report released by HR consultancy Avdiev.
The Avdiev Property Industry Rumuneration Report details that the “era of pay cuts and freezes is almost over”, that “job creation has stabilised” and that the “next phase may be a jobless recovery”
Based on a series of remuneration benchmarking studies of employers conducted since the start of the year, Avdiev believes that “a boom and the war for talent may return” and that “the push for pay rises is well and truly on,” with employees “having gone without a pay increase for a year or longer the team is getting restless and employers are seeking guidance on how much is enough.”
The report details that “40 per cent of companies are expecting to return to regular pay increases for staff and that “some are contemplating a catch up to compensate for wage freezes in previous years.”
Other key points include:
- Annual pay increases to April 2010 ranged from 0 per cent for seniors to 2 per cent for juniors, while the general workforce pay increased by 5.6 per cent. Bonuses dropped substantially or were dropped altogether. However the forecasts “are much more positive.”
- Women in property now make up 42 per cent of the total workforce of contributor companies, up from 37 per cent in 2006. They total 90 per cent of all secretarial and administrative staff, and 40 per cent of all junior professional roles. Women occupy 14 per cent of all chief executive and managing director positions, and 20 per cent of non-executive director and division or business unit heads.
- The outlook for hiring new senior staff is improving. Almost 50 per cent of contributors expect to fill vacancies as they arise, up from a 37 per cent finding last year. However, they will not take back staff made redundant, and intend to continue handling recruitment in-house, despite improving business conditions.