Government and defense salaries fared well in survey for third year in a row
Job board Dice’s annual salary survey shows that average salaries for technology professionals declined in 2004. Overall, tech salaries in the U.S. dropped 2.6% from an average of $69,600 in 2003 to $67,800 in 2004. This drop is partly due to declines in the computer software and Internet services sectors, and sliding salaries for contractors and consultants.
Based on responses from more than 23,000 technology professionals, the 2004 Annual Salary Survey points to changes in the high-tech sector as the demand for specialized technology skills continues to build in the government and defense sectors. For the third year in a row, government and defense salaries fared well in the survey. Pay for positions that often require security clearance gained 2.9%, increasing from $64,600 to $66,500.
“Salaries are still feeling the tech slowdown of 2002 and 2003,” Dice President and CEO Scot Melland says. “Now that demand is picking up, we anticipate seeing salaries rise as labor markets tighten. In fact, we have already started to see this happen in markets such as Southern California, Washington D.C., Atlanta and in government and defense related industries.”
Washington D.C.’s average salary of $74,000 in 2004 represents a 3.6% increase over 2003. Atlanta increased 2.6% to an average of $75,500, and Southern California picked up 1.1%
Silicon Valley and New York remained the top two paying U.S. markets for tech workers, with average salaries of $84,200 and $76,500, respectively. Atlanta edged out Boston’s $75,300 to become the third highest paying market in 2004.
Among other trends in the study, salaries continued to decline for contractors and consultants. Contract workers earned an average of $82,000 in 2004, down 9.1% from 2003 earnings.
And the gender gap holds steady at about 11%, though it varies by industry. Women reported salaries on average of $60,400 and men reported earning an average of $67,800. The gender gap was lowest for women who entered the tech market during the boom years, and women’s salaries were on par with men’s in the computer hardware industry. However, the gap widened to 17% in the banking and financial sector.
For more information on the survey, including a breakdown of results by region, age, experience level and skills, go to https://marketing.dice.com/rateresults
