Recent data reveals that tech worker salaries in Australia have stagnated, and job openings have significantly decreased. Yet according to a report from Employment Hero, candidates continue to demand salaries comparable to those during Silicon Valley's boom.
The company's SME Index, analysing more than 150,000 small and medium-sized businesses, indicates a slight decrease in the median hourly rate for tech employees to A$57.12, marking the only sector experiencing a pay reduction.
Following the pandemic-driven salary spike across all industries, the tech sector still boasts the highest median hourly rate. However, the sector has cooled, with a 4.8% drop in the median hourly rate from January to February and negligible 0.1% employment growth.
Eddie Kowalski from Employment Hero interprets this as a market correction post-pandemic, with potential long-term growth but immediate financial pressures on workers.
James Fogelberg of Landmark ID notes that job market dynamics have shifted, with a surge in applicants yet persistently high salary expectations.
“Even those candidates who have been made redundant from Silicon Valley-based businesses are expecting the same pay from an Australian-based technology business, even though the market is awash with talent and job applications are surging,” Fogelberg said.
This trend is echoed in the broader ICT sector, with sluggish salary growth and a 32.2% decline in job ads year-on-year. While certain skills like cybersecurity remain in demand, the overall market shows a cautious approach to tech hiring and compensation.