Wage expectations rise in line with skills drought

Hays recruiters are putting a premium on mine workers whose expectations are in inverse proportion to the availability of skilled labour. Key findings in the Hays Salary Guide found the top five mining skills in demand are both mining and exploration geologists, mine surveyors, underground mine engineers, electricians and HD fitters. The top three benefits sought by mining professionals are training, more than 20 days annual leave and share incentives. At the same time two-thirds of mine employers intend increasing permanent staff levels in the next financial year and more than half will increase their use of temporary and contract staff. The FY22-23 Hays Salary Guide found 86 per cent of mining employers will increase salaries in their next review, up from 57 per cent last year. Related: Women behind the wheel in Cape machinery skills program Of these, 36 per cent intend to raise salaries by over three per cent, while 50 per cent will increase salaries by less than three per cent. According to Hays Mining, 73 per cent of employers say the skills shortage has forced them to offer higher salaries than otherwise planned. For their part, 77 per cent of the mining professionals Hays also spoke to say their performance and the demand for their skills merits an increase greater than three per cent. Overhalf (61 per cent) say the skills shortage has made them more confident to ask for a pay rise and 67 per cent have already benefited from the skills shortage through a salary increase, new job or both. Only 29 per cent are satisfied with their current salary. Fueled by Competition Intense competition for skilled professionals will translate into gradual salary increases this coming financial year, Hays Mining regional director Chris Kent said. “Moving away from the salary stability stance of recent years, employers say the skills shortage is the reason increases are higher than planned. “Already 98 per cent are experiencing a skills shortage. 97 per cent say it will impact the effective operation or growth plans of their organisation. “This is fuelling a once-in-a-career market. Previously camouflaged by skilled migration, and further impacted by headcount growth, skills shortages have reached a level unmatched in our years in recruitment and sparked deliberate salary increases from employers. “However, while both the value and extent of salary increases is rising, employees’ expectations are growing faster. In a job-rich, candidate-poor market, they feel more assured of their worth and have prioritised a pay rise. “In such a market, the number one question we’re asked by employers is how to stand out as their preferred candidate’s first choice.” The answer included a package of responses which includes wage increases said Mr Kent. “We suggest that today’s skills shortage presents an opportunity to define a new equation in the world of work. “Salary increase budgets only extend so far, so consider the full value exchange for each role. Along with salary, consider benefits, upskilling, career progression, purpose, and the relationship employers have with their employees.”

Wage expectations rise in line with skills drought

Industry Queensland

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