Technology salaries have recovered to the highest level since 2000, with government and
defense salaries showing the largest gains, according to a new study.
”Salaries are up 2 percent, which is nothing to write home about,” says Scot Melland
president and CEO of New York-based Dice, Inc., an online recruiting service for IT
professionals. ”But the fact that it’s up shows that the market is changing for the better
for tech professionals who have seen their salary decline for the past 18 months or so.”
The Dice Salary Survey Report, which culled information from 21,000 high-tech professionals,
shows that the average IT salary increased 2 percent, going from $67,900 in 2002 to $69,400
in 2003. For the second year in a row, government and defense salaries showed the largest
come back, increasing $2,600, or 4 percent, to $64,600. Salaries in the computer hardware
industry, one of the hardest hit industries in the downturn, also increased 4 percent to
$57,900.
”We try to look at this in combination with other indicators, like the number of jobs
posted on our site, which has increased 40 percent over last year,” adds Melland. ”Our
customers tell us they intend to increase their hiring this year. At the end of the third
quarter, we did a survey of 300 hiring companies and recruiters and 49 percent of them said
they would be hiring more this year than last year. When we did the same survey the year
before, 70 percent said they were hiring less.”
These signs of life in the tech industry come as a welcome relief to the IT workers who have
been downsized, shuffled into other jobs, asked to take on extra work, underemployed or
forced to leave the industry all together. It hasn’t been a pretty picture or an easy row to
hoe since the tech bubble burst several years ago and the country’s economy went into a
slump.
What was once the revenge of the nerds — having high-paying jobs in ground-breaking
companies while living in big houses and driving fast cars — quickly turned into a story of
repossessed possessions and stock options gone bust.
On top of the tech bust and the sagging economy, IT workers also had to deal with hundreds
of thousands of jobs moving out of the country. Suddenly, jobs like application development
and data mining were being done in China or India, leaving fewer jobs for the growing number
of unemployed to vie for.
”Offshoring has definitely been affecting hiring,” says David Foote, president and chief
research officer of Foote Partners, LLC, an IT research firm based in New Canaan, Conn.
”And there’s different estimates out there about how many hundreds of thousands or millions
of positions are lost. The big question going forward is going to be if IT spending
continues to grow, will outsourcing take up all of that growth?”
Foote, who recently released his own upbeat salary survey, points out that estimates from
the U.S. Bureau of Labor show tech jobs growing faster than offshoring. That means there
should be a renewed demand for IT workers and a renewed push in salaries.
”We’re not back to where we were but the employment market is getting better,” says Foote.
”The increase in job opportunities shows that, along with the bounce back in salaries.”
According to the Dice study, network and MIS manager positions had the largest salary
increases over the past year, gaining 7 percent and 5 percent, respectively. Both positions
have seen steady salary growth since 2001.
The highest paying titles remained identical to last year. IT management was at the top at
$104,000, with project management following at $88,300. Systems developer, with an average
salary of $83,200, and software engineer, at $81,400, were the top paying non-management
titles.
Top paying skills include SAP and Peoplesoft. Full-time workers with these skills reported
earning $81,200 and $78,600, respectively. Full-time tech workers with experience in Unix
and C/C++, the two skills most requested by employers on the Dice site, reported earning
$75,200 and $72,400, respectively.
Huawei’s AI Update: Things Are Moving Faster Than We Think
FEATURE | By Rob Enderle,
December 04, 2020
Keeping Machine Learning Algorithms Honest in the ‘Ethics-First’ Era
ARTIFICIAL INTELLIGENCE | By Guest Author,
November 18, 2020
Key Trends in Chatbots and RPA
FEATURE | By Guest Author,
November 10, 2020
FEATURE | By Samuel Greengard,
November 05, 2020
ARTIFICIAL INTELLIGENCE | By Guest Author,
November 02, 2020
How Intel’s Work With Autonomous Cars Could Redefine General Purpose AI
ARTIFICIAL INTELLIGENCE | By Rob Enderle,
October 29, 2020
Dell Technologies World: Weaving Together Human And Machine Interaction For AI And Robotics
ARTIFICIAL INTELLIGENCE | By Rob Enderle,
October 23, 2020
The Super Moderator, or How IBM Project Debater Could Save Social Media
FEATURE | By Rob Enderle,
October 16, 2020
FEATURE | By Cynthia Harvey,
October 07, 2020
ARTIFICIAL INTELLIGENCE | By Guest Author,
October 05, 2020
CIOs Discuss the Promise of AI and Data Science
FEATURE | By Guest Author,
September 25, 2020
Microsoft Is Building An AI Product That Could Predict The Future
FEATURE | By Rob Enderle,
September 25, 2020
Top 10 Machine Learning Companies 2020
FEATURE | By Cynthia Harvey,
September 22, 2020
NVIDIA and ARM: Massively Changing The AI Landscape
ARTIFICIAL INTELLIGENCE | By Rob Enderle,
September 18, 2020
Continuous Intelligence: Expert Discussion [Video and Podcast]
ARTIFICIAL INTELLIGENCE | By James Maguire,
September 14, 2020
Artificial Intelligence: Governance and Ethics [Video]
ARTIFICIAL INTELLIGENCE | By James Maguire,
September 13, 2020
IBM Watson At The US Open: Showcasing The Power Of A Mature Enterprise-Class AI
FEATURE | By Rob Enderle,
September 11, 2020
Artificial Intelligence: Perception vs. Reality
FEATURE | By James Maguire,
September 09, 2020
Anticipating The Coming Wave Of AI Enhanced PCs
FEATURE | By Rob Enderle,
September 05, 2020
The Critical Nature Of IBM’s NLP (Natural Language Processing) Effort
ARTIFICIAL INTELLIGENCE | By Rob Enderle,
August 14, 2020
Datamation is the leading industry resource for B2B data professionals and technology buyers. Datamation's focus is on providing insight into the latest trends and innovation in AI, data security, big data, and more, along with in-depth product recommendations and comparisons. More than 1.7M users gain insight and guidance from Datamation every year.
Advertise with TechnologyAdvice on Datamation and our other data and technology-focused platforms.
Advertise with Us
Property of TechnologyAdvice.
© 2025 TechnologyAdvice. All Rights Reserved
Advertiser Disclosure: Some of the products that appear on this
site are from companies from which TechnologyAdvice receives
compensation. This compensation may impact how and where products
appear on this site including, for example, the order in which
they appear. TechnologyAdvice does not include all companies
or all types of products available in the marketplace.