Understanding Rewards & Attitudes Helps Employers Hire & Retain Staff
Year of the Pig
What is it that the survey tells us about the rewards and motivations of employees? What do professionals in the industry think about the future? How do they believe their companies will perform during 2019? Here is a summary of a few of the main findings of the survey. This year’s RICS and Macdonald & Company Rewards and Attitudes Survey incorporates questions measuring both rewards and attitudes, and introduces experience-level banding and seniority- and industry-specific data. As such, this year’s survey provides the answers that will help employers in Asia, employees and industry bodies to consider and deliver successful policies and strategies.
Salaries Rise Despite Uncertainty
2018 may be remembered as the year of uncertainty with China, the USA, UK and Europe experiencing headwinds, but nonetheless salaries paid to professionals in the real estate and built environment generally rose. The industry could have been held back by many factors. Trump’s trade wars and global geopolitical concerns may have dented the confidence of market observers, but this appears not to have translated into the real world of work.
Each industry sector saw median base salaries increase substantially. Measured across all industries, those who received a salary increase benefited from an average 7.5% increase. Though this is down from the 10% increase reported in last year’s survey, it is a significant rise in a year when inflation and confidence have both been subdued. Broken down by the industry sector, the survey found that median base salaries increased as follows:
The annual pay review continues to be the main reason for a salary increase. Of the 55% of professionals who reported a salary increase over the previous 12 months, 61% received their pay increase at their annual review. The other major reason for a salary increase included:
Here we break down the median base salary increase by industry compared to 2018:
RICS Qualification Makes a Huge Difference to Salaries
As well as learning that employers reward their employees for gaining professional qualifications, the survey discovered just how big a difference a professional qualification makes to base salaries. This year’s survey found that the difference between salaries for RICS qualified and non-qualified respondents has widened substantially. 54% of respondents to the survey feel that one of the main benefits of RICS qualification is a higher salary, and it appears that this belief is correct. In the 2018 survey, RICS qualified respondents reported an average salary of 18.1% higher than their non-qualified peers. This year, the difference has more than doubled to 38% ($78,072 vs. $56,800). Other benefits of RICS membership were cited as professional accreditation, working to international standards, career advancement, and networking options.
Experience Pays Higher Salaries
When considering experience of employees, companies are willing to pay sizeable premiums to more experienced staff. The median salary rises rapidly for those with between two and four years of experience, to $35,520. Those with between 11 and 15 years of experience receive an average median salary of $78,492. Median salaries continue to rise throughout a career in the real estate and built environment as follows:
Experience means Higher Bonuses and LTIPs
Real Estate Gender Pay Gap in Asia rises with age and experience
Do Bonuses Cloud Gender Pay Gap?
How Real Estate Professionals Feel
What Annoys Professionals Most
- No salary review (70%)
- Lower-than-expected bonus (63%)
- Lack of line manager recognition (60%)
- Having to work during annual leave (58%)
- Unreliable/slow technology (57%)
- Having to work weekends (56%)
How Employers Attract and Retain the Best People
Work/life balance considerations also rated highly, with the freedom to set their own hours and occasional working from home being cited most impact by 26% and 19% respectively.
it is perhaps surprising to learn that 53% of respondents consider themselves to be either likely or very likely to move jobs in the next 12 months. Though down from 68% in last year’s survey, this level of potential job mobility remains a worrying statistic for employers who need to ensure their operations are manned by suitably experienced and qualified staff. Higher staff turnover leads to higher costs and less consistency of service delivery.
Staff Retention Remains Priority
The survey asked respondents about career expectations. Questions sought to discover if professionals were likely to be seeking new opportunities this year. In a year in which there is so much uncertainty (and it is generally considered that global economic growth will slow),
RICS Qualification PaysThe 2019 survey provides unrivalled and highly detailed insight into how professionals feel about their roles, their work, their employers, and the future for the industry. Responses were collected from Singapore (23%), Hong Kong (21%), India (13%), Australia (13%) and China (9%) among other countries.
The spread of responses allows us to learn much about how the industry rewards its employees and how those employees are feeling about their work, employers, and the industry. In current market conditions, it is imperative that employers understand how their employees feel and think. This information is essential when considering hiring and retention strategies. The findings of the 2019 Asia salary survey are invaluable to all employers in real estate & the built environment.
Clearly, remuneration is an important motivator for people when making the choice to stay with or leave an employer, as well as when considering new opportunities. However, it is also clear that people have a desire to do good work and be recognised for their performance, including opportunities for training and development, and to advance their careers.
Further Remuneration Insights
We have provided a summary of the survey’s main findings. The full survey offers much more, including how professionals think their companies will perform, views on how the industry will fare in the future, and how professionals believe their own careers, salaries and bonuses may evolve.
As the leading professional recruitment consultancy for the real estate and built environment sectors, and the preferred recruitment partner of RICS, our job is to help employers access the very best talent in real estate & the built environment and help that talent find the best employer for them. As such, we consider the survey essential reading, giving unparalleled insight to employers who forge their own success and are winning the war for talent. To benefit from this insight and learn more of the surveys findings, contact Macdonald & Company today.