Korn Ferry Hay Group Industry Pay Index Shows Technical, Industrial Sectors Are Top Paying
STEM-dependent sectors – oil and gas, chemicals and life sciences –
offer top pay worldwide. In
the United States, life sciences tops the chart, paying 30 percent above average.
- Differences in pay vary across job levels within industries, trending toward the norm as employees gain seniority.
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The study findings come from an analysis of senior manager, mid-level
and clerical pay across 78 countries included in
Highly Technical Skillsets Pay Off
Toward the top of the list of highest paying industries around the
globe, the chemicals (9 percent above the average) and life sciences (8
percent above the average) industries pay higher than average wages
across the board. Despite the current trends in the oil and gas
At the bottom end of the scale, the retail sector typically pays 12 percent below the average, while the construction and services industries both pay 4 percent less than the overall average.
“As global economies continue to grapple with weak consumer spending,
it’s little surprise we see industries more reliant on hourly wage labor
at the bottom of our ranking, worldwide,” said
U.S. Industries Trend Higher, But Pay Varies Across Levels
“As on the global level, we’re seeing highly technical STEM-focused
roles paying off for workers in
Pay Trends Largely Consistent Across Title Levels
When looking at pay within industries on the basis of these title levels, the analysis found pay trends remain largely consistent – that is, those industries that pay more on average, pay more across all title levels, while those that pay less, pay less across all levels.
According to the study, many industries see employee pay trend above the
average more often for lower level staff than for more senior
executives. For example, the chemicals industry typically pays clerical
or skilled entry level staff 20 percent more than the all industries
average, or about
Life sciences (30 percent above the average), utilities (24 percent above the average) and oil and gas (24 percent above the average) lead the way in above-average employee pay at the clerical and skilled manual title level. At the senior manager level, oil and gas (29 percent above the average) and life sciences (28 percent above the average) continue to lead, and are joined by the high tech (11 percent above the average) industry in providing the highest boost over average pay for senior employees.
“As overall pay increases at more senior levels, pay moves toward the norm across all industries, as each percentage point above or below becomes relatively more expensive,” explained Frost. “At less senior levels, paying employees 10 percent or even 20 percent more than the average represents a smaller cost to employers than a 10 percent bump at the senior manager level.”
Please note: This study should be credited to “Korn Ferry Hay Group,” and not “Hay” or “Hays,” which are separate and unrelated organizations.
About the study
The data was drawn from Hay Group’s PayNet database which contains data for more than 20 million job holders in 24,000 organizations across more than 110 countries.
For Korn Ferry
Evan Stisser, 212-221-4616