Procurement 'bucks salary trend'

1 March 2006
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01 March 2006 | Rebecca Ellinor

Purchasers in middle management have outperformed the earnings trend in the past year, with pay rises of up to 5 per cent.

According to research from purchasing recruitment firm Purcon, a slowdown in growth in national average earnings over the first three quarters of 2005 has not prevented procurement from "standing out".

"The demand for middle management in the £30,000-£50,000 salary band bucked the trend," the report found. The average rise for other professions was 2.7 per cent.

Although middle managers did well, the wages of new entrants were in line with the national average, while those in senior management on £50,000-plus, fared worse, down 2-5 per cent.

It was one of several findings in the quarterly salary survey, which identifies patterns from figures collected over the past year.

The research also found purchasers with experience or expertise in IT, HR, marketing and professional services are particularly in demand.

Jenny Cooke, senior manager for compensation and benefits, who compiled and analysed the research, told SM: "Staff with this experience are moving around more. There are not enough of them to fill the roles needed so they are being offered more money."

Lucy Harding, head of recruitment at Purcon, said demand for these skills came from the need to make savings in indirect spend areas, where savings on direct spend have been exhausted.

The research also revealed a high demand for experience of low-cost country sourcing and outsourcing to India, Eastern Europe and China.

The firm said anecdotal evidence suggested those at the top level were being attracted to jobs that offered challenges or allowed a work-life balance.

Harding added that firms were offering higher rewards to those with the "right blend of interpersonal skills with the ability to influence key stakeholders across the business".



SMmar2006

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