The average procurement salary in Australia and New Zealand has risen 5.5% this year, according to the CIPS/Hays Procurement Salary Guide.
Procurement and supply chain professionals now have an average salary of AU$140,636 in Australia and NZ$130,427 in NZ.
Salaries for advanced professional level roles such as procurement director were AU$205,000 and NZ$191,000 in Australia and NZ respectively. For professional level roles such as procurement manager, the average salary was AU$158,000 and NZ$133,000. Operational level roles such as a procurement specialist received salaries of AU$103,000 and NZ$107,000.
The 5.5% pay rise in the sector compares to national average increases of 1.4% in Australia and 1.6% in NZ, the report said.
In Australia, men earned 17% more on average than women in the procurement sector. There was no data available for NZ.
Salaries were higher in the private sector in both Australia and NZ, by 6% and 3% respectively.
Procurement professionals fully qualified as MCIPS and FCIPS earned salaries on average 20% higher than those not fully qualified.
Across both countries, 63% of those surveyed received a pay rise this year, which was on average 11% (Australia) and 9.5% (NZ) of salary.
Just over half (53%) of employers in the survey said they had struggled to find the right talent in the last 12 months. The skills most in demand were communication, cited by 48%, internal stakeholder management (46%) and influencing skills (44%).
The biggest barrier to recruitment was salary expectations, according to 54% of respondents. This was followed by lack of sector skills and experience (51%) and being the right fit for the organisation (49%).
Half (47%) of respondents reported their work-life balance had improved as a result of Covid-19 and 34% of procurement professionals would prefer to continue working remotely over the next 12 months. Only 2% would like to return to the office full-time.
Scott Dance, director, Hays Procurement & Supply Chain, said it seemed likely attitudes towards flexible working had seen a permanent shift.
“While flexible working was already a prominent trend in procurement prior to the pandemic, Covid-19 has confirmed teams’ continuing ability to innovate, strategise and navigate challenges together, even when working in different locations – and our findings show the importance professionals place on flexible working strategies.
“As the wider market continues on its journey of growth and recovery, remote working will be an important element of any employer’s candidate attraction strategy, so it should be offered wherever possible.”
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