Covid-19 has changed the way we work and live. It made companies around the globe consider closing their offices and implement new strategies to survive. Remote work has become the new standard and tech salaries are skyrocketing. 

However, not everything is perfect and world-class companies are already implementing new policies that might impact tech professionals’ earnings. This article will help you understand how the new normal is affecting tech wages and how the future is changing for tech talent.

Salary Equity

There’s no doubt that tech professionals are among the best paid worldwide. In the US and the UK, their salaries are outstanding. According to Hired’s 2020 States of Salaries report, in 2019, the average salary for US tech professionals was $146,000. Tech wages have been consistently growing year by year, but there is still racial bias and ageism. Hired’s report demonstrates how existing initiatives aren’t effective and there’s work to do to make a better workplace. 

The salaries offered to black professionals were lower than salaries offered to white tech professionals with the same role and same skills. Although it might not be a surprise for several, knowing that salary expectations are also affected can be more discouraging.  

Hired’s report shows that Black professionals have lower expectations than white, Asian, and Hispanic professionals. For example, a Black software engineer would ask for a lower salary than an Asian software engineer with the same skills and job title. This has made organizations consider new ways to improve their equality and inclusion strategies.

Adjusted Remote Salaries

Remote work has been a dream come true for many. Employees can move from one city to another and keep the same salary. Nonetheless, companies like Facebook are already taking action. 

Adjusted compensation is now real and workers will get a salary depending on their location. For example, imagine that you get a job in San Francisco and you want to move to Denver. Denver’s living cost is lower than in the Californian city. In that case, your net salary would be higher if you keep your San Francisco salary. But, since companies are implementing adjusted compensation, if you move to Denver, you would get a Denver salary. 

Job Security

According to Hired’s report, tech talent is split on job security. Forty-two percent of tech professionals are concerned about getting fired in the next six months. On the other hand, 58 percent are not concerned because they feel very confident about finding a new job with ease. Most tech workers don’t expect their salaries to decrease in the next few months. In fact, they expect to receive a raise. Although it may come true for many professionals, companies are facing a lot of uncertainty and tech employees’ wages will probably stay the same in the next six months.

Employee Engagement

Keeping employees happy has been an uphill struggle for many employers during Covid-19. Offering remote positions have allowed organizations to reduce costs. It also has been key to meet employees’ needs. However, Hired’s report shows that most tech professionals wouldn’t take a pay cut for a permanent remote position.

Remote work has proven to increase employees’ job satisfaction and companies’ productivity. But, more than half of tech professionals would prefer a part-time remote job. They would want to work from the office for at least one or two days a week. Tech talent outside the US is real since coding schools are going overseas to offer their services. Professionals from Latin American or Asian countries would expect even lower salaries and are likely to provide the same results. Consequently, those that don’t take a pay cut may suffer in the next months. 

Conclusion

In general, the work environment has significantly changed during Covid-19. Remote work is here to stay and more companies will offer remote positions. Tech salaries will continue to grow but probably at a slower pace. Whatever happens, starting a tech career will continue to be a great alternative to overcome future challenges. Hence, don’t hesitate to visit Bootcamp Rankings and check the list of the best online coding bootcamps in the market.