Demand for IT Talent Grows As More Companies Adopt DevOps
March 25, 2019

Nigel Kersten

As companies change the way they deliver IT services and software, businesses need the right talent who can adapt to this shift and raise the bar for software delivery. This is proven to be true with Puppet’s fifth annual 2018 DevOps Salary Report, revealing that as the IT jobs landscape continues to evolve, larger organizations with more complex infrastructure are paying more for better talent and diverse skills.

For example, at organizations with over $2 billion in revenue, 79 percent of IT jobs pay $75,000 or above. Comparatively, 47 percent of IT jobs at organizations with less than $50 million in annual revenue pay within the same range.

The report also revealed the pay gap for minorities is closing in comparison to previous years. While people who identify as part of a minority group still receive lower salaries in slightly higher percentages and higher salaries in lower percentages, the deltas are smaller than in 2017.

For example, 26 percent of minorities earn less than $50,000 globally, which is an improvement from 30 percent in 2017.

In addition, there’s been progress for minorities in the higher salary ranges as well. In 2017, only 11 percent of underrepresented people made more than $125,000. In 2018, 22 percent of people in a minority group made $125,000 and 37 percent made more than $100,000.

As for the gender pay gap, the report reveals there is a lot more work to be done. Globally, 46 percent of women make less than $50,000 while only 24 percent of men are below this figure. In the US, only 3 percent of men report incomes of less than $50,000 while 23 percent of women are below this threshold. The inverse is true among higher salaries as 26 percent of women are above $100,000 versus 62 percent of men.

Other key findings revealed in the DevOps Salary Report include:

■ For the third year in a row, respondents from the US reported the highest percentage of salaries over $100,000 at 64 percent. No other region was above 30 percent. By comparison, only 14 percent of European respondents reported an income over $100,000.

■ IT practitioners’ salaries are continuing to increase and are closing in on manager salaries in most parts of the world, supporting the notion that new tooling related to automation and DevOps does not lead to a loss of jobs in the workforce, but rather a higher demand for expertise. For example, fewer than six percent of US respondents reported making less than $50,000 — indicators of a tight labor market with higher entry-level compensation for more advanced skill sets.

■ Globally, the gender pay gap is narrower for managers as 41 percent of women in management earn more than $100,000 compared to 46 percent for men.

■ 47 percent of respondents in retail make more than $100,000, about ten percent more than any other vertical including healthcare, financial services and technology.

Methodology: The salary report is based on data collected from 3,000 professionals across six continents.

Nigel Kersten is VP of Ecosystem Engineering at Puppet
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