IT salaries are remaining flat as western countries outsource expertise to foreign shores.
Victor Janulaitis, the CEO of Janco Associates told Computerworld that IT salaries have not really kept pace with inflation. A new report by the Economic Policy Institute (EPI) said that in the US, in 2000, the average hourly wage was $37.27 in computer and math occupations for workers with at least a bachelor's degree. In 2011, it was $39.24, adjusted for inflation.
That means salaries have gone up only 0.5 per cent a year and by $1.97 an hour the last decade. The Washington-based think tank gathered data from the Current Population Survey, a monthly survey of households conducted by the Census Bureau for the Bureau of Labour Statistics.
Joel Capperella, vice president of marketing for Yoh, said companies using contractors to staff up temporarily during periods of high demand and essentially "run virtual just-in-time talent supply chains."