Salary growth signalled in last three months

The average New Zealand wage is increasing. Data released by SEEK New Zealand today, shows the average salary package for Kiwi’s has risen month on month for the past three months, signaling a steady increase in what we get paid.

Since September 2010, the average salary package has increased by $619 to $69,140, a positive sign for those who have gone without a pay rise over the past few years as the economy has recovered.

Helen Souness, Senior Executive at SEEK welcomes this positive news for workers but cautions employers on what expectations could be in the New Year.

“After two years of widespread pay freezes and retrenchment, the job market is stabilising and employees no longer feel grateful ‘just to have a job’. The New Year is the traditional time for people to review where they are in their career and those who have not received a pay increase recently may be motivated to look at other options,” says Ms Souness.

The potential for a high level of job churn in 2011 is highlighted by the recent SEEK Satisfaction and Motivation survey which found 70% of Kiwis are keeping their eyes open for new opportunities in the New Year. The survey also found many job seekers choose to chase a higher paid position rather than negotiate a pay rise with their current employer, with 28% of people listing salary as the most important aspect in their choice of a new job.

“Many employees feel the only way to receive a significant increase in their salary is through a change in employer. As the employee market changes in the New Year, companies who want to keep valuable staff members will need to review the market rate for their roles and adjust salaries accordingly,” says Ms Souness.

“For companies who cannot afford pay rises offering non financial benefits such as flexi time options might be another way of demonstrating their appreciation and how much they value that individual.”

For the best chance to earn the highest salary, workers will need to head to Wellington where the average salary package is $5,252 higher than the national average and over $3,000 higher than the Auckland average. Surprisingly workers in the West Coast and Taranaki also receive higher than the national average salary levels.