CIMA Canada members salary survey 2010

Transcription

1 CIMA Canada members salary survey 2010

2 CIMA salary survey 2010 Canada Foreword 2 Executive summary. 3 Main findings. 5 Salaries and bonuses. 5 Age... 7 Recruitment and retention. 9 Satisfaction with salary and benefits.. 9 Importance of benefits Working hours. 12 Skill set requirements Geographical mobility Extent of movement.. 16 Top destinations Future One word to describe CIMA difference.. 17 Canada salary information Technical information. 18 Further information. 19 Global contacts. 20

3 1 Foreword Despite the extremely difficult economic conditions the West has been experiencing, prospects for CIMA members appear to be extremely favourable. Prudent businesses are increasingly turning to our members to help drive them through the downturn and on to sustainable success in the long term. This demand for management accounting expertise is reflected in the results of our second global members salary survey. Clearly, CIMA members are highly valued, during a period when businesses are looking for skilled financial managers to put them on a firm footing. Our global survey of CIMA members shows that Chartered Management Accountants earn significantly higher salaries than the national average in every nation featured in our research. In developed economies, members salaries are usually between two and three times the national average. However in developing economies such as Sri Lanka and Malaysia, we found CIMA members earning up to ten times the average - with the service industries offering particularly favourable wages. Bonuses are also featuring as a significant proportion of member remuneration. By country, this accounts for between 8% and 20% of their salary with the highest rewards being offered in the USA and Hong Kong. The economic turbulence has had a mixed effect on our membership. Our survey show that Australian and Malaysian members received the most significant increases in average remuneration since our last survey in But countries such as Sri Lanka and the UK have experienced only modest growth. A cause for some concern is the earnings disparity between genders. Across the world, male CIMA members appear to be earning significantly more on average than their female counterparts. This is most evident in South Africa (where male members earn 47% more than their female colleagues), Sri Lanka (also 47%) and Malaysia (51%). Part of this disparity could be explained by the fact that there are a greater number of more experienced male CIMA members in our global community. CIMA has recently completed a report which identifies the main barriers to women achieving positions of leadership and outlines four strategies for success. We very much hope that this analysis will help highlight the value that women can add to the workplace and the boardroom in particular. We are also launching a women s network on our online community forum, CIMAsphere. The new network will provide our female members with a place to share advice and experiences. In Canada, the average annual salary for a CIMA member is CAN$109,269 and the average bonus is CAN$14,775. Despite the extremely difficult economic conditions that Canada has been experiencing members generally appear to be content with their remuneration arrangements. Over three-quarters (79%) said they are satisfied with their salary and a greater number (85%) with their benefits package. In terms of future development, members are most interested in leadership skills, strategic planning and implementation and personal development.

4 2 Overall, Canadian members seem to be taking a cautious but optimistic approach to the future. While 34% are expecting a pay freeze this year, only 6% anticipate redundancy. In brief, it appears that members in Canada are demonstrating resilience to the global downturn and their unique financial toolkit will place them in a prime position to help organisations build firm foundations for future success. Charles Tilley Chief Executive CIMA

5 3 Executive summary The Canadian economy has experienced significant turbulence against the backdrop of the credit crunch and global recession over the last few years. In 2009 GDP fell by 2.9% overall, having increased by just 0.6% in However, for many, reassuring evidence of a return to growth was seen from the final quarter of 2009, when GDP grew by some 5%, and by 6.1% in the first quarter of In June 2010, the Canadian government forecast annual GDP growth of 3.5%. While there are strong indications of growing confidence in the Canadian economy, the outlook remains difficult to predict. In July 2010 the International Monetary Fund (IMF) revised downwards its estimates of GDP in 2011 for several leading western economies, including Canada. While the path of economic recovery continues to be uncertain, the question arises as to how the management accounting profession is coping in these demanding times. With this in mind, CIMA sought to gauge its members views of the current climate and understand what impact, if any, the recession has had on their salary levels. The second annual global salary survey of CIMA members was carried out in April A total of 1,959 members contributed to the survey of which 77 responses were from Canada. This report summarises the results of this survey with a particular focus on Canada, looking at how recent economic events are impacting on salary levels and benefits packages experienced by CIMA members working in Canada. Salaries and bonuses The average remuneration package for a CIMA member in 2010 is CAN$124,044: CIMA members average annual salary is CAN$109,269 the average bonus is CAN$14,775 across all respondents. 81% expect to receive a bonus in On average, senior CIMA members (over 40 years old) are earning a package which is 33% more than their younger colleagues. Recruitment and retention 79% are satisfied or extremely satisfied with their salary. 85% are satisfied or extremely satisfied with their benefits package. Healthcare pensions and bonuses are key benefits sought from an employer. The average member works 44 hours per week, with 31% expecting their working hours to increase during the coming year. The primary reasons for increased working hours are largely attributed to a combination of increasing responsibilities and understaffing. In terms of future development, members are most interested in leadership skills, strategic planning and implementation, and personal development.

6 4 Geographical mobility Fewer than half of members (44%) intend to change jobs in the next two years. 24% of these respondents are considering relocation overseas. Future The uncertainty of the employment market continues, with 34% of CIMA members expecting a pay freeze, while 6% fear redundancies.

7 5 Main findings Salaries and bonuses Average remuneration package is CAN$124,044 CIMA members average annual salary is CAN$109,269. The average bonus is CAN$14,775 across all respondents, producing an average package of CAN$124,044. This is the first time responses for Canada have been collected therefore no data for 2009 is available. Remuneration package CAN$109,269 CAN$ 14,775 CAN$ 124,044 Average salary Average bonus

8 6 While the average annual bonus received is CAN$14,755 across all respondents, this average masks some significant variances in the levels of bonuses received by individual members. 19% do not expect to receive any bonus at all in 2010, so this benefit is by no means automatic. For the 81% expecting a bonus, the average is CAN$18,314. Bonuses likely to be received in 2010 Over 20% of annual salary: 23% None: 19% Between 9% and 19.9% of annual salary: 29% Under 9% of annual salary: 29%

9 7 The level of average salaries and bonuses received rise as members get older Age As seniority and level of experience are both closely associated with age, it is no surprise to find that average salaries and bonuses increase as members get older. Salaries begin to rise significantly amongst those aged over 40. Average salary and bonus by age Aged over 40 CAN$ 119,940 CAN$17,008 Total CAN$136,948 Aged under 40 CAN$ 92,033 CAN$11,168 CAN$103,201 Canada overall CAN$ 109,269 CAN$ 14,775 CAN$124,044 Average salary Average bonus More experienced CIMA members (over 40 years of age) are earning a remuneration package which is 33% more than their younger colleagues.

10 8 On average, members who are over the age of 40 are more likely to receive a bonus (83% compared with 77% for members under 40) and the average bonus they receive is 40% higher than those of their younger colleagues. Members likely to receive a bonus by age 83% 81% 77% Canada overall Aged under 40 Aged over 40

11 9 Recruitment and retention Satisfaction with salary and benefits Satisfaction is high, with almost four fifths (79%) of members being satisfied with their salary package, however, of these only 7% are extremely satisfied. Satisfaction with current salary package 7% 72% Extremely satisfied Satisfied Dissatisfied Very dissatisfied 19% 3% 2010

12 10 Members are more satisfied with their level of benefits than their salary levels 85% overall. Only 16% of members are dissatisfied with the benefits they receive, compared to 22% who were dissatisfied with their current salary package. Satisfaction with current benefits 8% 77% Extremely satisfied Satisfied Dissatisfied Very dissatisfied 13% 3% 2010

13 11 Healthcare and annual bonuses are the most widely available benefits for CIMA members Importance of benefits The main benefits typically received by CIMA members are healthcare (91%) and bonuses (68%). Just under two thirds (65%) receive a contribution from their employer for part or full payment of their CIMA membership fees and a similar proportion can contribute to a pension scheme (64%). Healthcare, company pensions and annual bonuses were judged to be the most attractive benefits that employers might offer. Employers currently provide healthcare provision to almost all members. However, access to a bonus and pensions, although widespread, are both not available to around a third of members. Access to flexible hours is considered to be relatively important, but enjoyed by fewer members. Importance of benefits (mean score) by benefits received 5 = extremely important, 1 = not at all important Benefit received Importance 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% % % % 4 50% % % 39% 25% % 22% % 3 13% % 1 At the other end of the spectrum, benefits such as company cars and travel benefits are seen as having relatively limited value by members in Canada.

14 12 Members in Canada work an average of 44 hours a week Working hours The typical CIMA member in Canada works a 44 hour week on average. 46% of members work between 41 and 50 hours a week. Just 17% work more than 50 hours a week (only 3% of these members work more than 60 hours in a typical week) and over a third (37%) are working fewer than 41 hours a week. Typical working hours for respondents in Canada hours, 14% More than 60 hours, 3% hours, 37% hours, 46% Just over two thirds of members (64%) do not believe that their working hours are likely to change significantly over the coming year. Only 5% believe their hours are likely to decrease, which leaves 31% who feel their hours will probably increase.

15 13 Reasons for increasing working hours 63% 45% 34% 33% 29% 17% Taken on more responsibility/ more pressure Understaffing/lack of resource Company growth Company culture Current financial climate My role has changed An expected increase in working hours is most closely associated with a combination of increased responsibilities/more pressure and understaffing and a perceived lack of resources.

16 14 Leadership skills are of greatest interest to CIMA members Skill set requirements Members were asked to comment on their skills and training requirements for the coming year. Members were most likely to identify leadership skills as a priority for future training. Other popular areas included strategic planning and implementation, personal development and communication skills. Perceived skills/training requirements Leadership Strategic planning and implementation Personal development Communication skills Persuading and influencing Project management Risk management Skills for developing others Reporting and analysis IT software skills Team building Decision making Problem solving Internal audits Time management Budgetting 10% 10% 14% 13% 20% 20% 27% 26% 25% 28% 31% 31% 36% 34% 39% 49% Leadership skills are of equal interest to younger members (aged under 40) and older members (aged over 40), where the proportions are 50% and 49% respectively. However, the age and level of experience a member has can influence the type of skills they are most interested in acquiring. Younger members (aged under 40) are far more interested in acquiring the following types of skills than those aged over 40: Strategic planning and implementation required by 47% (compared to 34% aged over 40). Project management required by 37% (compared to 28% aged over 40). Skills for developing others required by 33% (compared to 23% aged over 40). Team building required by 27% (compared to 16% aged over 40). Persuading and influencing required by 37% (compared to 27% aged over 40).

17 15 Leadership and communication skills are of greatest interest to older members In general, members with considerable work experience (typically over 40 years of age) are much less likely to feel that they need anywhere near as much skills training. However, a small number of specific skills are attractive to older members Leadership is of interest to 49% of more senior members, making it the first most attractive area for training members in this group. Communication (e.g. negotiating, writing) is of interest to 40% of more senior members, making it the second most attractive area for training members in this group, and of considerable more interest to them than the younger members as only 23% of those aged under 40 were interested in this skill. Personal development is also of more interest to senior members 38% vs. 33% of younger members.

18 16 Geographical mobility Extent of movement 44% of CIMA members are considering changing jobs Given that the outlook of the Canadian economy remains uncertain, with continuing uncertainty of whether there will be a double dip recession in 2010 to 2011 in some of the leading western economies, it is perhaps not surprising that more than half (56%) of members have no plans to move jobs. Plans to move job 21% 23% Within six months Within seven months - two years No plans 56% 2010 Members over the age of 40 are somewhat less likely to be looking to move jobs 58% have no plans to move compared with 53% under the age of 40. However, just over one fifth (23%) of younger members are looking to change positions within the next three months, compared to 6% among the over 40s. Top destinations 24% of those considering a change in jobs are thinking about a possible move overseas (which equates to around 11% of the workforce, i.e. 8 respondents). Singapore and UAE are the most popular destination of choice.

19 17 Future Given that the macro economic context remains uncertain, members remain cautious about their future prospects. A third (34%) expect a pay freeze, and also 6% fear redundancy. One word to describe how CIMA is different from other accountancy qualifications A summary of respondent perceptions is illustrated below (the size of the font reflects the number of times the word was spontaneously mentioned).

20 18 Canada salary information This section provides a breakdown of Canada specific salary information by key indicators (where the sample base is large enough to provide reliable information). All salary information was collected in April 2010 and is presented in local currency. Canada Salary (CAN$ Bonus (CAN$ per Total package (CAN$ Base: 77 per annum) annum) per annum) Total $109,269 $14,775 $124,044 Age Over 40 $119,940 $17,008 $136,948 Under 40 $92,033 $11,168 $103,201 In order to encourage participation salary data was collected in bands. Technical information Data collection for the CIMA Canada members salary survey 2010 was carried out online by CIMA during the period 19 March to 19 April The data was subsequently rim weighted (by Redshift Research) by CIMA member level to ensure the profile of the survey accurately represents all CIMA members working in business. 17,489 CIMA members globally (excluding retired members) were selected and invited to participate (UK, Ireland, Australia, Malaysia, Sri Lanka, South Africa, USA, Canada, Singapore, New Zealand, UAE, China and India) a total of 1,959 completed the study globally (11% response rate), with 77 respondents from Canada. Basic responses from Canada were as follows: Respondent Proportion of Sample type Aged under 31 6% % % % 51 and over 32% Male 76% Female 24%

21 19 Further information For further information on technical matters relating to this survey, contact For further country specific analysis and reports, visit CIMA MY JOBS at Both the Chartered Institute of Management Accountants and Redshift Research are Market Research Society Company Partners. The organisations abide by the Market Research Society s Code of Conduct and the Data Protection Act.

22 20 Global contacts CIMA UK Head Office 26 Chapter Street London SW1P 4NP United Kingdom T. +44 (0) F. +44 (0) E. CIMA Australia Suite Pitt Street Sydney NSW 2000 Australia T. +61 (0) F. +61 (0) E. CIMA Botswana Plot 50374, Block 3, 1 st Floor Southern Wing Fairgrounds Financial Centre Gaborone, Botswana Postal address: PO Box Gaborone, Botswana Telefax F / E. gaborone@cimaglobal.com CIMA China Unit 1508A AZIA Center, 15th floor 1233 Lujiazui Ring Road Pudong Shanghai P.R.China T (0) F. +86 (0) E. infochina@cimaglobal.com CIMA Hong Kong Suites th Floor Jardine House Central, Hong Kong T F E. hongkong@cimaglobal.com CIMA India Unit 1-A-1, 3rd Floor Vibgyor Towers C-62, G Block, Bandra Kurla Complex, Bandra (East), Mumbai T. +91 (0) F. +91 (0) E. india@cimaglobal.com CIMA Ireland Pembroke Road Ballsbridge, Dublin 4 T (0) F (0) E. dublin@cimaglobal.com CIMA Malaysia Lots 1.03b and 1.05, Level 1 KPMG TOWER 8 First Avenue, Bandar Utama Petaling Jaya Selangor Darul Ehsan Malaysia T. +60 (0) F. +60 (0) E. kualalumpur@cimaglobal.com CIMA Middle East Office E01, 1st Foor, Block 3 PO Box Dubai Knowledge Village Al Sofouh Road Dubai, UAE T F E. middleeast@cimaglobal.com CIMA Pakistan No. 201, 2nd floor Business Arcade Plot No. 27 A, Block 6, P.E.C.H.S. Shahra-e-Faisal Karachi, Pakistan T /88/89 F E. pakistan@cimaglobal.com CIMA Singapore 51 Goldhill Plaza, #08-02 Singapore T F E. singapore@cimaglobal.com CIMA South Africa 1st Floor, 198 Oxford Road Illovo, Johannesburg South Africa Postal address: PO Box 745, Northlands 2116, South Africa T. +27 (0) /0861 CIMA SA F. +27 (0) E. johannesburg@cimaglobal.com CIMA Sri Lanka 356 Elvitigala Mawatha Colombo 5 Sri Lanka T. +94 (0) F. +94 (0) E. colombo@cimaglobal.com CIMA Zambia 6053, Sibweni Road Northmead, Lusaka Zambia Postal address: PO Box 30640, Lusaka, Zambia T / F E. lusaka@cimaglobal.com CIMA Zimbabwe 6th Floor, Michael House 62 Nelson Mandela Avenue, Harare Zimbabwe Postal address: PO Box 3831, Harare, Zimbabwe Telefax (0) / F (0) / E. harare@cimaglobal.com CIMA s global offices may change during the year, so please visit the global web links for the most up-to-date contact details. For a full list of global contacts, please visit