In manufacturing and distribution, the national average pay increase, as reported by employers, is 2.8 percent. However, there are several jobs within the industry that are seeing much higher pay increases. According to manufacturing compensation data compiled by Compdata Surveys & Consulting, there are some pretty hot jobs in the sector right now.
"Knowing which jobs are hot allows employers to position themselves more competitively," said Amy Kaminski, Vice President for Compdata Surveys & Consulting. "It's important for employers to look beyond just base pay to make sure they can attract and retain top, in-demand talent."
Let's take a look at four jobs in manufacturing and distribution that are currently exceeding industry averages for compensation:
"Welding employers reported an average base pay increase of 6.35 percent."
1. Welder, Level 1
If you're job matching for this title, a Welder, Level I, is classified as an employee who uses use Arc welder and electrode rods to perform tack and bead welds, and oxygen/acetylene torch for cutting metals under close supervision. Compdata found that in 2016, employers reported an average base pay increase of 6.35 percent for employees in this role. That's more than 4 percentage points above the national industry average!
This job, which falls with the materials management job family, has two job titles which had significant pay increases reported in 2016. Employees with the job title "Driver - Route Delivery" saw an average base rate increase of 7.31 percent and an average flat-dollar bonus increase of 42.9 percent from the previous year. Employees with the job title "Driver - Within 100 Miles" saw an increase of 6.52 percent for base pay and a flat-dollar bonus increase of 31.93 percent from the previous year.
3. Packaging Engineer
Employees with this job title are responsible for the design and development of cost-effective packaging materials that ensure safe shipment of product under varying conditions and climates. For this position, employers reported an average flat dollar bonus increase of 22.98 percent, as well as a hire-on increase of 4.51 percent in 2016.
"These employees make the difference between an inefficient operation and a well-oiled machine."
4. Inventory Manager
Employees in this role have many responsibilities. They manage the shipping function and oversee the receiving process. Employees in this position replenish inventory based on production schedules and customer demand, as well as manage relationships with logistics vendors. These employees make the difference between an inefficient operation and a well-oiled machine. Employees in this position saw an average base-rate increase of 9.94 percent in 2016. Employers also reported a significant flat dollar bonus increase for this position, up 24.06 percent from the previous year.
Employers reported compensation for all four of these jobs increased significantly in 2016 - it looks like the above jobs are pretty hot as we move into 2017. This means more packaging engineers, drivers, welders and inventory managers will be in demand by employers – and HR Managers will need to know how to appropriately compensate them.
Get in touch with Compdata for more information about compensation trends, salary information, pay practice and benefits data for manufacturing and distribution, as well as other verticals.