Steady Climb

<b>London – management</b>
Managing director New business director Project manager Account executive Account director Production manager Studio manager
Print graphics 81 344 55 000 55 735 24 551 39 964 32 000 29 292
Packaging and branding 84 620 64 375 30 550 25 228 40 583 31 600 27 500
Exhibition 76 889 57 143 30 417 25 359 39 750 31 250 27 500
Corporate identity 83 395 55 000 29 417 24 192 41 722 30 533 28 176
Interiors/ architecture 81 550 56 875 32 500 25 262 42 857 28 750 28 286
Product design 60 000 45 000 * * * * *
Digital media 85 033 56 667 28 650 24 378 41 231 30 083 27 875
Regional average 77 562 51 750 30 971 24 719 40 405 30 188 28 000
*not enough responses to gain an accurate figure

London – management

<b>Outside London – management</b>
Managing director New business director Project manager Account executive Account director Production manager Studio manager
Print graphics 66 000 42 071 28 063 21 867 34 450 28 063 27 500
Packaging and branding 65 000 44 292 25 114 20 567 33 556 26 188 27 318
Exhibition 54 286 35 571 22 656 20 834 35 300 24 625 23 417
Corporate identity 62 000 42 111 24 806 21 732 36 357 25 972 25 833
Interiors/ architecture 64 250 39 750 23 750 21 125 33 333 25 500 24 000
Product design 53 933 38 300 26 469 21 262 20 000 23 306 25 000
Digital media 65 909 41 900 25 675 22 357 37 357 26 861 26 944
Regional average 61 982 40 775 25 226 21 357 34 071 25 863 26 833

Outside London – management

<b>Per cent difference in average salaries from 1999-2000</b>
<b>London</b>
Junior designer +5
Middleweight designer +10
Senior designer +11
Creative director +10
Artworker +12
Managing director +3
New business director +8
Project manager +13
Account executive +7
Account director -5
Production manager -4
Studio manager +4

Per cent difference in average salaries from 1999-2000

The past 12 months have seen the salaries of the design profession continue to rise healthily, at the same levels as last year. Average earnings for design staff have remained well above inflation, which runs at around 2.5 per cent, and also above the average national figure for pay awards, estimated to be 3.9 per cent. Designers are evidently being rewarded for their efforts with significant wage increases.

According to our sample of UK design consultancies, this above-average trend is set to continue for the next 12 months. Clearly, design businesses are still in short supply of quality professionals. Competition for talent is helping force up salaries at all levels. But as salaries increase, industry observers such as accountant Willott Kingston Smith are advocating caution. In its annual survey published last month, WKS warns that “designers are still struggling to control employment costs in this buoyant recruitment market”. It also suggests design consultancies’ fee-incomes are lower than can be sustained at present levels. This situation has sadly not changed over the past year.

Across all the consultancies surveyed this year, the average anticipated pay increase over the next 12 months, across all consultancy positions, remains at 6 per cent, the same as last year. Performance-related increases, meanwhile, averaged a higher 9 per cent rate. And 82 per cent of design groups reported that an annual review is the standard method for assessing their staff’s salaries.

Our survey also revealed that the length of stay of an average design consultancy employee stays the same as last year, around four years.

On the design side, London-based senior designers and creative directors can expect a significantly higher wage than their counterparts outside the capital. Other job categories display the usual London weighting, except where studio managers are concerned, where, according to survey respondents, levels of pay are not markedly different regionally. However, managing directors are significantly better paid in London than those outside the capital.

The percentage of consultancies linking yearly salary increases to individual ability is still a healthy 91 per cent of respondents.

  • London

    Salaries have increased across all design roles for London consultancies, irrespective of discipline. The most substantial increases reported in London salaries from our sample were from middleweight, senior designers and creative directors, for whom rises of about 10 per cent have been the norm. Artworkers have also done well, with an increase of 12 per cent. The reported increase of the highest paid London category, managing director salaries, was a non-dramatic 3 per cent. Perhaps share options, which do not figure in the survey, have supplemented the salaries of senior management. This would account for a lower increase in earnings.

  • Outside of London (including Scotland)

    Junior designers and studio managers have enjoyed the biggest upward change in salary levels outside London since last year (13 per cent) according to respondents, despite negligible wage growth for these roles inside the metropolis. Outside the capital, designers have significantly higher salaries all round, with artworkers again seeing some of the highest pay shifts, 13 per cent higher than the salaries reported by last year’s sample.

    On the management side, managing directors outside of the capital have clawed back lost ground on their London counterparts, with the average salary of £66 000 being 10 per cent higher than that of last year’s sample, (compared with £81 344 in London this year).

    Other research

    Outside of the design industry, pay increases across the private sector as a whole are falling, according to last month’s report by Industrial Relations Services. Average basic pay settlements fell from 3.1 per cent to 3 per cent in the three months to September. The Office of National Statistics put the rise for average earnings over the three months to August at 3.9 per cent, year-on-year. In February the average salary rise was 6 per cent.

    Within the design sector, WKS reported that directors’ remuneration represented 18 per cent of employment costs of the top 30 design groups, ranked by gross income.

    What we did

    In keeping with previous years, the results are based on a salary questionnaire sent to UK design consultancies from the Design Week database, including those listed in our Top 100 and Creative Surveys. For the change in average salaries table (right) salaries have been compared to last year’s results to calculate general trends. But although the list of survey recipients is virtually the same as previous years, the consultancies choosing to respond are not necessarily the same.

    This year Scotland, which has had its own table in previous years, has been included in the “Outside London” category due to the low response rate from Scottish consultancies. Furniture design groups again failed to respond in significant numbers. It should also be noted that in order to offset price rises, the rate of inflation must be subtracted from all percentage change figures.

    ‘It’s been good again this year. Graduate salaries have gone up from about £13.5k to £15k, and middleweight designers who are about 25-32 years old generally earn what their age is. It’s only been the last three or four years that salaries have gone up and, bearing in mind the long hours designers put in, it is only right’

    Paula Carrahar, Director, Major Players

    ‘To help us assess individual achievement and review salaries we have recently introduced a method for appraisals and goal-setting that forms part of our brand achievement process. These are focused around five themes that reflect our company values, and we use this process to appraise both partners and staff It forms the basis of their next salary review’

    Roger Rundle, Design partner, The Team

    ‘Some salary reports might not reflect the whole picture. For a few design groups you may see profit-related pay going down, but share options to employees going up. But I don’t think salaries are over-inflated’

    Ian Cochrane, Chairman, Ticegroup

    ‘Salaries have increased dramatically over the past year because it is a supply-driven market. But the quality of some college graduates has, if anything, gone down a bit. I am finding it more encouraging that employers are looking for more traditional design skills rather than just computer-conceived skills’

    Stuart Newman, Director, Network Design Recruitment

    ‘I think the design industry has a lot of catching up to do with other industries such as advertising. At the senior level, there is a broader band of salaries. The demands are greater – companies are expecting an amount of management experience. But people are almost asking their own price’

    Jo Peters, Director, Jo Peters & Associates recruitment agency

    <b>London – management </b>
    Managing director New business director Project manager Account executive Account director Production manager Studio manager
    Print graphics 81 344 55 000 55 735 24 551 39 964 32 000 29 292
    Packaging and branding 84 620 64 375 30 550 25 228 40 583 31 600 27 500
    Exhibition 76 889 57 143 30 417 25 359 39 750 31 250 27 500
    Corporate identity 83 395 55 000 29 417 24 192 41 722 30 533 28 176
    Interiors/ architecture 81 550 56 875 32 500 25 262 42 857 28 750 28 286
    Product design 60 000 45 000 * * * * *
    Digital media 85 033 56 667 28 650 24 378 41 231 30 083 27 875
    Regional average 77 562 51 750 30 971 24 719 40 405 30 188 28 000
    *not enough responses to gain an accurate figure

    London – management

    <b>London – designers </b>
    Junior Middleweight Senior Creative director Artworker
    Print graphics 16 083 23 889 34 412 55 735 26 617
    Packaging and branding 16 125 24 578 33 641 58 175 24 932
    Exhibition 14 850 23 850 33 200 52 333 23 344
    Corporate identity 16 109 24 413 35 227 59 991 27 456
    Interiors/ architecture 15 955 25 500 36 091 56 455 23 708
    Product 17 500 27 250 34 000 44 000 *
    Digital media 16 094 25 188 34 750 56 594 24 750
    Regional average 16 597 24 718 34 542 55 562 27 038
    *not enough responses to gain an accurate figure

    London – designers

    <b>Outside London – management </b>
    Managing director New business director Project manager Account executive Account director Production manager Studio manager
    Print graphics 66 000 42 071 28 063 21 867 34 450 28 063 27 500
    Packaging and branding 65 000 44 292 25 114 20 567 33 556 26 188 27 318
    Exhibition 54 286 35 571 22 656 20 834 35 300 24 625 23 417
    Corporate identity 62 000 42 111 24 806 21 732 36 357 25 972 25 833
    Interiors/ architecture 64 250 39 750 23 750 21 125 33 333 25 500 24 000
    Product design 53 933 38 300 26 469 21 262 20 000 23 306 25 000
    Digital media 65 909 41 900 25 675 22 357 37 357 26 861 26 944
    Regional average 61 982 40 775 25 226 21 357 34 071 25 863 26 833

    Outside London – management

    <b>Outside London – designers </b>
    Junior Middleweight Senior Creative director Artworker
    Print graphics 15 357 21 946 28 350 43 567 21 019
    Packaging and branding 15 000 21 519 28 411 42 346 20 519
    Exhibition 13 938 20 406 27 156 38 643 19 156
    Corporate identity 14 000 20 725 27 341 41 600 20 275
    Interiors/ architecture 14 125 21 125 26 500 37 500 20 333
    Product design 16 000 22 281 29 869 43 250 19 821
    Digital media 15 050 21 425 28 795 44 182 20 386
    Regional average 15 239 21 837 28 935 43 091 19 774

    Outside London – designers

    <b>Per cent difference in average salaries from 1999-2000 </b>
    <b>London</b>
    Junior designer +5
    Middleweight designer +10
    Senior designer +11
    Creative director +10
    Artworker +12
    Managing director +3
    New business director +8
    Project manager +13
    Account executive +7
    Account director -5
    Production manager -4
    Studio manager +4

    Per cent difference in average salaries from 1999-2000

    <b>Per cent difference in average salaries from 1999-2000 </b>
    <b>Outside London (including Scotland)</b>
    Junior designer +13
    Middleweight designer +8
    Senior designer +4
    Creative director +10
    Artworker +13
    Managing director +10
    New business director +5
    Project manager no change
    Account executive -6
    Account director +11
    Production manager no change
    Studio manager +13

    Per cent difference in average salaries from 1999-2000

  • Design disciplines in this article
    Industries in this article

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