Over half of Irish professionals expect their salaries to remain the same over the next 12 months, according to research by Morgan McKinley.
The Morgan McKinley Ireland salary survey 2012 found that 21% of human resources managers and business leaders surveyed predict salaries will increase, albeit modestly, by approximately 1-5%.
However, 13% felt salaries within their businesses would decrease by 1-5% in 2012. These findings are similar to last year’s survey results, in which 64% of managers thought salaries would remain stable in 2011.
Almost half (47%) of HR managers and business leaders surveyed have a more positive business outlook for 2012 compared to 2011.
A further 11% feel significantly more positive about the business climate in 2012, whist 32% say their outlook has not changed from last year.
When asked what respondents thought would be the biggest HR challenge they would have to face this year, the highest response was for attracting professionals (23%), followed by talent retention (19%) and skills shortages (16%).
The percentage of managers concerned about handling redundancies in the coming 12 months was relatively low at 4%.
Karen O’Flaherty, chief operations officer of Morgan McKinley Ireland, said: “The findings of our latest salary survey point towards a slight lift in business confidence in Ireland, with almost half of managers claiming to have a more positive outlook for 2012 compared to 2011.
“Although there is still considerable uncertainty in the market and growth predictions are sombre, the major steps taken last year towards Ireland’s economic recovery have made many professionals feel that it is time to ‘move on’ and work towards a stronger and more stable 2012.
“This increased optimism does not necessarily equate to increased salaries however, with the majority of respondents expecting salaries within their businesses to remain unchanged over the next 12 months.”
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