Study: Noncertified IT worker pay gaining ground

Todd R. Weiss   Today’s Top Stories   or  Other Careers Stories  

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April 27, 2006 (Computerworld) -- Eighteen months ago, if a worker was seeking a specialized IT job, critical job-related certifications were probably needed just to get in the door of a prospective employer.

That’s not necessarily true now, according to a study released this week on IT pay and hiring, by management consultancy and IT workforce research firm Foote Partners LLC in New Canaan, Conn.

The Q1 2006 Hot Technical Skills and Certifications Pay Index found that the growth in pay for noncertified skills was three times the growth of pay for certified skills in the past six months -- and 68% higher than one year ago. “This is unprecedented since our firm began surveying tech skills pay in 2000,” David Foote, president and chief research officer of Foote Partners, said in a statement.

The data, compiled from responses by 52,000 IT professionals in 1,820 North American companies, signals a shift in employers’ acceptance of the value of workers who lack certifications in key IT positions, according to the study.

For the last six months, premium pay for 103 noncertified skills surveyed averaged 7.1% of base salary, up from 6.8% for the same period a year earlier and 6.6% in 2004. Those numbers are down from the late 1990s, during the Internet boom years, when skills without certification averaged more than 10% according to previous studies. “They were hammered during the recession, losing about a third of their value as a whole while pay for IT certifications held remarkably steady in our survey, with no worse than a 10% to 11% dip from 2001 to 2004,” Foote said.

Back then, employers demanded worker skills certifications as a way of resisting pressure from CFOs to cut budgets and reduce overhead, while helping companies to retain trained workers. “But that resistance has virtually evaporated,” he said. “Now employers are on the hunt for IT professionals with demonstrated expertise in specific technical skills, and whether or not a certification has been earned may be inconsequential when that person also has experience in their industry or with their type of customer. The irony of this new development is that so many exceptionally talented but certification-less workers caught in workforce reductions during the recession couldn’t even get job interviews because of resume-scanning software that filtered out resumes without specific certification identifiers. I think a lot of employers are kicking themselves for not having hired this type of worker when their prices were lower, or for firing them in the first place.”

According to the study, overall average pay for 103 noncertified skills surveyed grew 4.4% for the year ending April 1. That compares favorably with the past six years of a down IT economy, when the average pay for a technical skill without formal certification declined 30%.

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