Tech workers often make higher salaries than the rest of the population, with the national average salary for a developer sitting at more than $100,000 in 2016, according to the US Labor Department. That alone puts these workers in the top 10% of salary earners in the country, according to a new report from Blind. It's also common for developers to receive a signing bonus of up to $100,000, a previous Blind report found.
However, when 6,000 tech workers were asked whether they were compensated fairly, underpaid, or overpaid at their current company, 61% said that they were underpaid. Some 34% said they were compensated fairly, and 5% said they were overpaid, the report found.
"Though tech employees often make far more than workers in other industries, many of these employees live and work in the Bay Area, the most expensive region in the United States," according to a blog post detailing the results. "The cost of living in Silicon Valley or San Francisco has become so high that even tech employees making six figure salaries at the most desirable companies claim that they are struggling to afford a home and raise a family. The high cost of living in the industry's hub may be one explanation why so many survey participants claimed that they are underpaid."
SEE: IT Hiring Kit: Programmer (Tech Pro Research)
Developers and engineers who learn how much their peers make at other, larger companies may also grow unhappy with their pay, the post noted.
Here are the top 20 companies with the most survey respondents, and what percentage of their employees felt underpaid:
- Cisco (80%)
- Intel (79%)
- Expedia (76%)
- VMware (71%)
- Microsoft (67%)
- Oracle (65%)
- eBay (65%)
- Salesforce (64%)
- Veritas Software (64%)
- Intuit (63%)
- Uber (61%)
- Apple (61%)
- Lyft (57%)
- Amazon (53%)
- Airbnb (52%)
- Pinterest (52%)
- Google (50%)
- LinkedIn (36%)
- Facebook (35%)
- Netflix (9%)
The big takeaways for tech leaders:
- 61% of tech workers say that they are underpaid. — Blind, 2018
- Tech workers at Cisco, Intel, and Expedia were most likely to say that they were underpaid. — Blind, 2018
- Special report: IT Jobs in 2020: A leader's guide (free PDF) (TechRepublic)
- Tech jobs: Why the enterprise architect is your new secret weapon (ZDNet)
- Cheat sheet: How to become a data scientist (TechRepublic)
- IT pros will need a diverse skill set to be employed in 2020 (ZDNet)
- The 5 highest-paying IT career paths (TechRepublic)
Alison DeNisco Rayome has nothing to disclose. She does not hold investments in the technology companies she covers.
Alison DeNisco Rayome is a Staff Writer for TechRepublic. She covers CXO, cybersecurity, and the convergence of tech and the workplace.