2023 Salaries Climb in Content and Connectivity Industries
C2HR research reveals that media industry employers are continuing their multiyear trend of increasing salaries for all worker segments. Data published this month reveals that average 2023 merit increases, which are part of company salary adjustment budgets, rose to 3.8% for broadband connectivity employers. Among content creators, 2023 merit increases for employees reached 3.3%, which is less than last year (3.6%) (see figure). The same research projects that salary increases in 2024 will be smaller — 3.4% for connectivity companies and 3.5% for content creators.
“In spite of industry disruptions, research continues to show companies reward employees with pay raises that retain talent and help combat the impacts of inflation,” said Parthavi Das, Executive Director of C2HR.
Softening markets and this year’s labor disruptions are expected to impact 2024 compensation. Already, media industry budgets are trending lower, in line with general industry budgets, which are projected to fall to 4.1% in 2024 (see figure).
“Strikes and labor negotiations are impacting the financial outcomes of media companies as shared in the news and public disclosures. We anticipate this will impact bonus pools as well as salary increase budgets,” said Hali Croner, President and CEO of The Croner Company, which collected the data for C2HR.
“Budgets always seek to anticipate market trends while also reflecting affordability by each company. We believe we are seeing media companies do as much as they can for employees’ salaries while being aware that financial results for companies likely will be impacted this year,” Croner added.
Salary Structure Adjustments Increase
In addition to salary adjustment budgets, research also reveals changes to company salary structures. Adjustments to salary structures are not based on merit, rather they apply across the defined salary ranges for each position.
The most significant of these salary structure adjustments is among content creators. On average, they propose raising executive salaries by 3.9%; exempt employees (generally midlevel managers and other salaried employees) by 3.4%; and nonexempt employees (hourly) by 3.4%.
Among connectivity providers, respondents propose raising executive salaries by 1.7%; exempt employees by 2.1%; and hourly employees by 2.1%. Respondents acknowledge these adjustments are proposed and may be changed.
Coping With Smaller Budgets
Most companies set salary budgets at levels they believe will be competitive for the next year. However, with slightly smaller budgets than last year, employers must work hard to differentiate increases across performance levels.
Croner notes that as budgets get smaller, more pressure is placed on other compensation levers, such as promotions, bonuses and long-term incentives, to attract and retain employees. She suggests that with pay transparency in the forefront, companies increase efforts to fully explain all compensation elements.
“Companies report they are focusing on their full employment proposition, including hybrid work, to help ensure that employees remain engaged with the company,” said Croner.
The Croner Company collected the data for C2HR in two interim Salary Budget Surveys that it provides complimentary to participants in the association’s Annual Compensation Surveys. For additional information or to participate in the 2024 C2HR Compensation Surveys, please contact Laurie Krashanoff via this form or call her at 415.485.5521
