BIM SALARY GUIDE REPORT: Q4

BIM SALARY GUIDE REPORT: Q4: October, November, December 2019

KEY SALARY INFLUENCERS

1: Demand for construction:

The election had a significant impact on the UK construction industry making the usual Christmas hiatus last 3 months instead of 1. The latest IHS Markit/CIPS report shows yet another decline in construction output in the UK. According to Tim Moore, Economics Associate Director at IHS Markit, which compiles the survey: “December data suggested that the UK construction sector limped through the final quarter of 2019, with output falling in all three major categories of work. Brexit uncertainty and spending delays ahead of the General Election were once again the most commonly cited factors highlighted by firms experiencing a drop in construction activity.”

Looking ahead, according to GlobalData, the pace of expansion in the global construction industry is expected to be the slowest in a decade. The slowdown is particularly severe in the UK (along with Australia and the US).

However, in the UK, Tim Moore comments that since the election “…construction companies signaled that business optimism has recovered to its strongest for nine months. Survey respondents cited confidence that a more predictable domestic political landscape and clarity on Brexit could deliver a much-needed boost to clients’ willingness-to-spend in 2020.”

According to Glenigan’s 2020-21 construction industry forecast, prospects are set to brighten during 2020 and 2021 as the industry benefits from promised increases in public sector investment, with project starts forecast to rise by 2% this year.

2: Demand for BIM:

Despite the slowdown across the industry, BIM talent is still in demand. Over the last year demand and supply have, mostly, reached a market equilibrium and salaries have stabilised. However, this will change quickly if the spending predictions come true.

Clients are becoming more enlightened and now expect real BIM intelligence from stage 0. The companies able to demonstrate BIM excellence have a competitive advantage. Many companies are still lacking the necessary BIM competency depth and breadth. As more clients demand good BIM and more projects get the green light, we will see another sharp rise in the demand for BIM. With insufficient supply we are bound to see salaries increase too.

If you are hiring BIM specialists, see this article on how to manage BIM salaries.

BIM SALARY GUIDE:

Click here for the Q4 update. Many thanks again to JohnsonBIM for this data.

METHODOLOGY: After researching salaries and various survey methods, we have found that the most accurate data comes from the thousands of conversations recruiters have with hirers and candidates every month. The salary intelligence JohnsonBIM collects is invaluable. It’s not just real world, live data but it is also BIM specific.

Q4 SUMMARY:

Mike Johnson at JohnsonBIM comments: “It’s no surprise that recruitment activity was much slower across the construction industry in Q4. The only noticeable change has been the market getting close to an equilibrium in the BIM Coordinator and BIM Technician salaries – where there has been most demand.

However, we have seen a significant increase in demand for ‘Digital Technology’ specialists ie Data Scientists and Software Developers. The thought leaders are seizing the opportunity to develop smarter Construction Technology. This is an area we have started to focus on and we’re collecting salary data ready for the next salary guide in April 2020.”

You can get more insight into this career path in this article by Graham Kelly from BIM Academy.

Who was in most demand?

Mike Johnson: “Over the last quarter the demand has been much lower but where there has been activity, mainly London, it has been for ‘affordable’ BIM Coordinators with contractors, BIM Technicians with Architects and BIM Graduates / Trainees with both.”

Q4 DETAIL:

BIM LEADERS:

Demand: No change from last quarter.  Stable – at very low, almost zero.

Regionally: No change from last quarter.  Stable – at very low, almost zero.

Sectors: Design: very low; Build: very low; BIM Consultancy: very low.

Salaries: With minimal demand you can’t say if salaries for new firmwide leaders have gone up or down.  Existing title holders are getting salary increases in line with the rest of the business, but these are not as generous as they were unless the company is bucking the caution trend.

BIM MANAGERS:

Demand: Decreasing due to less new projects (election) and more talent coming from completing ones.

Regionally: Low demand across the UK.

Sectors: Design: very low; Build: very low; BIM Consultancy: very low.

Salaries: With minimal demand salaries are ‘stable’.

BIM COORDINATORS:

Demand: Lower but there is still some demand – but at a lower salary level.

Regionally: More demand regionally than in London.

Sectors: Design: very low; Build: low; BIM Consultancy: low.

Salaries: Supply = demand.  Budgetary pressures are dictating the need for lesser experience eg Advanced Beginners or Competent level. Market approaching ‘equilibrium’.

BIM TECHNICIANS:

Demand: Lower but there is still some demand – but at a lower salary level.

Regionally: Demand is higher outside London.

Sectors: Design: stable; Build: stable; BIM Consultancy: stable.

Salaries: Supply is just about on par with demand, so salaries have reached ‘equilibrium’.

BIM APPRENTICES

Demand: As reported last quarter, the increasing demand trend continues as companies become more aware of the need for ‘digital natives’ and can keep the bean counters happy by reducing headcount cost.

Regionally: Demand is still higher outside London.

Sectors: Design: decreasing; Build: increasing; BIM Consultancy: increasing.

Salaries: Stable and stubbornly low while the market is subdued.

FUTURE GAZING: 

With the election result providing much needed certainty to our Brexit journey and confidence to investors we are already hearing about increasing investment into UK Construction Ltd. The March budget will give more clarity, but according to Glenigans:

“… the forecast recovery in project starts will be driven by a rise in private housing, affordable housing, education, health and civil engineering projects. Industrial and commercial sector starts are expected to decline initially as businesses appraise the post-Brexit outlook for their UK operations.

…The Conservative government has pledged to significantly increase investment in the UK’s infrastructure…Major infrastructure schemes (e.g.: Thames Tideway and HS2) will be important drivers for sector activity over the forecast period …”

Mike Johnson at JohnsonBIM: “We have seen a significant increase in new opportunities already in January with much more optimism. Delayed projects and tenders are starting up again. My concern is the delicate supply/demand balance we have now. Demand is about to rise and quickly. Supply is still low and will remain that way for the foreseeable future. Salaries are going to rise.

I expect early demand in Q1 and Q2 to be for project centric Technician and Coordinator roles. The trend of budget defined job descriptions (ie ‘affordable talent’) will prevail until supply is exhausted. The trend for BIM Graduates will continue and increase.”

See this article from Mike on managing the cost of BIM talent, where the demand will be and planning for it in advance.

CONCLUSIONS (for the career centric):

• If the predictions are right, 2020 will see the demand for BIM talent in the UK rise.
• Clients have become wiser about what good BIM experience looks like and are avoiding the fast runners. The emphasis is going to be on good, solid experience and people who want to become experts – not high flyers who don’t know how to deliver.
• Don’t be tempted by shiny offers that you will regret either because the company isn’t committed to good digital project delivery or only needs you to fill a gap or worse, give them the person they need for PQQs.
• There will be an increasing choice of good opportunities as this year progresses. So, be patient, develop your skills and become good, not fast!

However, if you must change jobs:

1: Focus on your career. Scratch below the surface and find out if companies really are genuinely committed to digitisation. Do they just need a token BIM person to win contracts or are they going to invest in the future – and you? Ask them what good looks like in 5 years and what your part in that journey will be. Why not? It’s your career!

2: Look at the data. Make sure the company has solid financial footings, a good BIM track record and evidence of investing in people. All this information is available if you know where to look / who to ask.

3: If you’re not sure, ask an expert.

Here’s to a great 2020, more optimism, more choice and better talent!