Natick, MA, February 07, 2023 – According to a January 2023 survey of 200 AE firm executives conducted by management consulting firm, Morrissey Goodale, 70% of the AE firm respondents are anticipating that 2023 will be “an even better year than 2022,” which was a record year for many AE industry firms across the country.
In the survey, 77% of respondents say talent acquisition and retention is the primary constraint on performance. As a result, AE firms expect they will continue to increase salary compensation. Respondents did reveal that bonuses may not increase at the same rate as they did in 2022.
Other AE firm survey respondent highlights include:
AE Firms Plan Salary Budget Increases for 2023:
- · Over half (55%) of respondents plan salary increases of between 6% to 9%.
- · Forty-one percent of firms are budgeting raises of between 1% to 5%.
- · Three percent of firms plan on salary increases of 10% or more.
- · Architecture and AE firms are planning for lighter raises in the 1% to 5% range than their Engineering and EA peers who are budgeting 6% to 9%.
- · A greater percentage of firms with 1,000 employees or more are budgeting in the 1% to 5% range, compared with their smaller peers.
- · Surveying/Mapping firms anticipate a 6% to 9% increase raise in raises this year.
AE Firms Predict 2023 Bonus Environment to be Same as 2022:
- · Nearly half (48%) percent of respondents anticipate that bonuses will be about the same in 2023 as they were in 2022.
- · Ten percent of respondents expect their payout for bonuses to be lower.
- · Forty-two percent anticipate spending more on bonuses in 2023 compared with 2022.
“The AE industry continues to navigate unprecedented change at the intersection of four generational trends – not enough talent to meet demand, a great and on-going recapitalization, rapid technological advances, and massive public sector demand for services,” says Mick Morrissey, managing principal at Morrissey Goodale. “The winners will be those firms that make the investments needed now to secure the talent to meet short-term production needs and longer-term leadership development and firm transition initiatives.”
About Morrissey Goodale LLC
Morrissey Goodale LLC is a leading management consulting firm to the Architecture Engineering (AE) and Environmental Consulting industry. Headquarters are located at 209 West Central Street, Suite 317, Natick MA, 01760. The company can be reached at 508-254-3914 or on the web at www.morrisseygoodale.com. Morrissey Goodale also has offices in Denver, CO, Chicago, IL, Irvine, CA, Rochester, NY, Houston, TX, and Atlanta, GA.