Benchmarking pay and salary rises in the charity sector

08 November 2010
Benchmarking pay and salary rises in the charity sector

Q: I'm looking to benchmark pay rises in the voluntary sector for this year. Is there anywhere I can find information to assist? We try to align ourselves with larger organisations to attract the best candidates we can.

The Skills - Third Sector Workforce Almanac is a good place to start. This includes a chapter on average pay in the sector which breaks down salaries across England by grade.

Admittedly, the pay rises this year are unlikely to reflect those for previous years. This is partly due to the effects of the recession but also the cuts introduced by the coalition. It's reasonable to suspect that many organisations that are anticipating job cuts could be freezing pay or making less than 2% increases.

XpertHR has just released data to indicate that pay rises this year have been lowest in the voluntary sector.

If you want to check out the rates that other organisations are offering, jobs pages such the Guardian, CharityJob and Third Sector are a good place to start. It can sometimes be helpful to know this year's NJC pay scales in case the salary is stated in these terms.

Please note that HRBird by its very nature offers general information. If you're looking for advice specific to your situation, speak to an HR professional or solicitor.Got a question on staff or volunteers? To submit an anonymous query for the HRBird blog, contact us.

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I am looking for guidance on Chief Executive salary pay rises for 2010/2011. Our charity is a membership organisation based in London and has a turnover of approximately 300,000 pa.

Any guidance as to reference sources or modal increments would be most appreciated.

Many thanks
21/02/2011 21.46.20
Thanks very much for your message. If you're looking to match comparable chief executive salaries, other charities in London (some slightly larger than yours) pay around 45,000-65,000 for a Chief Executive. In particular, we found Voice, the British Liver Trust, the London Irish Centre, the National Ankylosing Spondylitis Society, Providence Row, Inclusion London advertising within this salary bracket.

If you were looking for a percentage increase on your current salaries, many charities chose to freeze their pay last year. The local government also froze its salaries for 2010-11 for those earning more than 21,000.

This year, inflation is much higher than anticipated making individuals' living costs dearer for 2011-12. You will want to balance these considerations with your organisation's own running costs. A salary increase of between 1- 2.5 would seem sensible for 2011-12, depending on your organisation's circumstances. Though for 2010-11, salary increases of less than 1 seemed quite usual.

I hope this helps - let us know if you'd like to include your query in our HRBird ebulletin to see what other readers suggest.
23/02/2011 1.02.28
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