I got my increment letter today, and at the rate I’m going, I’ll only be hitting RM100k annual salary in 6 years’ time. That’s not too bad. I’ll be able to afford a Toyota Vios by then, feed 2 children, and own my own house. Live the Malaysian dream.
Knowing what others earn is about having control over your life
I was talking to a friend of mine about salaries. We all rate salaries very differently, because we all have different friends. Our friends are sometimes our only lens into the corporate world, that’s layered with bureaucracy, hierarchy, and politics and a whole lot of other stuff we can’t quite make out.
The problem with that is that all of us are in the trees. Which is why I felt it was good to post up that interview with a recruitment agent. At least everyone can take a look at a snapshot of what people are earning nowadays.
So, everyone should just go to http://www.glassdoor.com right now, sign up, post your salaries, and give your employers a piece of your mind, because it’s all anonymous anyway. No one will ever know it was you. I told my friend that I signed up for glassdoor and put in my salary and company feedback, and even though I was the only person in my company in the whole world to do that, he couldn’t find out anything about me there.
So, trust me, it’s good for the whole world that everyone knows what everyone is earning. It’s mitigated anarchy. It’s good because you’ll know where you stand, the faster the better, because you’ll be able to make a decision about where you stand, and about what to do with your life. Yes, it’s good that you have control over your life.
The corporate ladder isn’t linear all the time
Contrary to popular belief, learning what the other guy earns isn’t about getting better up the ladder. The reason is because at the end of the day, everyone is accountable to themselves whether this is right for them or not. Not everyone wants to become a CEO. Not everyone wants to suck up to the boss and earn big bucks. Not everyone wants to be a stunt driver.
But what everyone wants is FAIRNESS. And fairness is a very hard thing to measure. But as a start, for things to be fair, it has to be open. So, at least, knowing what the other guy earns solves a bit of that. Because it’s not the salary amount that really matters, it’s knowing that really matters. Because knowing helps you make a decision about your life.
Companies don’t want you to know how much everyone is earning
Now, I was actually lying that it’s good for everyone knows what everyone earns.
Companies actually can lose out in situations like these, because a lot of companies can leverage on a lot of things if it does – FUD, the law (yes sometimes it can protect businesses as much as it can protect employees), politics, corporate hierarchy… anything it can leverage on, it will.
Why? Because it’s easy. Because it’s doable. Because companies get away with it all the time.
It’s harder for one person to gain so much knowledge about careers in a short period of time, than it is for a company to hire a CEO, a HR senior, or someone to draw up policies or establish a culture that will help the company to grow and protect itself against employees that might hurt it.
It’s ultimately the employees’ responsibility to find out how much people are earning, how much the industry is paying, and make a decision about what to do with their lives. It’s not a company’s responsibility to live that life for you.
Please watch out for yourself
I feel that the people who will get hit the hardest are good young people who want to change the world, and are so sick of capitalism that they expend themselves to the point that they suffer a burnout. Please watch out, because it’s your responsibility to. A company isn’t a way to shelter yourself away from the problems of the world.
If you’re stuck, don’t worry. The world is bigger than you think. There are ways to salvage a broken life, and there are people who are willing to help. You can talk to your boss, even though you’re scared or if your boss doesn’t want to listen, there are other people you can talk to. If you’re down and you’re just starting to get up, realize that life will look different from this point on… and get going. It’ll work out okay in the end.
Resources:
The Malaysian IT workforce is facing a lot of problems now than it used to. No doubt, there are tons of jobs available, but for low-scale jobs like software development and tech support. The types of jobs available now hasn’t changed much over the last few years, and I doubt it will look any different over the next 5.
The reason is because IT in Malaysia is still fairly new, and hasn’t gained widespread adoption. At the same time, India and China are really big markets now, because of innovation and a vibrant mix of local and foreign players.
Our IT graduates are focussed mainly on development, not research. We’re way behind in terms of software – mainly because there’s too much emphasis on theory, instead of customers. My base observation is that companies typically use sales and project management staff to deal with customers, so a lot of programmers have zero to little idea of how to develop customer-centric software.
Anyway, I digress. If you’re in Malaysia and you’re doing software development, it is unlikely that your salary will hit RM7k for 6 years’ worth of slavery. This is true whether or not you’re a good programmer. (If you’re the exception, you can thank your lucky stars)
If you’re a project manager, 6 years’ worth of slavery might earn you RM6k and above. But then, I assume the work to be firefighting, especially when your software developers are paid peanuts.
Software developers are like the bottom of the food chain. There’s no glamour, no glory – and it’s crowded.
Just so you don’t think I’m crazy, I’m posting my interview with a recruitment agent from an established Malaysian recruitment company (ok, they *used* to advertise on the rear end of taxis/cabs). Her job involves hiring local IT grads for Malaysian companies, and she’s been doing that for the past 3 years.
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LW: What’s the average starting pay for a IT fresh grad now?
Agent: Average start is around RM1700-1800. But you do have candidates who are good, getting upto Rm2-3K for a Fresh Grad role as well… but that’s the highest and rare statistic
LW: rare as in …. 5%?
Agent: yup maybe around there… maybe even less
LW: what about [people with] 2 years experience?
Agent: Average IT person would be [earning] around RM2500? Rm2500-Rm3000 depending.
LW: what are the exceptions? RM4k?
Agent: possibly yes, but usually with 2 years, it shld be around Rm3500. [It] can go up to Rm2.5 – RM3.5k.
LW: okay, [what about] 4 years?
Agent: depends what area they are in. What area of IT. 4 years in the SAME Line without switching (e.g. programming for 4 yrs) would be around RM4K-6K, usually 6K on the high side… that’s for people who’ve moved into project management. So around Rm4-5k. Yeah, around Rm4-5K+ odd
LW: 6 years?
Agent: 6 years – you must ask me in what line. 6 years programming? 6 yrs in system support? A bit too general of a question. 6 years… in all technical? Or 6 years with some managerial experience?
LW: 6 yrs software development
Agent: all software development – about… Rm5-6++ as a programmer…. I’d say around Rm5k++, Rm6K onwards would be for a Project Manager etc.
LW: how much does a software developer earn in India, typically?
Agent: Don’t know about that. Don’t know Indian rates.
LW: If you had children, would you encourage them to do IT? [ed: Sorry, I had to do this. :P ]
Agent: Yes if that’s their passion.. but they’d really have to be different from the rest of the people out there… because there are too many people with IT degrees… the ones are gonna make it are the ones who can stand out in terms of skills, competence, and their ability to think differently, and that includes championing good ideas and having the initiative.
LW: Has the IT job outlook improved over the years, or declined?
Agent: Outlook for employers or employees?
LW: Both.
Agent: hmm, for employers, it’s declined a little… It’s getting harder to find the right people nowadays with a good fit in terms of the technical skills and the soft skills desired. Not enough good people in the market, and attracting them to the organization is also another challenge as employees are getting smarter and more demanding.
LW: So, it’s looking better for employees now, than in the past?
Agent: I think there’s a disparity between what people want out of their careers in IT and what companies here can give them. And as a result of this, people become mercenaries for the higher paying job. The roles of companies for IT in general, aren’t exactly very mind-blowing, even for managerial positions…
So while companies are trying to ’sell’ the organization and the job, trying to attract job seekers… it’s not really working so well because the average job seeker actually wants more than just a support role… or more than just an implementor role
LW: So what do employees really want out of the job these days? If it’s more than support and implementation?
Agent: aside from more money for rising living costs… i’m not really sure, but i think it’s got to do with a whole new level of a job per se… more interesting projects, not the run-of-the-mill support roles, or an outsourcing center…. maybe new projects involving innovation from scratch.. that’s designed/planned for here… something that people feel a sense of belonging.
The roles/projects we have here are implementation… people don’t identify with that.They never created the work…. they have no sense of belonging… and when that happens, you take less pride in what you do.
Hence you move around jobs quicker, if that makes sense.
LW: It makes a lot of sense. Do you forsee this scenario to change over the next few years? Malaysia is right in the middle of cheap-software-dev talent pool.
Agent: No, not in the next few years. Maybe in 10 years?
LW: That’s a long time, considering that software moves so fast.
Agent: Haha, there isn’t much sign of change happening for the big companies. No sign of creation of projects by Malaysians, written by Malaysians… Don’t know if it’s because Malaysians have yet to initiate such efforts in the first place, or is it a result of a lack of opportunities to display their abilities. Chicken or egg situation.
LW: Thanks for your time. If you had one advice for local IT grads out there, what would it be?
Agent: My advice would be to strive to be different – in terms of ideas, work approach….and to ensure they get solid technical experience to back them up.
LW: Sounds good. Thanks again!
[Interview date: Monday, June 16, 2008, 1pm]
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