IT Salaries and Trends in Poland. Market Report and Benchmark.

What to prioritize when hiring IT specialists from Poland.

Sofia Peradze

Last updated on September 1, 2023 | 29 min read

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Rising demand for tech specialists

DevsData LLC Recruitment specialists have assembled the salary guidelines for Poland, 2024. These are expressed in terms of gross monthly income in PLN. The data utilized in the study includes current market rates and projections for the year 2024. In order to offer the most accurate figures in our research, we’ve fine-tuned the salary estimates. This involved examining data from the past year and adapting it to reflect the present market conditions.

The current edition is primarily aimed at:

• Heads of IT and HR departments
• Leaders of business units and IT teams
• Investors and entities looking to grow
• IT professionals

The report showcaśes findings and insights from a study conducted between March 20-23 using the CAWI approach. The study included 306 participants, 298 of whom indicated that they currently work in the IT field. In the sample group, 30% are actively job hunting.

Approximately 33% of the participants are actively or passively looking for a job.

The IT market in Poland is currently very fluid and lacks stability. The widespread layoffs initiated globally by major technology companies add to the unpredictability of even the near-term outlook. This uncertainty is exacerbated by the escalating operational costs in Poland, driven by inflation, a growing tax burden, and the consistently rising salary demands of IT professionals.

The convergence of these various elements has led to a deceleration in growth plans for some companies, including local businesses. Fortunately, this applies to a relatively small number of instances, as the demand for skilled workers in Poland continues to be robust. Based on job board observations, there has been a sequential monthly increase in the number of job listings.

Despite challenges, the tech industry in Poland is on an upward trajectory. The presence of highly skilled labor and employment costs that are relatively low compared to Western countries ensure strong investor interest. Numerous investments are being made even amidst the uncertainties. Emerging fields such as Artificial Intelligence (AI), Internet of Things (IoT), Blockchain, Big Data, and Cybersecurity are witnessing the highest growth in investment and, consequently, a rising need for experienced professionals. In these sectors, we are seeing consistent and significant annual salary increases.

The resilience of the market is further bolstered by Western firms that are increasingly opting to hire local talent, sometimes even allowing for full remote work within Poland, as a means to optimize costs. Such employment opportunities are appealing to Polish specialists due to competitive salaries, often paid in USD or EUR, and the flexibility to work from anywhere globally.

IT market in 2024

In recent times, we’ve witnessed an extraordinary occurrence—a “black swan” event—that has had a profound impact on both the global and local economies. This has led to a ripple effect affecting various aspects of life, including creating unusually high levels of uncertainty within the labor market.

The pandemic’s onset led to a 50% drop in job listings on specialized portals when comparing the second quarters of 2019 and 2020. This stark decline showcases the dramatic measures businesses had to take in response to global upheavals. Additional destabilizing factors like the outbreak of war in Ukraine and fluctuating financial market conditions may not have direct local implications but are still causing business leaders to exercise heightened caution. To safeguard their operations, large corporations are formulating stricter budgets and exploring ways to optimize organizational resources and processes.

The outcomes of these actions vary across industries. Media reports suggest that the IT sector, after enjoying years of technological advancements and a steadily growing demand for skilled professionals, is now at a juncture that calls for reassessment. While the desire to expand IT departments remains, companies now find themselves in a position where they must evaluate the robustness of their organizational structures amidst this uncertain climate.

IT Market in Poland

In the context of Poland, it’s worth noting that the Information and Communication sector is one of two areas (the other being Finance and Insurance) cited as having a reason for optimism in the economic situation report released by GUS in March 2024. This suggests that businesses in the IT sector are generally hopeful about the near future, anticipating little or no decline in upcoming orders. However, experts at DevsData Recruitment have noticed a more cautious stance from many Big Tech firms and other organizations with substantial IT departments, sometimes even pausing new hiring initiatives. 

Global events have also influenced how the job market in the IT sector is viewed. While it still favors employees, the advantage is not as pronounced as it was before, signaling that market participants are aware of the localized impacts of these larger events.

Between Q1 2019 (the base year) and Q1 2022, demand for IT roles remained relatively stable, save for a brief downturn in Q1 2020 due to the COVID-19 pandemic’s onset. This dip was followed by a swift recovery. However, the landscape changed in early 2022; economic turbulence and a deteriorating financial climate triggered by the Ukraine conflict contributed to an overall reduction in job listings, especially in the IT sector. Despite some signs of recovery in Q4 2022, the demand for programming roles was still 5% lower compared to Q1 2019. In contrast, the benchmark figure for the same timeframe, gauged by the total number of job listings on the analyzed platforms, saw a 26% increase.

Demand for IT roles

Examining the demand for various types of IT roles over the last four years has revealed notable discrepancies. Since the second quarter of 2022, following the onset of the pandemic, there has been a swift uptick in the demand for jobs in cloud technologies. Simultaneously, there’s been a more moderate increase in interest for cross-functional positions. For roles centered around cloud technologies, the current demand has surged by 117% compared to the first quarter of 2019, which was our reference point. At its highest, the demand was 154% greater.

its highest, the demand was 154% greater.

As for cross-functional roles, the level of demand in 2022 and 2023 has approached our benchmark, exceeding it by only 9 percentage points. Conversely, jobs related to programming have witnessed a dip in demand, currently sitting at 9% below the levels of Q1 2019.

Salaries for IT roles in Poland

In reviewing salary trends for different types of IT roles over the past year, three distinct patterns have emerged.

Firstly, salary increases in software development roles significantly outpaced those in infrastructure and operations, registering a 14.14% hike. This divergence is unprecedented in earlier years. Given that there are more software development (DEV) workers than operations (OPS) staff, and considering the aforementioned salary hike for DEV roles, it’s clear that the demand for software-centric positions has been extraordinarily high in the past year. However, we don’t anticipate this trend maintaining its current magnitude throughout 2024.

Secondly, a year-over-year comparison reveals that salary growth has been almost universal across all job categories examined. In an unprecedented 69% of instances, these salary hikes surpassed the 10% mark. For 14% of the roles, the increase even exceeded 20%. Such a scale of growth has never been reported in our previous studies.

Thirdly, the most significant salary jumps were noted in roles related to data. Specifically, in the domains of Business Intelligence, Big Data, and Data Science, salaries increased by an average of 22%. For Big Data developers, the increase was even more remarkable, exceeding 40%. Alongside these substantial salary hikes, we’ve also observed a rising demand for specialists in these data-focused areas.

Popular reasons for rejecting job offers

The primary reason employees turn down job offers is the inadequately low salary being proposed. The second most frequently cited factor is the ambiguity surrounding the scope of responsibilities for the position. Additionally, the multi-step nature of the hiring process serves as another prevalent deterrent for prospective candidates. These findings imply that the growing intricacy of recruitment procedures is turning candidates away, particularly when this complexity is not accompanied by an improvement in the quality of the process.

What reasons make you reject the job offer?

For IT professionals, salary plays a pivotal role in both selecting an employer and considering a job change. Although just 30% of respondents were actively job hunting at the time the survey was conducted, the perception that high salaries are attainable was prevalent.

Given the highly dynamic nature of the IT market, coupled with a robust demand and a limited supply of skilled specialists, candidates find themselves in an unusually favorable position. Given these circumstances, the escalating salary expectations should hardly come as a surprise.

What’s the most important when choosing an employer?

Talent supply driven by the compensation offered

In addition, switching jobs is viewed by IT specialists as one of the most effective strategies for boosting income. Expectations for salary increases with a new employer are quite high. A significant majority of those surveyed anticipate a 20-40% hike in their existing salary, a figure that exceeds current inflation rates.

Only about one in ten respondents expects a more modest salary increase of 10-20%, which aligns with the actual raises announced by major businesses in 2024. Additionally, roughly 10% of the surveyed workforce is aiming for an even more substantial salary boost, ranging from 40-50% to 50-60% of their current income.

Popular perks and benefits for employees and contractors from Poland

IT companies have recognized that conventional perks like healthcare plans and gym memberships are now market norms, and no longer give them a competitive edge in attracting talent. As a result, the range of benefits they offer has become more diverse and innovative, aiming to enhance employee engagement, boost productivity, and promote work-life balance.

What are the benefits you’d like to receive from your employer?

The IT sector is at the forefront of introducing unconventional perks. Current offerings include services like house cleaning, streaming service subscriptions, massages, subsidized childcare, or even dedicated children’s spaces in the workplace. This list is continually expanding, often inspired by initiatives from international organizations before being adopted locally.

However, the key question remains: do these perks align with what employees actually want? According to our research on non-monetary benefits preferred by IT professionals, many respondents indicated that these extra benefits hold little sway in their choice of employer. Instead, they would favor a higher salary that would allow them the flexibility to choose and pay for services that suit their individual needs and lifestyles.

Interesting responses emerged concerning workweek structures; mentions of a four-day workweek were quite frequent. When asked about “cafeteria programs,” a fifth of respondents opted for shorter workdays on Fridays. This could indicate either a willingness to work longer hours on other days or a desire to reduce overall working hours. 

The third most frequently mentioned type of desired benefits are additional days off, ranging from those tied to special events or tenure at a company, to unlimited vacation options. Notably, the option for a “work-free birthday” was highly popular among the preset choices.

Upon analyzing all the collected responses, we observed that IT workers’ preferences for employee benefits largely revolve around three key areas. First, they desire greater flexibility in work hours, which includes the option for remote work, four-day workweeks, and extra vacation days. Benefits that save time and allow employees to invest in personal development, hobbies, and other life aspects are highly valued.

Secondly, opportunities for professional advancement, such as training sessions, courses, and events, are also in high demand.

Lastly, there is a strong appetite for benefits that cater to physical and mental well-being. Given the fast-paced, high-stress nature of the IT sector, it’s evident that employees prioritize perks that focus on health and work-life balance.

Summary

Based on our findings we’re confident that the Polish market has experienced:

• Up to 13% average salary increase for the researched IT positions.
• 5% decrease in the number of IT-related offers on the researched job portal between Q1 2019 and Q1 2024, despite the number of all job offers increasing by 26%
• 20-30% salary increase expected by most (63.1%) IT workers when changing workplaces.
• Salary continues to be a pivotal factor for IT professionals, playing a significant role both in selecting a new employer and in the decision to switch jobs. Inadequate pay was also identified as the primary reason for candidates withdrawing from the recruitment process.

Reach out to us to learn more about up-to-date market level salaries for Poland: [email protected]