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Friday 7 October 2011

Green salary survey finds property is top of the money tree


By Tina Perinotto

7 October 2011 – At last the Australian sustainability industry is starting to gain an insight into the worth of its people. At least in terms of salaries and roles, thanks to the first comprehensive survey of green jobs.
It’s good news for property, money wise.According to the executive summary of the 2011 Sustainability Roles & Salary Survey the property industry has trumped rival sectors, banking and finance, at least in terms of highest average salary for sustainability classified jobs. But there is a  twist in the tale: property and real estate scored lowest on satisfaction.

Among the states, NSW has come out first in terms of salaries, ahead of Victoria by nearly $10,000.

Average salaries were:
  • property and real estate                                  $144,253
  • Construction                                                    $134,482
  • Banking, insurance, financial service               $130,046
  • Energy and utilities                                          $118,484
  • Manufacturing                                                 $117,242
  • Consulting (engineering services)                   $ 98,152
  • Consulting (professional services)                  $ 98,152
  • Environmental services                                   $ 97,416
  • Education                                                        $ 90,230
  • Non-profit                                                        $ 78,310
The survey was conducted by a cornucopia of interests from the green industry: recruitment consultancy Turning Green which led the project and key partners, The Association of chartered Certified Accountants, the Green Building Council of Australia, the Australian Green Infrastructure Council, Environmental Jobs Network, and Models of Success and Sustainability.

It attracted 804 respondents, with a 77 per cent completion rate. In terms of gender the rate was 48 per cent female and 52 per cent male. More than half the respondents worked in-house for companies, while 30 per cent were from consultancies. Only 7 per cent were from the not for profit sector.

A clear indicator of the survey was that there is significant confusion about what constitutes a green occupation, making forecasts of demand for specific roles problematic.

This made it “very difficult to estimate what new and emerging occupations currently exist or are likely to be created with various green economy plans,” the report said.

Another difficulty was that 35 per cent of those surveyed said they expected a skills shortage in the future, which would make it difficult to recruit staff. A need for more training was cited as important.  Currently 90 per cent of respondents were tertiary educated.

The survey noted that an objective of the Council of Australian Governments Green Skills Agreement was to develop national standards in skills for sustainability.

However it was also clear that sustainability and environment-focused roles existed across all industries.

Key driver for job creation in the industry were:
  • Energy management
  • Carbon management
  • Water management
  • Sustainable procurement
  • Product lifecycle
  • Product composition
  • Ethical labor standards
One key finding in the survey was that the length of time working in the field had an impact on salary: those with 10 years of experience in general commanding double the salary of others.

Another interesting factor was that most respondents – 67 per cent – were satisfied with their jobs, but this rose to 75 per cent in the not for profit sector.

Lowest satisfaction levels were reported for property and real estate – 58 per cent and construction (53 per cent). (this, despite scoring the highest average salary.)

What might explain this?
The survey authors took a punt: “This could indicate that individual’s ideals are changing and that the financial return from a job is just one of the many components that attract them to a role.

“The subjective aspect of a position, for example work-life balance, contributing to a worthwhile cause and job satisfaction, is just as important as the objective outcomes of prestige, power, money and advancement.”

The full 115 page report is available at various prices with discounts to participants. Contact lisa@turninggreen.com.au

The Fifth Estate – green buildings and sustainable property news

Monday 3 October 2011

Turning Green e-newsletter October 2011


In this October 2011 edition of the Turning Green E-Newsletter, we launch the full report of the Sustainability Salary Survey and feature a number of engaging articles.  Subject areas covered include Mitigation versus Adaptation by Kate Bennett, also by Kate the Power of Public Private Partnerships: a Microfinance success story, and we cover Katja Bührer’s story; a finance journalist who found herself working in Bangladesh collecting opinions about finance – but from people whose daily salaries do not contain any zeros.

As for Turning Green it has been a busy year with an abundance of career consultations and a wide variety of recruitment activity.  The amount of internal movement is also high across industry, a fact we are privy to in confidence through our networks.  As one trusted industry friend observed last month, you wouldn’t want to be in any other area than sustainability, in any other country in the world right now.  Whilst there is still a long way to go, it does feel that the tide is slowly turning.  One interesting finding from the survey was that 22% of participating sustainability professionals operate in a stand alone capacity.  This was closely followed by 19% operating at Executive Management level (including CEO), 17% reporting in to Operations and 7% as part of the Marketing and Communications function.  This tells us that the sustainability networking circuit will continue to remain active, as sustainability professionals seek comraderie and debate from peer connection through appropriate networking groups.  We also cannot ignore the power of online networking, with one senior sustainability executive citing the establishment of a key LinkedIn group which now has more than 570 members from more than 55 countries.  

Additionally, the Environmental Professionals Forum (EPF) boasts a membership in excess of 900 professionals.  Just this week EPF, in conjunction with Stockland, hosted an event that offered members the opportunity to converse with Siobhan Toohill, General Manager, Corporate Responsibility & Sustainability (CR&S) for Stockland, to hear about why Stockland value sustainability and how they continue to develop and refine their strategy.  Passionate about creating great places for people to live and work both today and in the future, Toohill joined Stockland as National Urban Design Manager, and her interest in social and environmental impacts led her to create a new role focused on corporate sustainability. For the past seven years Siobhan has been responsible for creating and embedding Stockland’s sustainability strategy.  As testament to their committment and success, Stockland was recently recognised as the most sustainable property company 
globally by the Dow Jones Sustainability Index (DJSI).  

Accolades aside, what I took from the presentation was a testament to Siobhan’s personal approach to her work.  Both uplifting and inspiring Siobhan demonstrated an emotional maturity that is essential when dealing with multiple stakeholders to overcome potential barriers to sustainability.  Siobhan has been able to breakthrough a variety of management practices (stemming from sense making patterns) and internal organisational concerns.  As a result she has helped to obtain a more commercial outcome than an inflexible and egotistical approach might have.



One final interesting point this month has been the volatility of markets which is forcing boards to rethink the way senior executives are remunerated, and many are considering linking incentives to internal company targets instead of shareholder return.  It is therefore pleasantly surprising to learn about some innovative compensation schemes a few companies are using to weave sustainability into the fabric of their businesses.  Intel links employee compensation to sustainability results and is doing this for its entire workforce. Since 2008, every employee’s annual bonus is calculated on the basis of the firm’s performance on sustainability measures like product energy efficiency, completion of renewable energy and clean energy projects, and the company’s reputation for environmental leadership.  

National Grid’s compensation model shows how to embed sustainability practices into a company’s DNA.  Like Intel, National Grid has tied CEO and other executive compensation to performance on the company’s greenhouse gas (GHG) reduction goals – and these are aggressive goals: an 80% reduction by 2050, with 45% by 2020.

  Xcel Energy’s compensation for executive officers is tied to GHG reductions but they go further by disclosing details of the targets and compensation in its annual report, and not just in sustainability reports.  Important here is getting the key information directly to the investment community and secondly, it demonstrates that Xcel sees sustainability as a core business issue.

  

This is demonstrating smart practice that will no doubt empower employees throughout the organisation.