Why read this article
Between April and May 2023, Albany Partners, in collaboration with CTO Craft (Europe’s largest CTO community network) collected data on base, bonus, and equity from 600 engineering leaders. Their analysis explores compensation norms and patterns in salary and pay structure. Although their responses came from participants worldwide, the results best reflect the European market.
Albany Partners x CTO Craft’s 2023 compensation survey report offers a comprehensive and transparent overview of compensation trends and patterns within the technology leadership landscape. It provides valuable insights into salary norms, compensation benefits, LTIP (Long-Term Incentive Plan) structures, and equity distribution across seniority levels, company stages, and regions. For tech leaders and HR professionals, this report is an essential tool for understanding current compensation benchmarks, ensuring competitive and fair pay structures, and making informed decisions about their career paths or compensation strategies.
Here are our key takeaways:
- Varied Compensation Satisfaction: A significant portion of tech leaders are unsure about their compensation fairness, highlighting a need for more transparency and benchmarking in the industry.
- Regional Salary Differences: There are notable regional variations in compensation, with U.S. employers generally offering higher salaries and bonuses compared to their counterparts in the UK and Germany.
- LTIP Structures: Stock options are the most common form of LTIPs, with a typical 4-year vesting period and a 1-year cliff.
- Equity Disparities: There is a significant gender disparity in equity allocation, with women and non-binary individuals receiving substantially less equity value compared to their male counterparts.
- Compensation Preferences: Across all seniority levels, tech leaders value base salary the most, followed by LTIPs, with bonuses and other benefits being less prioritized.
As you delve into the report, we invite you to explore the rest of our collection of compensation benchmarking reports. These offer a perspective on compensation trends across various roles and regions in the tech sector.