Tech Salaries In Phoenix Among The Fastest Growing In The Nation
Salaries for tech workers in Phoenix grew in 2020, despite the hardships presented by the Covid-19 pandemic according to a new report from Dice.com, a website for tech job seekers.
Tech salaries in Phoenix grew 7.6% from 2019 to 2020, reaching an average of $95,514. This pacing landed Phoenix as 7th on the list of fastest growing tech salaries in the country. Last year the fastest growth came in Charlotte, North Carolina, which saw a 13.8% change, followed by Orlando, Florida (13.4%) and New York City (11.6%).
At 7.6% growth, Phoenix outpaced the national average growth in tech salaries, which was up 3.6% year to year.
At the state level Arizona was dead-on with the national pace, with tech salaries also growing at an average of 3.6%, ranking the state 16th nationally for average salary size at $93,787.
The fast salary growth helped Phoenix to rank 17th nationally in average tech salary size at $95,514. The largest average salary nationally, unsurprisingly, came from Silicon Valley in California at $126,801. Next were New York City ($114,274), Boston ($111,069) and San Diego ($109,910).
Arizona Technology Council President and CEO Steve Zylstra said Arizona has historically suffered from low tech salaries, but as they continue to rise the state becomes more attractive to the best talent.
“There is even greater demand for tech talent than there ever has been, and what that has done is driven up salaries,” he said. “The higher level salaries attract better talent as well. So I think we’re simultaneously increasing both the quality and the quantity of talent we have in the technology workforce.”
He said salary growth is being bolstered by three factors: The entrepreneurs creating innovative companies; growth from established tech companies such as Insight and Raytheon; and the trend of out-of-state companies relocating to Arizona.
This was most recently embodied by Viavi Solutions announcing that it had left San Jose, California to establish a new headquarters in Chandler.
Zylstra said that cultivating local talent is the most sustainable way to support the tech sector, and that starts in the schools.
“In Arizona, we need to get more students interested in STEM, because as you can see, what’s going on in the economy is technology is driving everything and every kind of business today.”