Average annual raises in the beer industry rank among the highest in the consumer product goods industry, according to recruiting firm ForceBrands’ latest “Beer Talent Market Report.”
The New York-based firm’s survey of 111 beer industry professionals — including C-level executives, directors and presidents– found that the beer industry’s average annual raise of 12 percent outpaces the CPG industry average by 2 percent.
According to ForceBrands, the average raise at a small beer company — those generating less than $50 million in annual revenue — is 10 percent, while raises at large beer companies — those generating more than $50 million in annual revenue — average 14.5 percent.
The majority of respondents from smaller companies — 64 percent — were male, ages 25 to 44. Larger company respondents were also predominantly male (69 percent), ages 25 to 34.
The report also compiled fair market base salaries in four disciplines: sales, operations, marketing and finance. However, those salaries were not broken down by the respondents’ gender.
The highest reported salary was for chief operating officers, at $275,000, while the lowest reported COO salary at $200,000. Meanwhile, the average salary for chief marketing officer and chief financial officer positions both ranged from $200,000 to $250,000.
The lowest reported salary was in sales, with salaries for area sales managers/market managers, with salaries between $60,000 and 80,000. The average salary for a VP of Sales ranged from $175,000 and $225,000.
As for head brewers and distillers, their salaries ranged from $100,000 to $175,000.
Beyond salary, the report identified the top alternative incentives offered by companies unable to match an employee’s desired compensation.
For both small and large companies, flexibility was the top incentive, with 32 percent of small companies offering a flexible schedule, and 37 percent of large companies offering flexibility to work outside of an office environment.
Other incentives offered by small companies include increased travel and expense budgets, better job titles and paid sabbaticals (40 percent of small companies surveyed said they offer unpaid sabbaticals).
Perks offered by larger companies included customized perks, tuition reimbursement and profit sharing.
The performance of the company and a worker’s job performance were the top factors in determining increased compensation, with respondents from small and large companies alike identifying these as “very important.”
Cost of living, retention and loyalty were among the most important factors for smaller companies in increasing their employees’ pay. Larger companies reported increasing salaries based on inequity within the company or market-rate adjustments.
Small and large companies both reported offering employees stock options and team performance bonuses as incentives.
The report also found that both small and large companies prioritize similar benefits.
Maternity leave was the top benefit offered by both large and small companies. Nearly half of small companies and 70 percent of large companies said they offer employees time off before the birth of a child.
Nearly half of small companies offer paid maternity and paternity leave, while 42 percent offer paid family leave. More than two-thirds of large companies surveyed offer their employees paid family leave. Paternity leave was not listed in the top benefits offered by large companies.
On average, small companies offer just over nine weeks for maternity and paternity leave, while larger companies offering just below seven weeks off. Paid family leave averaged 5.6 weeks for small companies and 6.1 for large companies.
Nearly half of small companies and 65 percent of large companies offer 401K retirement plans, with company contributions. Beyond a 401k plan, the report notes that companies are also offering other retirement benefits, such as stock options, equity and profit sharing.
Both benefit lists include medical insurance or private health care partially paid for by the company. For small companies, life insurance, unpaid sabbaticals, and bereavement leave were among the top benefits.
Large company benefits include in-office stress relief or fun, vision insurance and dental insurance.
Looking ahead to 2020, a quarter of small companies surveyed said they plan to introduce flex-time, student loan debt payback assistance, vision insurance, paid maternity leave and summer hours or comp days.
As for large companies, nearly 30 percent surveyed said they plan to offer paid paternity leave, free or discounted entertainment, unlimited time off and paid birthday vacation days.