Artur Meyster, founder of Career Karma, has been examining the effect that the expotential rise in homeworking has had particularly on tech salaries given that so many of us have had to rely on technology to enable us to continue working during the coronavirus pandemic.

Research is also showing that many of us will resist the urge to revert back to working full time from the office once the pandemic is over and many predict that working life will not be the same again when we come out of lockdown. Artur’s examination has revealed that not only are tech salaries rising but that women are actually making the gender pay gap wider through their reluctance to demand the same remuneration as their male equivalent.

The coronavirus pandemic has made remote work the ‘new normal’. With most offices closed, companies are leaning on remote workers to move forward. Year after year, tech salaries have increased consistently. However, the coronavirus pandemic made that growth even more significant. Nowadays, Netflix, Walmart, and Amazon usage are thriving, and so are tech companies’ profits.

While remote work keeps gaining more ground, several organisations have implemented new philosophies to adjust tech salaries. However, wage inequality caused by gender bias is still affecting the workplace. This article will provide you with a better idea of how tech salaries have changed during Covid-19 and the affect this has on the gender wage gap.

Tech Salaries Before Covid-19

The tech market is growing fast, and there’s no doubt that more companies will invest in tech in the future. New technologies have allowed organisations to take big strides and attract more customers, given that they will continue to disrupt every sector worldwide. In 2019, tech salaries grew in major markets. The global average salary was $130,000 per year (c£100,000), but in the US, the typical salary was $146,000 per year (c£110,000).

According to Hired’s 2020 State of Salaries Report, Toronto and Austin were the cities that led the tech market in salary growth with a 10 percent increase in 2019. However, the San Francisco Bay Area still has the highest pay in tech. With a typical salary of $155,000 per year, the city reported a 7 percent increase last year.

The New Normal Effect

After the coronavirus outbreak, the headquarters of tech companies froze their operations, and employees began to work from home. In order to move forward and survive, companies started to reduce costs. Remote work is now the new standard, and most tech professionals have been given schedule flexibility. However, a problem came up since tech employees could keep the same salary and think about relocating. For example, a full stack developer earns, on average, $138,027 per year in San Francisco. If they can move to a city with a lower cost of living, their profits would be higher.

Keeping the same salary and moving to another city is only a reality for some. Nevertheless, world-class companies like Facebook have already taken action by implementing location-based philosophies. As a result, remote workers’ compensation is adjusted depending on the city they live in.

Racial bias and ageism have been reduced, but there’s still work to do. Salaries offered to Hispanic, and Black professionals are lower than their white counterparts with the same role. In other words, a Black front end developer would probably be offered a lower salary than a white front end developer working in the same company.

Many vocational schools have gone overseas to offer their services. Hence, tech talent outside exists. Remote work has allowed organisations to reduce costs by hiring skilled employees from other cities and even countries. Thus, tech professionals in the US may experience a pay cut since tech workers in Latin America and Africa have lower expectations.

Gender Discrimination and Wage Gap

Several companies have taken action to reduce gender discrimination in the workplace. Still, according to Hired’s 2020 State of Wage Inequality report, the gender wage gap is widening. In 2019, 60 percent of the time, male candidates were offered higher salaries than women for the same position at the same organisation. Nowadays, 63 percent of the time male candidates are offered higher wages.

Hired’s discrimination research demonstrates that in the last 5 years, over 60 percent of women felt discriminated against in the workplace. Also, more than one-third of surveyed male candidates are not aware of the existing gender wage gap. On the other hand, 84 percent of women believe a gender wage gap exists, but only 60 percent of women discovered they were being paid less.

Expectation Gap and Raises Only For Some

Hired’s report also demonstrates how the expectation gap has changed over the years. Nowadays, men’s salary expectations are higher than women’s. In 2020, 65 percent of women would ask for lower salaries than male candidates with the exact same role in the same company. Also, 28 percent of female candidates said they took no actions after realising they were paid less than their male peers.

When talking about salary raises and negotiation, 83 percent negotiated an increase in pay, and 72 percent of women found it stressful negotiating a higher salary. Regardless of stress, only 50 percent of surveyed women received a salary raise. For male candidates, results were different: 86 percent negotiated a pay increase, and 57 percent achieved their goal. In other words, a male tech professional with the same programming skills and job title as a female peer is more likely to get a salary raise.


The expectation gap phenomenon is indeed a driving catalyst that affects the gender wage gap. Hence, greater transparency is required in the marketplace. Changes don’t happen overnight, and existing equity, inclusion, and diversity initiatives are not making a significant impact. But, hopefully, more companies will implement better hiring philosophies and achieve pay parity in the next few years. Also, Covid-19 and remote work have shown that tech salaries and the tech industry will continue to increase as investing money in tech has become essential to meet customers’ needs.



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