New AIA Report Finds Wages Falling in Most Small Architectural Firm Positions Between 2019 and 2021 | New

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The third edition of AIA’s Small Business Compensation Report has been released, detailing how sole proprietorships and businesses with fewer than three architectural employees fared during the tumultuous period between 2019 and 2021.

The report includes data on compensation trends, employee demographics, trends in compensation practices and details on employee benefits. It also details the impacts of the pandemic on wages, employment levels and company culture.

According to the AIA, for most positions in small architectural firms, salaries have declined or remained the same between 2019 and 2021. Business leaders have seen the biggest pay cuts, especially architects solo, who suffered average annual losses of 6.5% if they were sole proprietors. and annual losses of 7.3 percent if they were not sole proprietors. Business leaders who are sole proprietorships also suffered losses, an average annual decline of 3.8% from 2019 to 2021.

Previously on Archinect: Architect Salaries Have Not Keeped Up With The Economy At Large, New AIA Report On Architect Salaries During COVID-19 Findings

Additionally, small businesses were still heavily affected by the pandemic, even with the help of Covid-19 relief initiatives, such as the Paycheck Protection Program (PPP). Average small business revenue declined 20%, from $ 510,000 in 2018 to $ 410,000 in 2020. The number of small businesses with annual revenue of $ 1,000,000 or more has increased. from 10% of companies in 2018 to 8% of companies in 2020.

One of the few compensation practices that reflects positive change is related to quality of life and corporate culture benefits. Two notable examples highlighted by the AIA are flexible working hours and parental flexibility, with the share of companies offering these benefits increasing by 2% compared to 2018. Small companies with five or more employees have benefited from the benefits. many of these advantages. Not surprisingly, the share of small businesses offering remote work has also increased.

Linked to Archinect: Archinect Survey Results: Has the Architecture Community Returned to the Office This Summer?

The full 2021 AIA Small Business Compensation Report is available for purchase from the AIA website here.

How has the pandemic affected pay, benefits or work culture in your region? Do the numbers in the report reflect your personal experience? Share your comments in the comments below.



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