What does the top managers' salary package look like: 59% fixed income, 41% bonuses

What does the top managers' salary package look like: 59% fixed income, 41% bonuses

59% of the annual income of a top Romanian manager means fixed salary, the remaining 41% being annual bonuses, monthly and holiday bonuses.

This is the largest share of bonus payments within the total wage package among the countries in the region, according to a recent study conducted internationally by Paylab's payroll comparator, launched in Romania by eJobs.

The region's average is almost 10% lower, most of the top managers reporting premiums and bonuses, which account for about 33% of total annual earnings.

Poland is the country with the largest share of the fixed salary in the total revenue that a top manager collects, respectively 79%.

In fact, Poland is the only country in the Paylab report where top managers do not receive holiday bonuses, the only bonuses being the monthly ones or at the end of the year, according to their performance.

Slovenia, Croatia, Latvia, Serbia, Lithuania and Estonia are close to Poland, in each of these countries, the most consistent part of the annual earnings received by top managers is the fixed salary in percentages ranging from 70% (in the case of Estonia and Lithuania) to 76% (Slovenia).

"This mix between fixed salary and variable bonuses comes as a result of the massive entry of multinationals into the Romanian market in the last 20 years. Along with them, remuneration policies came, which, especially for managers, implies boosting performance through specific bonuses. Often, top managers are more careful about negotiating this package of variable bonuses than negotiating fixed wages, "says Bogdan Badea, eJobs Romania CEO.

However, the fixed salary increases as a percentage of the total, as the level of responsibility of managers decreases, those on lower levels having an annual package where bonuses are marginal compared to fixed income.

"But even in this chapter, it seems that Romanian middle managers have used their employers to raise when it comes to bonuses. Thus, Romania is the country where the middle and low managers have the lowest share of the fixed wage region from the total annual revenues, ie 71%. The remaining 29% is premiums and bonuses, "adds Bogdan Badea.

On the other side is Slovenia, the country where the middle manager's income comes mainly from the fixed salary (83%), followed by Croatia (81%) and Hungary (80%).

At a level closer to Romania is Serbia (73%), Bulgaria and the Czech Republic (both 75%), according to Paylab. According to eJobs.ro, the number of jobs for management positions increased in 2018 by about 10% compared to last year, with companies out in the market with over 9,000 such jobs.

Most of these were addressed to experienced salespeople (2,016 jobs), logistics (1,166 jobs) or banking (713 jobs).

The top of the areas for which was the largest search for managers in 2018 continue with food and HoReCa, marketing, procurement, construction, finance / accounting, engineering and IT.
Regarding the salaries offered according to the geographical region, the best paid managers remain in Bucharest and Ilfov. The average salary for this professional level is 7,662 lei per month, according to Paylab.ro, the eJobs payroll comparator.

The Northwest region of the country is the second most attractive area for managers, from the income point of view, with the salary average of 6,281 lei, net.