Finance sector still best paying

According to the 30th National Management Salary Survey, released this week by the Chartered Management Institute and Remuneration Economics, the average earnings of managers in this country are £41,369.

The average for directors is £164,047. Directors have received a 5.9 per cent rise on last year while managers have done less well with a drop of 6.2 per.

On average, directors' bonuses have doubled since 1999, while managers have seen the value of their bonus payments remain broadly the same for five years.

The average IT director will earn £100,622 per year, while the average IT manager will earn £42,972.

Finance is the best paid sector, followed at some distance by marketing and then HR. As expected inner London is also better off while the North West suffers most.

The number of companies experiencing staff recruitment problems has almost doubled from 22.4 per cent in 2002 to 42.6%, with 28 per cent having difficulties with employee retention, up from 8.5% in 2002.

Mary Chapman, chief executive of the Chartered Management Institute, said: 'The reported shortage of appropriately skilled managers and staff is concerning, as it may affect future growth opportunities for UK organisations. There is a growing need for companies to offer competitive salaries in order to attract and maintain good staff.'