The state of CIO salaries: Rising to meet the prominence of the role

Elevated in prominence over the past few years, CIOs are now an integral part of the C-suite, with salaries and compensation packages now commensurate with that stature. “As key officers of their companies, technology leaders have entered a more lucrative compensation bracket,” notes Martha Heller, CEO of Heller Search Associates. Since 2023, compensation for CIOs and CTOs has increased by more than 7% and over 20% since 2019, according to Heller. “This growth is evident in both base salaries and equity packages,” she says. “The primary driver behind this trend is the evolving reporting structure, with over half of CIOs now reporting directly to CEOs, a significant shift from five years ago when at least 60% reported to a lower executive level.” The COVID-19 pandemic was another catalyst, having collapsed five-to-10-year salary timelines into two years, she says. “Compensation is certainly increasing, and as CIOs continue to achieve more and more responsibilities, we fully anticipate that these levels continue to increase,” agrees Craig Stephenson, managing director of the North America technology and digital officers practice at Korn Ferry. The search firm is seeing higher pay across the board in all industries. “If you bring the right portfolio of experience,” including data knowledge, business acumen, and information security, “I think any industry will pay relative to their market for their selection of a CIO,” Stephenson says. CIO packages often include stock options, relocation expenses, and hiring bonuses, says Victor Janulaitis, CEO of consulting firm Janco. “Typically, [CIOs] have 401ks and as part of the negotiation process, they’ll negotiate a lump sum that will offset the cost of that loss” from leaving their current job.

Full story : Pay packages for IT chiefs are increasing as CIOs become business change agents, with retention awards incentivizing CIOs to see transformation through as AI looms.