Risk and compliance professionals, including data protection professionals, at all levels have seen their compensation increase by an average of 7%, according to RIMS’ survey of about 1,100 North American risk professionals.
Increasing Demand for Risk, Privacy and Compliance Management Experts
The demand for experienced and strategic risk management leaders is sharply rising according to a new survey conducted by the Risk and Insurance Management Society (RIMS). As companies face growing threats from climate change, cyber-attacks, supply chain disruptions, and more, there is an increasing need for risk professionals who can develop enterprise-wide risk mitigation strategies.
The RIMS survey, which included responses from around 1,100 risk management professionals based in North America, found that salaries for US-based Enterprise Risk Management directors have climbed over 13% since 2021. This indicates that top companies are having to offer premium pay packages to recruit top tier candidates into these crucial leadership roles.
Some other key findings highlighted in the report demonstrate the experience levels and educational credentials that are most in demand when recruiting for contemporary risk teams:
- Median Annual Base Salary:
The median annual base salary for risk management professionals in the United States, in 2023, reached a non-inflation-adjusted figure of $144,000, representing a notable rise from $135,000 in 2021. Similarly, in Canada, the median base salary climbed from $120,000 to $122,000, reflecting a modest yet positive growth. - Director-Level Professionals:
Among the various levels of risk professionals, those holding director-level positions experienced the most substantial salary increase. In the United States, their pay surged by an impressive 13%, while their Canadian counterparts witnessed a commendable 15% rise. - Experience as a Key Factor:
Professionals boasting a minimum of 25 years’ experience emerged as the most sought-after in the industry. In Canada, their expertise commanded a remarkable 20% salary increase since 2021, indicating the high demand for their seasoned skills. Similarly, in the United States, professionals with at least 25 years of experience enjoyed a notable 12% salary boost, further highlighting the value placed on their extensive knowledge and expertise.
The report demonstrates the growing recognition of the importance of risk management in organizations. As businesses face increasingly complex and dynamic risks, the need for strategic risk leaders becomes paramount. Employers are willing to invest in attracting and retaining top talent, resulting in substantial salary increases for risk professionals across various levels and regions.
Furthermore, the report emphasizes the significance of continuous education and professional development in the risk management field. As the landscape evolves, risk professionals must stay abreast of emerging trends, technologies, and best practices to effectively navigate the ever-changing risk landscape.
The RIMS survey highlights the rising demand for skilled risk leaders and the subsequent increase in compensation across the risk management profession. As organizations recognize the critical role of risk management in achieving their strategic objectives, professionals with the right expertise and experience are well-positioned to capitalize on these opportunities and contribute to the success of their organizations.
Career Outlook for Data Protection Professionals and Risk Managers
As risk management roles take on greater importance, the career outlook for those specializing in this field is quite positive. One particularly in-demand position is that of the Data Protection Officer (DPO), a role mandated under data protection legislations. With data privacy concerns mounting alongside high profile cyber attacks, professionals with expertise in data compliance are seeing tremendous recruitment interest.
The career outlook for a DPO is positive, with a projected job growth of 18% over the next ten years. This growth is due to the increasing importance of data privacy and security, and the growing demand for skilled professionals to fill these roles.
By completing the DELTA Data Protection & Compliance Academy training and certification program, individuals can position themselves as highly qualified candidates for DPO roles. This certification demonstrates to potential employers that the individual has the necessary knowledge and skills to help organizations comply with data protection regulations and safeguard the privacy of individuals’ data.
The rising strategic significance of risk management means exciting career opportunities lie ahead for qualified professionals in the domain. Roles like DPOs and Chief Risk Officers are on track to be among the most recruited positions of the next decade.
DELTA Data Protection & Compliance Academy & Consulting – info@delta-compliance.com
