Salaries in agricultural sector in Ukraine
The agricultural sector is very attractive and rapidly growing market segment. Already in 2020, the export of agricultural products and food amounted to 45% ($ 22.2 billion). Development of the industry leads to an increase in salary expectations and compensation for managers working in the agricultural sector.
It is difficult enough to talk about average wages in agribusiness. The level of compensation depends on many factors, the main of which is the company's profitability. The consultants of the job portal grc.ua interviewed employees of 9 largest agricultural companies in Ukraine to see their motivation systems for employees of the sales department (sales representatives and regional managers).
Regional managers' salaries range from UAH 32,000 to UAH 80,000 per month (1000-2400 Euro), depending on the size of the company and the level of qualifications of specialists. The average level of monthly compensation is 54 thousand UAH / month (1600 Euro). For employees of the sales department, in addition to the salaries, a bonus component is also paid, which is tied to the achievement of goals for six months / a year. In general, the average annual bonus for regional managers of agricultural companies is 24-27% of the annual salary and depends on the level of responsibility, scope of responsibilities and functions of the manager.
If we talk about sales representatives, then their average monthly salary is 31 thousand hryvnia (943 Euro), with a minimum of 20 thousand hryvnia (608 Euro) and a maximum of 45 thousand UAH (1370 Euro). The bonus part is on average 25% of the annual salary.
At the same time, both regional managers and sales representatives would like to increase the size of their annual bonuses. Thus, the wishes of candidates to increase the annual bonus fluctuate in the region of 35-45% of the annual payroll. In general, for the Ukrainian labor market (and agribusiness is no exception), a typical situation is when candidates exaggerate their capabilities and financial wishes, but employers, on the contrary, are trying to save money. In the agricultural segment, the difference between financial expectations and actual wages is on average 20-30% and practically does not depend on the area of the employee's activity (sales representative or regional manager).
Each agricultural company chooses its own payment methods. There are companies that rely on compensation packages, there are those that pay pegged to the dollar. But regardless of the grading system, in the absence of regular recalculation of salaries, many employees are ready to change jobs. Thus, sales representatives agree to switch to a competitor, subject to a 39% increase in pay. Regional managers will gladly consider an offer from a recruiter if the salary is 37% higher than in the previous job.
Source: Latifundist.