R&D Employees Earn $18,000 to $250,000+

Compensation in Research & Development, 20th Edition - 2006
Survey Summary

PUBLISHED: January 2006 Table of Contents | Sample Report Page Back to Survey List

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Summary of the 702-page Compensation in Research & Development, 20th Edition - 2006 survey report of 69 benchmark jobs from Abbott, Langer Association Surveys. The following describes the highest and lowest paid job characteristics, the national median total cash compensation for 23 benchmark jobs, and the factors affecting salary (Geographic Area, Type of Employer, Supervisory/Managerial Responsibility, Length of Experience, Education, Education vs. Experience, and Discipline):

The R&D practitioner with the highest annual income (salary plus cash bonus and/or cash profit sharing) reported in an R&D Director located in or near San Diego, Dallas/Ft. Worth, Middlesex-Essex Counties (MA), Syracuse/Utica (NY), Ft. Wayne (IN), Philadelphia, Santa Fe, or Modesto/Stockton/Fresno, or outside the metropolitan areas studied in North Carolina or California. This composite individual is employed by a consulting firm, a manufacturer of pharmaceutical products or automobiles, trucks, parts & accessories, a for-profit contract research center, a producer of food/beverage/tobacco products or medical & scientific equipment, or the federal government. This individual typically holds an MBA, MA/MS, or doctorate; works in the field of business/economics, computer science, pharmacology, mechanical engineering, or chemistry; and has had 25 or more years of experience. While the median R&D Director has a total annual income of $112,920, the highest-paid individuals in the group make from $250,000 to well over $600,000.

Far toward the other end of the income spectrum, Engineering R&D Technicians "C" (the lowest level of technician) have a median income of $26,000. Earning as little as $18,000 the composite member of the lowest-paid technicians is located in or near Omaha, Dayton, Jackson (MS), Memphis, or Battle Creek (MI), or outside the metropolitan areas studied in Wyoming; and works for an educational institution, a nonprofit contract research center, a machinery/heavy equipment manufacturer, or a state/local government. He or she typically has little or no college education or experience. The employees who make up this composite are assisting in research & development in mechanical engineering, chemistry, life sciences, business/economics, or health sciences.

These composites represent the briefest possible "boil-down" of the voluminous data provided regarding current salaries and cash bonuses and/or profit sharing, and numerous demographic variables provided by 104 organizations regarding the compensation of 1,279 R&D practitioners in 69 benchmark jobs. The end results of the survey appear in Compensation in Research & Development, 20th Edition - 2006, a 702-page statistical analysis of compensation practices in R&D, sponsored by Research & Development Magazine. Copies of this two-volume report are available for $1,250.00 through our On-Line Order Form or from Abbott, Langer Association Surveys, 1725 I Street NW, Suite 300, Washington, DC 20006 (Telephone: (877) 210-6563, Fax: (877) 239-2457).

The median total cash compensation for some of the other benchmark jobs included in the survey report is:

Chemistry R&D Director "D"	$110,250
Life Sciences R&D Director "D"	$108,189
Mechanical Engineering R&D Director "D"	$113,689
Chemistry R&D Manager	$103,514
Engineering R&D Manager	$102,502
Life Sciences R&D Manager	$67,500
Engineering R&D Section Head	$94,394
Chemistry R&D Section Head	$81,536
Engineering R&D Unit Supervisor	$83,493
Physical Sciences R&D Unit Supervisor	$97,260
Research Administrator	$57,031
"Distinguished" Engineering R&D Specialist	$118,230
"Distinguished" Physical Sciences R&D Specialist	$93,330
Computer Science R&D Specialist "A"	$103,098
Mechanical Engineering R&D Specialist "A"	$87,360
Physics R&D Specialist "A"	$91,140
Chemistry R&D Specialist "B"	$63,544
Engineering Technology R&D Specialist "B"	$72,000
Health Sciences R&D Specialist "B"	$56,742
Life Sciences R&D Specialist "C"	$45,971
Mechanical Engineering R&D Specialist "C"	$62,292
Engineering R&D Technician "A"	$44,962
Engineering Technology R&D Technician "B"	$38,084

Apparent anomalies in the list above tend to "wash out" when consideration is given to the geographic location, type and size of employer, supervisory/managerial responsibility, education and experience, and discipline -- variables for which pay data are presented by job in the complete report.

Geographic Location

By region, the median incomes in R&D are:

Northeastern States	$117,500
Midwestern States	$109,806
Southern States	$100,152
Pacific States	$100,000
North Central States	$95,000
Southwestern States	$91,000
Mountain States	$80,018

By state, the five highest median incomes in R&D are found in:

Ohio	$112,620
California (southern)	$110,000
New York	$106,592
California (northern)	$100,000
Indiana	$93,633

The five lowest median incomes are found in:

Montana	$60,846
Washington	$80,000
Illinois	$80,000
Wyoming	$81,536
Colorado	$89,551

By metropolitan area, the five highest median incomes are found in:

San Diego	$122,500
Dayton	$114,330
Los Angeles	$112,500
San Francisco	$100,000
Denver/Boulder	$89,551

The five lowest median incomes are found in:

Butte (MT)	$60,846
Omaha	$65,000
Seattle/Everett	$80,000
Chicago	$80,000
Houston	$83,876

Type of Employer

By type of employer, the five highest median R&D incomes are found in:

Contract Research Centers (for-profit)	$166,100
Consulting Firms	$122,500
Chemical Manufacturers	$113,500
Government (Federal)	$107,756
Pharmaceutical Manufacturers	$105,000

The five lowest median R&D incomes are found in:

Food, Beverage & Tobacco Processors	$75,850
Automobiles/Trucks/Parts/Accessories Mfg.	$76,000
Educational Institutions	$81,392
Contract Research Centers (non-profit)	$83,054
Rubber & Plastics Product Manufacturers	$96,750

Size of Manufacturing Employer

In rank order, the median R&D income in manufacturing by total number of employees is:

10,000 Employees or More	$117,379
1,000 - 9,999 Employees	$110,500
Under 250 Employees	$100,000
250 - 999 Employees	$86,905

Number of R&D Scientists, Engineers, and Technologists

The correlation of median R&D income with number of R&D scientists/engineers/technologists is about the same as with total number of employees.

100 or More	$112,488
10-24	$104,000
Under 10	$100,000
25-99	$79,810

Supervisory/Managerial Responsibility

Median R&D income correlates well with supervision/management of both professional employees and technicians.

50 or More Professional Employees & Technicians	$129,527
10-49 Professional Employees & Technicians	$112,620
5-9 Professional Employees & Technicians	$108,400
1-4 Professional Employees & Technicians	$100,000

Median R&D income does not correlate as well with supervision/management of just professional employees.

10 or More Professional Employees	$101,015
5-9 Professional Employees	$114,678
1-4 Professional Employees	$92,280

Median R&D income of those who supervise just 1-4 technicians is $80,009. Very few respondents supervised/managed more than four technicians without supervising/managing any professional employees.

Length of Experience

A fair correlation was found between length of experience and income.

30 years or more	$102,000
20 - 24 years	$99,528
5 - 9 years	$93,010
15 - 19 years	$91,936
10 - 14 years	$84,904
3 or 4 years	$81,542

Level of Education

Interestingly enough, R&D practitioners holding the doctorate were not the highest paid:

Master's Degree	$103,500
Doctorate	$102,211
Bachelor's Degree	$78,907

Length of Experience vs. Level of Education

Naturally, a cross-tabulation of length of experience vs. level of education was most predictive of employee compensation. For example, the compensation of R&D professionals grouped by degree (limited to those with little or no supervisory responsibility and excluding minimal experience) was:

Length of Experience	Doctorate	Master's
30 years or more	$103,430	$81,420
25 - 29 years	$96,660	$68,340
20 - 24 years	$88,000	$84,600
15 - 19 years	$85,440	$73,548
10 - 14 years	$83,830	$70,950
5 - 9 years	$62,400	$60,298

Function

The income of R&D practitioners varied significantly by functional area:

Research & Development	$100,000
Development	$93,633
Pure Research	$87,994
Applied Research	$75,466

Discipline

Income varied widely by discipline. The five highest-paid disciplines were:

Computer Science	$330,000*
Physics (excl. Biophysics)	$118,673
Food Science	$104,350
Mechanical Engineering	$104,148
Chemistry	$99,528

* Small sample, with one-half of the cases being from Directors.

The five lowest-paid disciplines were:

Bacteriology	$55,000
Biology (excluding Genetics)	$79,019
Biotechnology	$81,025
Business/Economics	$85,000
Metallurgical Engineering	$87,152

The remaining disciplines studied, ranked from highest to lowest median incomes, were Pharmacology, Materials Engineering, Engineering Technology, Chemical Engineering, Electrical/Electronics Engineering, and Behavioral Science.

These disciplines had median incomes ranging from $99,000 to $94,800.

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Order the 702-page survey report, Compensation in Research & Development, 20th Edition - 2006, described on this page for $1,250, with charges for shipping & handling. The report is IN STOCK and can be shipped out within two business days. The mean, median, 1st and 3rd quartile, and 1st and 9th decile data for base salary, bonus/commission/profit sharing, and total annual cash compensation are reported for many demographic variables, including education, experience, geographic location, type and size of employer, etc. To purchase the report, use our On-Line Order Form, call (877) 210-6563, , fax, or write per the information at the bottom of this page.

Following are the 104 organizations that supplied current compensation and demographic information for the survey report.

• Aerotek
• Air-Way Manufacturing Company
• Alkar Engineering Co., Technical Education
• Amber Networks, Inc.
• Amber Wave Systems
• Ann Pogue & Associates, Inc.
• Arctic Foundations, Inc.
• Ariston Pharmaceuticals, Inc.
• Asian Pacific Materials
• August Schell Brewing Company
• AVIVA Biosciences Corporation
• B. J. Morley & Associates, Inc.
• Bayer Pharmaceuticals Corporation, Department of Diabetes Research
• Baylor Health Care System
• Campaign Finance Institute
• Cardio Mag Imaging, Inc.
• CHS Business Associates
• Compro Consulting
• Concept Engineering Group, Inc.
• Corgenix Medical, Inc.
• County of San Bernardino, California, Department of Behavioral Health
• Creative Development Products
• CSC
• Dependable Chemical Company, Inc.
• DIAB, Inc.
• Dickten & Masch, LLC
• Driwater, Inc.
• Elmer's Products, Inc., Bienfang Products
• Eneco, Inc.
• Enerdyne Thermal Solutions, Inc.
• FEI Company, Beam Technology Division
• FermaLogic, Inc.
• Foster Farms
• Fractionation Research, Inc.
• H. H. Newman Electronics
• Harman Becker, Automotive Division
• Harper/Love Adhesives Corporation
• Henningsen Foods, Inc.
• Hinds Instruments, Inc.
• Hydroacoustics, Inc.
• Intelligent Motion Systems, Motor Products div.
• Islet Technology, Inc.
• J & S Resource Management, Inc.
• J. V. Marsh Consultant
• James Samuel McKnight, Ph.D.
• Kingelin and Associates, Inc.
• Konec, Inc.
• Marianna Industries
• Masonic Medical Research Laboratory
• Mei Wu Acoustics
• Mesoscopic Devices, LLC
• Metek Services
• Millar Instruments, Inc.
• Montfort A. Johnsen & Associates, Ltd.
• Nease Corporation
• Neomatrix, LLC
• Nitta Casings, Inc.
• Oil-Dri Corporation of America
• Paper Pak Industries
• PES Network, Inc.
• Piedmont Pharmaceuticals, LLC
• Planet Biotechnology Inc.
• Press Ganey Associates, Inc.
• Pressure Chemical Company
• Proedge, Inc.
• Quantum Technology
• R. L. Schreiber, Inc.
• Ramsey Popcorn Company
• Revenyouniverse
• RPTA - Recycled Paperboard Technical Assn.
• RSR Technologies, Inc.
• Sauereisen, Inc.
• Science Applications & Research Associates
• Science Ops
• Seventh Generation, Inc.
• Shared Systems, Inc.
• Southern California Institute for Research & Education
• Southwest Sciences, Inc.
• Soy Link
• Specialty Papers & Films, Inc.
• Spendlove Research Foundation
• Stark Manufacturing, LLC
• State of Montana, Bureau of Mines and Geology, Montana Tech of the University of Montana
• Summa Health System
• Sun BioMedical Technologies, Inc.
• Sunbelt Lubricants
• Tara Materials, Inc.
• Tennessee Valley Authority, RSOE
• Texas Heart Institute at St. Luke's Episcopal Health System
• Trelleborg Sealing Solutions
• Triumph Pharmaceuticals
• U.S. Air Force Research Laboratory, AFRL/DETP
• U.S. Department of Defense, Office of Human Resources Strategies
• University of Dayton Research Institute
• University of Massachusetts, Genomics & Bioinformatics Facility
• University of Mississippi, Hospital & Clinics
• University of Texas, Medical Branch at Galveston
• University of Wyoming Research Corporation, Western Research Institute
• Valtech Corporation
• Victaulic Company of America
• Vista Dental Products/Inter Med
• Welles Manufacturing