It's May, and by now, most job performance reviews are complete and workers across the country who were lucky enough to get an annual pay increase are beginning to see a bit more in their weekly paychecks. For industrial distribution professionals, that raise is a solid 9 percent, following a 10 percent increase last year. Including bonuses and commissions, industrial distribution professionals earned an average $82,556 in 2004.

Those are just some of the statistics revealed in Industrial Distribution's most recent Compensation Study, conducted in February. The study polled more than 500 ID subscribers nationwide about their earnings in 2004 and their expected earnings this year; roughly half of respondents had sales titles and the other half had management titles. The results of the survey were tabulated by Research Results, an independent research firm.

ID's figures are well above national averages for U.S. workers, but in line with other industry reports. For instance, U.S. workers earned an average $36,920 in 2003, according to the U.S. Department of Labor's Bureau of Labor Statistics' National Compensation Survey. (2003 is the most recent data available in the BLS study). White collar workers across the country earned a bit more, according to BLS—an average $45,448 in 2003.

On the other hand, Profit Planning Group's Cross-Industry Compensation Report reveals figures more closely aligned with the ID study. PPG releases its report every two years, and examines pay levels and compensation trends in the industrial distribution business. PPG's 2003 data, the most recent available, showed that distribution managers earned between $63,435 (branch manager) and $145,000 (CEOs) in total compensation in 2003. On the sales side, the PPG report showed a range of $35,000 per year for a typical inside salesperson to $67,000 per year for a senior sales consultant. When broken down, ID's numbers are similar—branch managers earned a median $60,000 per year, while CEOs/presidents earned $120,000; inside salespeople earned a median $38,000, while outside salespeople earned $65,000 per year.

Comparisons aside, ID's survey is about more than just numbers. We also asked readers about how their jobs are changing, what benefits they receive, and how satisfied they are with their jobs. We found that the distribution professional's role continues to evolve, that benefits are a vital part of their overall compensation package, and that most are satisfied with their employment situation.

Results of the ID survey show that industrial distributors are satisfied in their career paths. Most respondents have been in the industry an average of 19 years, employed in their company 11.5 years, and in their present job for eight years. Respondents have also been known to move around in the industry. On average, they've worked for four companies. What's more, the results showed that the typical industrial distribution professional is 47 years old and male. Forty-four percent have an undergraduate degree, only 11 percent have an MBA or other graduate degree, and just 4 percent have a degree in industrial distribution.

Again, the average yearly compensation for respondents is $82,556, which includes bonuses and commission. One quarter of the respondents report earning six figures. Over the past year, respondents say they received an average 10 percent pay increase, and they expect to earn a 9 percent raise in 2005. Twenty percent say their pay is tied to certain performance measures.

Not surprisingly, the respondents say they wear many hats at work. Eighty-two percent say the number of functions they are performing today has increased over the past few years. Also, technology plays a major role in their jobs. Forty percent say knowledge of information technology is an essential part of their job performance. In addition, respondents say they work 51 hours a week, on average.

When broken out by job title, the annual compensation figures look like this: CEOs/presidents earn a median $120,000 per year; sales managers earn $88,000 per year; branch managers earn $60,000 per year; outside salespeople earn $65,000 per year; and the median compensation for inside salespeople is $38,000, all according to the ID study.

As a comparison, the Profit Planning Group's total compensation figures by job title stack up this way: CEOs/presidents earn an average $145,000 per year; sales managers earn an average $77,359 per year; branch managers earn an average $63,435; typical outside salespeople earn an average $50,551 ('senior sales consultants,' however, earn an average $66,941); and the average compensation for a typical inside salesperson is $35,269.

As a further comparison, PPG ran the numbers for the Industrial Supply Assn., an industry trade group that represents a variety of MRO distributors. For ISA, the figures look like this: CEOs/presidents earn an average $120,000 per year; sales managers earn $69,688; branch managers earn $66,917; typical outside salespeople earn $50,011 ('senior sales consultants' earn $66,747); and the average compensation for a typical inside salesperson is $36,381.

The ID survey also takes a look at which regions of the country pay the best. We broke out pay levels according to the following regions: New England, Mid-Atlantic, South Atlantic, East North Central (Ohio, Indiana, Illinois, Michigan and Wisconsin), West North Central (Minnesota, Iowa, Missouri, North Dakota, South Dakota, Nebraska and Kansas), East South Central (Kentucky, Tennessee, Alabama and Mississippi), West South Central (Arkansas, Louisiana, Oklahoma and Texas), Mountain states, and the Pacific states.

The breakout goes like this: distribution workers in the Pacific region earn the most, a median $87,500 per year; those in the East South Central region are next, at $85,000 per year; those in the Mountain States earn $82,661; New England workers are next, at $78,000 per year; West South Central follows at $76,500 per year; then comes the Mid-Atlantic, at $72,000; East North Central, $70,000; West North Central, $68,000; and lastly, the South Atlantic region, at $65,000 per year.

In addition to health and dental insurance, most respondents report receiving a range of benefits from their companies. Those benefits include: pension plan/401K (75 percent); flexible working hours (51 percent); the ability to work at home (41 percent); training (38 percent); profit sharing (40 percent); company car (43 percent); tuition reimbursement (30 percent); a stock purchase plan (17 percent); stock options (13 percent); and pay for unused vacation time (10 percent).

When asked which benefits are most important, besides health and dental insurance, pension/401K rose to the top, with 59 percent reporting so. Flexible working hours ranked second in importance (43 percent), and having a company car was mentioned by 35 percent of the respondents as a key benefit.

Overall, respondents to Industrial Distribution's Annual Compensation Survey are satisfied with their careers. Almost 90 percent said they were either very satisfied or somewhat satisfied with their jobs. The top three factors impacting that satisfaction level are: a feeling of accomplishment (53 percent); salary (32 percent); and their company's financial health (26 percent).

In addition, more than three-quarters of the respondents said they would recommend the industrial distribution field to a person graduating from college or to someone changing careers. Fewer than half could cite a specific reason to leave their job. However, roughly one-third of respondents say they would leave for a higher paying job elsewhere.

Along those lines, ID asked readers about their job concerns. Specifically, the survey asked about job security, mergers and acquisitions, keeping current on technology, management support, operating budgets, and outsourcing. Fewer than a quarter of respondents cited a specific concern. Among those that did, however, job security ranked first, at 22 percent. Twenty-one percent said they are concerned about management support in their companies, 16 percent said they are concerned about mergers and acquisitions in the industry, and another 16 percent said that keeping current on technology is a prime job concern.

When looked at by job title, those concerns change slightly. Most CEOs and presidents are concerned about having a sufficient operating budget (24 percent); sales managers say they are most concerned about mergers and acquisitions having an effect on their company (24 percent); branch managers are most concerned about receiving management support (30 percent); outside salespeople are most concerned about management support (29 percent) and job security (28 percent); and inside salespeople say they are most concerned about job security (48 percent).

Despite those concerns, the vast majority of those individuals also would recommend the distribution profession to interested candidates—further evidence of job satisfaction in the industry. Eighty-five percent of CEOs/presidents say they'd recommend a career in industrial distribution, as did 80 percent of sales managers, 81 percent of branch managers, 60 percent of outside salespeople, and 81 percent of inside salespeople.