Median total cash compensation 2000–2009

Summary

The core design positions—senior designer, designer, entry-level designer—held constant in compensation. All other positions saw declines in median salaries except for web designers and developers, who saw modest increases. Those results would seem disappointing, except that we all know that the broader, global economy has changed dramatically since the third quarter of 2008.

As a point of comparison, the urban consumer price index of the Bureau of Labor Statistics (CPI-U) increased just 0.1 percent from December 2007 until December 2008. The lack of variation would indicate that designers are maintaining relatively the same standard of living, at least statistically.

In terms of the state of the design economy, we know that advertising agencies and in-house design departments are reducing their design staffs. Many studios, however, report that they are very busy, working hard on projects on which clients are asking for more work for tighter fees. Those studios may be benefiting from the need for corporations to outsource design services following cuts in their own in-house design staffs. Even busy studios are worried about the short-term outlook.

Design Leaders Confidence Index

Each quarter, AIGA surveys design leaders to assess their level of confidence in the design economy and the general economy. This index mirrors the Conference Board index of corporate CEOs’ assessment. The intention is to give designers who are experiencing either an upturn or downturn in their own business a sense of what their colleagues nationally are experiencing.

At the beginning of 2009, AIGA’s Design Leaders Confidence Index revealed overwhelmingly strong concern that the national economy would falter in the next six months. The overall confidence index—declining to 54.55 from the previous January’s 70.02—documents the anticipation of a severe drop in overall business activity. However, there is some optimism on the horizon: according to 30 percent, the design economy will be moderately better by July. Another 35 percent feel it will be the same, and the remaining 35 percent feel it will be worse. For more information, see www.aiga.org/confidence-index.

Helping designers

Because designers are problem solvers by nature, we know that our profession has the stamina and flexibility to thrive in a range of conditions. However, to help each of us to remain competitive, we have asked a number of prominent designers to share their advice in this report based on experience. We hope their words will offer guidance to designers at all stages of their careers.

Design is essential to success in all sectors—in business and government, health and education—as the U.S. economy shifts toward a knowledge-based economy, where information design and communication design create substantial value. We are confident that the demand for design services will increase rapidly with economic recovery. While there is concern about business in the short to midterm, AIGA believes it is important that designers use this time constructively to train and learn, both within design disciplines and across broader social issues. To help in this endeavor, AIGA has increased access to training opportunities through member discounts. Learn more at www.aiga.org/benefits.

Valuing design

The convergence of economic challenges and social networking raises an issue that relates to both the design economy and compensation. The debate over speculative work has become louder and more divisive in recent months, and it will continue to do so in an environment where there is greater competition for jobs. AIGA’s position is clear, and we are committed to educating the public about the value of professional design and the importance of investing in it. Join the discussion at www.aiga.org/position-spec-work.

While this report focuses on monetary rewards, almost every designer is driven as much by a passion for design. We know that salary levels may not reflect what each designer’s contribution is worth; they reflect what the economy supports.

And we know that in addition to salary levels, many designers are also deeply committed to social issues, cultural factors, the opportunity to learn and the desire to work on projects that make a real difference. The opportunity to fulfill all of these aspirations will also influence designers’ choice of employment. More important, these aspirations are what assure us that designers will have an ever more influential role in transforming our society.