Cyber security, cloud, data and AI skills are in the spotlight, specialist contractors are back in demand and flexibility continues to matter to technology professionals. So, what else is shaping Australia’s tech talent market? Here are six key takeaways from Peoplebank’s latest Salary Guide.

There are some encouraging signs across Australia’s technology employment market. After a more cautious period for hiring, organisations are continuing to invest in digital transformation, cyber security, cloud modernisation and data-led initiatives. But hiring is becoming more focused than ever before. Rather than simply adding headcount, we're seeing a trend where businesses are looking for experienced people with the right skills to help deliver critical projects and transformation programs.

Peoplebank’s latest Salary Guide brings together salary and contract-rate benchmarks with insights into Australia’s technology talent market, based on recent IT and digital job offers and employment activity across our locations.

So, what are we seeing in the market?

1. Specialist technology skills are in demand

Software Engineers, IT Consultants, Senior Software Engineers and Business Analysts are among the most in-demand technology professionals nationally. We’re also seeing growing demand across cyber security, cloud, architecture and data as organisations focus on resilience, modernisation and getting AI-ready.

In other words, it’s increasingly about having the right capability, not simply more people.

Business Analytics, SQL, Solution Architecture, Cloud Computing and ITIL Implementation are also among the most common IT skills within Australia’s technology talent pool.

2. Cyber security skills are growing quickly

Cyber security continues to be one of the standout areas for skills growth.

Year-on-year LinkedIn Talent Insights data included in the guide shows IT Security Operations up around 24%, Threat & Vulnerability Management up 22%, and Security Information & Event Management up 20%. Data Architecture also grew by 17%.

That demand is reflected in salaries too. CISO salaries can reach $350,000+ in major markets, while Security Architects commonly earn $200,000 to $240,000+.

For employers, there’s a simple takeaway: start planning for specialist cyber capability early. Leaving recruitment until a critical project is ready to go could mean competing for talent when demand is already high.

3. Data and cloud remain at the heart of transformation

Data capability continues to attract strong salaries. Typical Data Architect salaries sit around $180,000 to $220,000, while senior Data Scientists can earn between $175,000 and $240,000.

It’s a similar picture for cloud. Cloud Architects regularly command salaries around $190,000 to $225,000, while DevOps Engineers continue to attract strong permanent and contract demand.

With AI, automation and digital transformation high on the agenda, the skills that underpin these technologies remain incredibly valuable.

4. Flexibility matters, a lot

Here’s one finding that isn’t really about salary at all.

Flexible work arrangements are the number-one factor technology professionals consider when looking at career opportunities, ranking ahead of compensation and benefits.

Challenging and meaningful work, opportunities to learn new skills, job security and career growth also matter.

So while competitive salaries are important, particularly for hard-to-find technical skills, remuneration isn’t the whole story. Employers that can offer flexibility, development opportunities, meaningful work and a healthy work-life balance may have a stronger proposition when competing for talent.

5. Contractors are helping organisations stay flexible

Contractor engagement has grown strongly over the previous six months, with organisations using a mix of permanent employees and specialist contractors to accelerate delivery, manage costs and respond to changing priorities.

At the specialist end of the market, senior professionals across cyber security, architecture, program delivery and ERP can command contract rates of more than $1,200 to $1,600 per day.

The bigger takeaway? Not every capability gap needs to be filled in the same way. Permanent employees, specialist contractors and emerging talent can all have a role to play, depending on what the business needs to achieve.

6. Hiring is becoming more about capability than filling roles

One of the biggest themes coming through the guide is a shift towards more strategic workforce planning.

Organisations are looking for people who can bring together technical expertise, commercial thinking and adaptability. Agile Coaches, Program Managers, Change Managers and Enterprise Architects are also continuing to attract premium remuneration as businesses focus on transformation outcomes.

For employers, this is a good opportunity to step back from individual vacancies and look at the bigger picture: what capabilities will you actually need to deliver your technology roadmap?

Skills-based hiring can help open up broader talent pools, while combining permanent talent, specialist contractors and emerging talent pathways can give organisations more flexibility as priorities change.

So, what does this mean heading into 2027?

If you’re starting to plan technology investment and workforce budgets for 2027, there are a few things worth keeping in mind.

Start early when hiring for hard-to-find skills across cyber security, cloud, data, AI and digital transformation. Keep salary and contract-rate benchmarks up to date, but remember that pay is only one part of what attracts great people. And think about the mix of permanent and contingent talent that makes the most sense for what you’re trying to deliver.

For technology professionals, there’s a clear opportunity too. Specialist expertise across security, cloud, data and architecture continues to grow in importance, alongside the ability to connect technical knowledge with broader business and transformation outcomes.

Plan your next move with better market intelligence

Whether you’re putting together your 2027 workforce plan, benchmarking salaries and contract rates, or thinking about your next career move, the Peoplebank Salary Guide provides salary benchmarks and market insights across NSW, ACT, Victoria, Queensland, Western Australia and South Australia.

Download the Peoplebank Salary Guide and explore the latest salary, hiring and skills insights across Australia’s technology market.