Life Science Consulting Salaries Amid Inflation and Market Pressure

The current economic climate has created significant uncertainty for businesses and employees alike. Global inflation, rising labour market pressures, and heightened market demands are forcing organisations to reassess salaries to remain competitive. Globally, 96% of organisations have increased employee pay—far surpassing the 63% increase seen in 2020—and in many cases exceeding original budget projections.

Across the EU and US, tightening labour markets are intensifying the pressure. In the UK, unemployment has fallen to 3.7%—the lowest level since 1974—while vacancies have surged to almost 1.3 million, meaning there are now more available roles than people actively seeking work. Similarly, in the US, inflation has risen to 8.3% in the 12 months to August, while annual salaries have increased by just 4.8%. In the UK, regular pay grew at 5.4% in June–August, the strongest increase outside of the pandemic period; yet, with inflation at 9.9%, real wages have actually fallen by 2.8%.

The net effect: rising salaries are struggling to keep pace with the cost of living, making employee retention just as critical as recruitment. Candidates are increasingly capitalising on opportunities to optimise their income, whether through negotiating with their current employer or seeking new positions.

How Salaries Are Shifting in Practice: Real-Life Scenarios

To illustrate the impact of economic pressures on life science consulting salaries, consider two boutique consultancies we work with:

Client Y – Previously in line with market value (2020/21):

• Associate Consultant: +7%
• Senior Associate Consultant: +6%
• Consultant: +4%
• Senior Consultant: No change
• Manager: +3%
• Principal / Senior Manager / Partner: No change

Client X – Previously below market value (2020/21):

• Associate Consultant: +19%
• Consultant: +26%
• Manager: +31%
• Senior Manager: +35%
• Principal: +19%
• Managing Director: No change

The comparison shows that organisations previously underpaying had to make substantial adjustments across multiple levels to remain competitive, particularly for mid- to senior-level roles.

Experienced vs. Graduate Hires

Experienced Hires

The demand for senior profiles, such as Managers and Engagement Managers, has grown significantly in the past year. Consultancies are offering competitive salaries not only to attract talent but also to retain high-performing staff in a market where candidates are increasingly mobile.

Graduate Hires

Attracting early talent remains equally critical. Salary increases at the entry level—particularly Associate Consultant roles—reflect the competitive market and the need to entice high-potential candidates. Beyond pay, graduates are motivated by structured career paths, faster promotion cycles, broader project exposure, and comprehensive training programs.

Building a Competitive EVP

In today’s dynamic market, consultancies must actively manage their EVP to attract and retain the right talent. Creating an effective EVP begins with understanding how your compensation, benefits, and career development opportunities compare to competitors.

How KRS supports consultancies:

• Competitive Benchmarking Surveys: Tailored market insights allow organisations to evaluate alignment with current market standards, identify performance gaps, and monitor progress.
• Early Talent Campus Recruitment: Acting as an extension of internal teams, we help increase candidate flow, improve quality, manage communications, and oversee end-to-end candidate processes, including interviews, offer negotiation, and contract signing.

Key Takeaways

Rising inflation, a tightening labour market, and heightened employee mobility are reshaping salaries in life science consulting. Organisations must now proactively assess compensation and benefits to remain competitive, while also investing in career development and early talent strategies to attract and retain top performers. By understanding market trends and implementing a robust EVP, consultancies can navigate economic uncertainty, secure critical talent, and maintain a competitive edge.