The market for positions in HR, learning and development, and recruitment have remained buoyant, according to a new report.

The 2007 Hudson Human Resources Salary Survey shows that salaries in L&D can vary from £18,000 for an officer post based in the north, to £95,000 for heading a division in London.

And the north-south salary divide can be dramatic, while a head of L&D in the professional services sector might expect a salary of £45,000 - £65,000 in the north, a similar post in London would pay £20,000 - £25,000 a year more. The public sector, however, showed greater similarity in pay regardless of geography.

But while salaries have risen at all levels across the 14 industry sectors covered by the survey, the rate of increase has not been dramatic during the last 12 months with employers offering other benefits to attract talent.

Health benefits are said to have become a crucial differentiator between firms vying to close critical skills gaps. More than three quarters (77%) of employers now offer private medical insurance and two thirds (66%) are offering Enhanced Occupational Sick Pay. Life Assurance is set to become ubiquitous, with 85% of firms now offering it to their staff. Employers are now looking for new ways to differentiate themselves to HR candidates. More than half (52%) are now offering an Employee Assistance Programme, with many companies covering all or part of the cost of counselling, referrals, and advice in dealing with stress or personal issues.

Mark Carriban, UK director of Hudson's HR recruitment practice, said: “Although we have seen an increase in salary levels for HR professionals during the last 12 months, our survey confirms that bonuses and benefits are becoming more critical as differentiators. Health benefits in particular represent a competitive new front in the war for talent. This has been reflected at all levels and, looking ahead to 2008, we anticipate them continuing to play a key part in how HR professionals are recruited and retained.”

The challenge of retaining top performers has seen some organisations within the private sector use golden handcuffs as a means of securing loyalty. Sixteen per cent of those surveyed include stock options as part of their benefits package for high-level hires. Meanwhile 28% of companies are opening this benefit up to other employees by offering them the option of buying into the success of their company with Share Purchase Plans.

The survey spanned 14 key employment sectors providing permanent salary bands and/or rates for temporary and contract staff.