- Pay & salary
- How Much Do Industrial Psychologists Make? (With Duties)
By Indeed Editorial Team
Updated September 7, 2022 | Published February 25, 2020
Updated September 7, 2022
Published February 25, 2020
The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.
If you're researching careers in the field of psychology, you may want to learn more about becoming an industrial-organizational psychologist. These professionals, also known as I/O or industrial psychologists, work with businesses to help them implement internal structures that support the health, well-being and productivity of their employees. Learning about industrial psychologists and their average earnings can help you decide if this is the right career for you.
In this article, we explain what industrial psychologists do, provide information about how much industrial psychologists make on average and outline the requirements for becoming one.
What is an industrial psychologist?
Industrial psychologists apply their knowledge of human psychology to improve workplaces. The work that an industrial psychologist does is a blend of business strategy and understanding human behavior. This includes consulting with business leaders and human resources professionals to evaluate their current strategies for managing their employees and recommending improvements. Often, the goal of an industrial psychologist is to make the workplace a happier, healthier environment for employees while promoting productivity. Here are some of the daily duties that industrial psychologists perform:
Applying statistical methods to company data to aid in decision-making
Developing performance evaluations that drive improvement
Interviewing workers to gain greater insight into the dynamics of the workplace
Participating in hiring decisions by helping to assess a candidate's fit for the work environment
Developing training methodologies using their knowledge of how people learn
Advising management on how changes in policies and procedures may impact the workforce
Related: Industrial and Organizational Psychology: Definition and How It Works
What are the responsibilities of industrial psychologists?
The responsibilities of an industrial psychologist vary significantly by position and industry. In general, these professionals can provide useful insight into any discussion of how people interact with their jobs. Here are a few of the tools that an industrial psychologist uses to participate in decision-making and management:
Employee surveys on benefits, work schedules, production flow and more
Focus groups to give feedback on advertising, packaging and other product placement
Skills assessments to match employees to the tasks they are best suited for
Performance appraisals to encourage positive behavior and to help employees set goals for themselves
Online surveys, sometimes anonymous, to encourage honest responses from employees and customers
Industrial psychologists often create reports based on their findings, then present them to company executives. They can make suggestions to improve employee engagement and productivity and create a healthy working environment.
Related: Industrial-Organizational Psychology vs. Human Resources Management
Salary of industrial psychologists
While there isn't any salary data available for industrial psychologists specifically, the average salary for psychologists, in general, is $120,191 per year. Since industrial psychologists work in an area of specialty, they may earn a higher average salary than general practitioners in psychology. Additionally, the salary for industrial psychologists may vary based on their geographic location, setting of employment, level of education, years of experience and area of specialty. For example, an industrial psychologist who works as an independent business consultant for major corporations may make a comparatively high average salary.
For the most up-to-date salary information from Indeed, click on the link provided.
Related: 20 High-Paying Psychology Jobs
Top industrial psychologist salaries by state
The base salary and benefits for an industrial psychologist vary based on geography, required experience and education, the size and type of company and the duties of the position. Major metropolitan areas where corporate offices are located may offer higher salaries than smaller cities and rural areas.
Here's the average salary for psychologists in each state. For the most up-to-date salary information from Indeed, visit indeed.com/salaries.
Alabama: $114,353 per year
Alaska: $121,917 per year
Arizona: $120,264 per year
Arkansas: $111,802 per year
California: $130,259 per year
Colorado: $124,888 per year
Connecticut: $124,951 per year
Delaware: $118,572 per year
Florida: $115,591 per year
Georgia: $118,225 per year
Hawaii: $117,795 per year
Idaho: $110,880 per year
Illinois: $122,952 per year
Indiana: $114,159 per year
Iowa: $115,618 per year
Kansas: $113,152 per year
Kentucky: $111,779 per year
Louisiana: $113,924 per year
Maine: $116,071 per year
Maryland: $125,177 per year
Massachusetts: $129,150 per year
Michigan: $117,052 per year
Minnesota: $121,437 per year
Mississippi: $109,002 per year
Missouri: $118,719 per year
Montana: $110,599 per year
Nebraska: $114,640 per year
Nevada: $118,575 per year
New Hampshire: $116,599 per year
New Jersey: $125,770 per year
New Mexico: $116,015 per year
New York: $128,658 per year
North Carolina: $117,577 per year
North Dakota: $116,126 per year
Ohio:$115,890 per year
Oklahoma: $111,671 per year
Oregon: $121,548 per year
Pennsylvania: $119,261 per year
Rhode Island: $119,588 per year
South Carolina: $114,211 per year
South Dakota: $112,459 per year
Tennessee: $115,436 per year
Texas: $120,069 per year
Utah: $115,476 per year
Vermont: $114,254 per year
Virginia: $123,544 per year
Washington: $127,515 per year
West Virginia: $111,482 per year
Wisconsin: $116,360 per year
Wyoming: $113,700 per year
Related: Base Salary and Your Benefits Package
Industrial psychologist requirements
Becoming an industrial psychologist involves completing extensive education and training.
Here are some of the requirements
to become an industrial psychologist:
Education
The minimum education needed to be an industrial psychologist is a master's degree. With a master's, an industrial psychologist can provide consulting services to a company, but they can't practice as clinicians. To offer clinical services, industrial psychologists need to earn a doctoral degree. Earning a doctorate degree equips industrial psychologists with the skills they need to use diagnostic tools to assess the mental health of their clients. If you prefer to work in a consultancy role, you likely only need a master's to become an industrial psychologist.
Coursework for master's and doctoral programs typically involves data analysis, consumer psychology, labor relations, and employee psychology. Doctoral programs include a clinical training portion in which students earn practical experience in a corporate setting. Additionally, doctoral programs may emphasize research and train students in the skills they need to become independent researchers.
Related: How To Become an Industrial Psychologist Step By Step
Training
Industrial psychologists receive training throughout school, then get additional on-the-job training once they begin working. To provide clinical services, industrial psychologists need to undergo extensive training throughout their schooling. They also complete ongoing education to maintain any credentials they have. This education could involve attending seminars or taking additional classes.
On-the-job training may include learning about organizational goals, the workplace atmosphere and other aspects specific to the company. This training helps an industrial psychologist create a more focused work agenda to improve the organization. You may also participate in opportunities like internships before starting your career as an industrial psychologist. Completing an internship during your degree program is a great way to gain relevant skills while developing your professional network.
Related: 10 Ways To Get the Most From Your Internship
Certifications
To practice clinical psychology, individuals need a license. They can apply for a license once they complete a doctoral program and complete a certain amount of clinical training. Each state has different licensing requirements industrial psychologists need to meet before applying, which might include passing a background check or comprehensive exam.
Industrial psychologists don't need a license if they don't plan to offer clinical services, though certification is possible. The American Board of Professional Psychology (ABPP) offers a certification that industrial psychologists can earn to demonstrate their knowledge and dedication to the subject. To become a board-certified industrial psychologist, individuals need to pass an exam and renew the credential based on the ABPP's current guidelines.
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