In a recent update the employees of multinational companies in India are receiving flat or slightly lower hikes in their salaries for 2025.
How Did This Happen?
This is said to be caused by the global economic uncertainty which is taking a toll on these firms, citing a Deloitte survey data as per the media report on January 11.
Coming to the average hike which is rolled out is in the range of 8.8 percent across these firms was around 9 percent during the previous year as per the media report.
Global Capability Centres run by these firms are handing out the biggest increments, the report said.
The hikes given by GCCs, at 9.1 percent, are still lower than last, said the media report.
The salary projection has disappointed the employees as it is around a percent less for FY25 compared to the last year for most of the 100 companies surveyed, as per the report.
Warning By Market Experts
Earlier, at the start of this month, IT major HCLTech rolled out partial wage hikes for junior employees for the October to December period.
It was alarming that so many got increments between 1 and 2 percent.
It appears that HCLTech’s wage hike delays align with a broader trend in India’s IT sector as many companies, including Infosys, have deferred or reduced salary revisions due to global economic uncertainties.
In the meantime, the young professionals should cut down on unnecessary spending and prioritise investments for long-term financial stability, advised by the Market expert Vivek Singhal.
It holds a significance as this advice comes against the backdrop of reports indicating modest salary increments in HCLTech, India’s third-largest IT services company.
“3-4% salary hike to top performers. Don’t be too late; stop spending on unnecessary things, start investing; build up a decent size of portfolio over next 10 years. Remember, there is no salary after retirement,” said Singhal on Monday in a X post.
It appears that the HCLTech began rolling out wage hikes for its junior-level employees recently.
The company has offered increments of 1-2 per cent to most employees, while top performers received hikes of 3-4 per cent, during the October-December quarter.
The event has attracted attention considering the fall in figures significantly short of the company’s earlier commitment to provide average annual pay hikes of 7 per cent and double-digit raises of 12-15 percent for top performers.
