87% Indian Companies Will Hike Salaries By 7.3% In 2021; Salary Hike Will Be Higher Than 2020
Here’s a great news for Indian employees – you can expect your monthly paycheck to get bigger and fatter by next year as compared to this year as revealed by a survey.
The survey has also said that companies are expecting higher consumer demand.
Read on to find out all the details!
Higher Appraisal For Indian Employees In 2021
This survey is a report published in the global human resource consultancy, Aon, and has predicted better pay hikes in the new year as compared to this year. The report states that companies from the e-commerce, energy, financial institutions, and pharmaceutical sectors will be boosting their compensation by an average of 7.3% in 2021, which was 6.1% this year. This year has been the lowest since 2009, as per Aon’s survey.
The survey has been conducted in 1,000 companies across over 20 industries and has also stated that 87% of companies are planning to boost their employees’ pays, which was only 71% in 2020.
Nitin Sethi, a partner at Aon, and CEO of the firm’s Performance and Rewards Solutions practice in India has said, “Despite the gravity of the COVID-19 pandemic in India and its deep impact on the economy, organizations in India have shown tremendous resilience and a mature view on talent.”
Which Sectors Will Get Higher Salaries?
He also said that business leaders and HRs who had to make some tough decisions in the second and third quarters of 2020 are now banking on improving consumer demand. The need to invest in talent is an important part of the recovery and growth of these companies.
The survey credits the boost in wages to the increased spending on the government’s part and heavy rains that have managed to compensate for the economic losses brought on by the pandemic.
Companies that are from technology, life sciences, e-commerce, chemicals, and professional services are likely to provide highest salaries. Whereas the companies that are the most affected by the pandemic, i,e., hospitality, retail, and real estate will also be offering a raise, but will still lag behind other sectors.