Employee’s in India will have their pay increased to 9.8% in 2024. This is comparable to the 10% real compensation growth in 2023. The tight labour markets and rising inflation play a huge role for the salary hike.
One of the most important conclusions from WTW’s wage Budget Planning Report, which examines wage movement and HR procedures in an effort to assist organisations with compensation planning, is this one. The results also revealed that, in contrast to 2022, over half of the businesses polled boosted their budgets for wage increases this year, and 25% of them did so as a result of earlier forecasts from late 2022.
Additionally, in contrast to 42% in 2022, more than one-third (36%) of Indian companies anticipate having a good company revenue forecast for the upcoming year. Approximately 60% of businesses increased their staff in 2023 compared to the previous year. Furthermore, nearly three out of ten plan to hire employees in the next twelve months.
Jobs in information technology (61%), engineering (59.8%), sales (42.9%), technical skills trade (38.6%), finance (11.8%), marketing (10.6%), and human resources (3.1%) are expected to be in high demand in the next year. In 2024, the highest income growth is projected in technology, media and gaming, finance, and retail. According to WTW, India’s voluntary attrition rate fell from 15.3% in 2022 to 14.65% in 2023, despite being among the highest in the Asia-Pacific region.
Work and Rewards Consulting Leader Rajul Mathur of WTW India stated, “Enterprises in all sectors are still keenly observing their cost structures. Mid-sized businesses, product and platform companies, and the GCCs of financial services corporations are anticipated to keep hiring even with the downturn in IT recruiting.
