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This is the average salary hike expected in India in 2022

IANS
Updated: September 8th, 2021, 07:45 IST
in Business
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Mumbai: Indian companies are likely increase salaries by 9.4 per cent, on an average, in 2022, according to an Aon survey.

The survey found that Indian companies increased salaries by 8.8 per cent on average in 2021.

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“The 2022 projection of an average 9.4 per cent salary increase is a sign of strong economic recovery and improved consumer sentiment,” an Aon statement said.

Nitin Sethi, partner and CEO of Aon’s performance and rewards businesses in India, said: “While 2021 is a year where certain sectors remain under stress due to the Covid-19 pandemic, most businesses have an optimistic view going into 2022 and are projecting higher salary increases.”

“We see positive sentiment across most sectors, high investor confidence with sustained foreign direct investment flowing into the country and growing consumer demand across most segments,” he said.

High double-digit attrition is the strongest witnessed in more than a decade. The war for talent is back in India, which is likely keep salary increases high.

The top three sectors with the highest salary increase projected for 2022 for India are technology, ecommerce, and IT-enabled services.

The sectors with the lowest salary increase projected for 2022 are hospitality, engineering services, and energy.

Roopank Chaudhary, partner in Aon’s human capital business, said: “Despite another wave of Covid-19 hitting the nation hard, Indian organisations have displayed resilience in riding through the tough times.”

While pandemic risk in India continues, the business sentiment and salary projections for 2022 shows that employers are building for growth and are much better prepared than in 2020, Chaudhary added.

IANS 

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