This Year, In India, On Average 7.3 Percent Salary May Increase, 92 Percent Companies Said To Increase Salary
Friyana Munshi
New Delhi, February 18, 2021: Companies may increase salaries by an average of 7.3 percent this year due to faster-than-expected improvement in business activity after the epidemic and increased consumer confidence. A 2021 Phase I survey conducted by Deloitte Touche Tohmatsu India LLP for workforce and wage growth trends found that the average increase in salaries this year will be higher than 4.4 percent in 2020 but lower than 8.6 percent in 2019.
More than 4.4 percent of 2020
This year, 92 percent of the companies participating in the survey spoke about the salary increase, while last year only 60 percent said so. The survey began in December 2020 and involved around 400 companies from seven sectors and 25 sub-sectors. The survey said the average wage growth in India is expected to be 7.3 percent, higher than 4.4 percent in 2020.
20 percent companies plan to increase double-digit salary
Companies have increased their budget for wage increases due to faster than expected improvement in economic activity, increased consumer confidence, and better margins. 20 percent of the companies have planned double-digit salary increase this year, while in 2020 this figure was just 12 percent. According to the survey, one-third of the companies that did not increase their salary last year are preparing to make up for it in the form of higher increases or bonuses this year.
