Trend Check
Salary Increase Survey 2015-16: India's New Normal
The decadal story of India refl ects a sign of maturity.
Irrespective of market sentiments, fi rms in India continue
to adopt a cautious approach and do not get swayed away
by market led good or not to encouraging news. While
2012, policy paralysis was at its highest and the market
sentiment were low or 2015 - where there was the
euphoria of a new government and promising future,
India Inc. has chosen to stay fairly flat.
While India Inc. continues to be optimistic yet
cautious - historical low base of salary and the need to
stay competitive in the Asia Pacifi c region allows India to
still continue to be the highest projecting country.
In spite of adopting a cautious approach, fi rms still
believe maintaining market competitiveness of pay
levels and diff erentiation rewards for key talent are the
top 2 rewards challenges
- As organizations try to move away from a socialistic
approach, diff erentiating rewards for key talent and
ensuring competitiveness in pay levels is increasingly
topping the charts as a reward challenge
At 1.7X, the year-on-year salary increase for top
performers continues to increase
- Decline in salary increase for low performers is
becoming the trend
- Services sector was observed to provide a greater
diff erentiation to top raters as compared to
manufacturing
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