Your salary hike for the coming year is likely to be smaller that what you got last year, according to an employment market survey by HR/recruitment firm Michael Page India. The average increase in CTC (cost to company) will be 6-15 per cent in 2017, lower than the 10-15 per cent projected for the earlier year.
According to average CTC figures, projected by Michael Page India for the year ahead, jobs in finance and financial services are likely to see the biggest improvements while salaries will remain nearly flat for sales and marketing functions across sectors.
3 out 5 firms to hireOn the bright side, however, hiring is likely to remain robust. Three out of every five companies in India will add to their headcount in the coming year, the survey found, with nearly half (45 per cent) of the hiring targeted at the middle management level. The report is based on the responses of over 300 employers across India from key sectors and ranging from market-multinationals to small and medium-size enterprises.
According to the head of human resources at an FMCG company, quoted in the report, “Major FMCG players are finding it difficult to grow at the same rate as there are a lot of new entrants in the market, including domestic and international companies, and the latter has taken a significant portion of the pie. This, in turn, has impacted bonus payouts and increments.”
Professionals in Mumbai can still expect their salaries to be 10-15 per cent higher than in other parts of the country, in line with the city’s higher cost of living. However, the consultant cautions that these rates have started to fall and companies are starting to take a more conservative approach to salary increases.
The consultant’s Job Confidence Index Q1 2017 analysed the responses of 650 employees in India and 4,700 across Asia-Pacific and found that a sizeable number of employees in India (53 per cent) consider the economic scenario to be “good to excellent” as opposed to only 33 per cent of employees in the Asia-Pacific region.