Amid the ongoing global job losses, there is some good news for employees working in the corporate sector. The average salary in India is expected to increase by 10.2 per cent in 2023, as per a new report.
The hikes are expected to be mainly driven by e-commerce, professional services and information technology.
The average salaries in India will increase by 10.2 per cent in 2023, lower in comparison to 10.4 per cent (actuals) in 2022, but still in double digits, according to a ‘Future of Pay’ 2023 report by professional services organisation EY.
The projected salary increases for 2023 are slightly lower than the actual increases for 2022 across all job levels, except for blue-collar workers, who are projected to have a slightly larger decrease in compensation in 2023, it stated.
The report also highlighted that technology skills like AI and cloud computing are in high demand. These command a 15-20 per cent premium over basic software engineering compensation. Analytical skills like risk modelling, data architecture and business analytics command a higher 20-25 per cent premium.
Nearly half, 48 per cent, of the companies in India offered a premium for the skills in demand. 22 per cent even offer one-time and retention bonuses to those with skills in demand.
“As the Indian economy continues to grow, competition for top talent is intensifying across various industries. Top talent with critical skills and high-performance history command compensation premiums ranging from 1.7 to 2X of average talent,” said Abhishek Sen, partner and Total Rewards Practice leader, Workforce Advisory Services, EY India.
