Here is the Aon Hewitt Survey on Salary Increase projections for the year 2012 which states Salary increases in India are projected to be 11.9%, marginally lower than the actual increase of 12.6% in 2011. . The survey covered 550 organisations representing 19 primary and 31 sub-sectors. The data for the survey was collected between November 2011 and January 2012.
Some Key Points from the Survey
- Telecom and financial Institutions projected the lowest salary increases for 2012 at 11% and 10%
- The front runner for this year’s salary increase was to be in the Pharmaceutical Industry, with a projection of 13.3% for 2012, riding high on a surging year-on-year growth with a CAGR of 11%.
- With a CAGR of 15.2%, Engineering Design/Services projects the second highest salary increase of 13% which is 1.1% higher than the India average.
- The projections across all levels of management were lower than 2011, junior and middle management were expected to get the highest increase for 2012 (12.3% and 12% respectively).
- The information technology (IT) and outsourcing sectors reported a relatively positive outlook on salary increases (11.9% and 11.8%, respectively)
- Infrastructure, Heavy Engineering and Fast Moving Consumer Goods (FMCG) and Fast Moving Consumer Durables (FMCD) sectors continue to get higher salary increases than the country average for the second year in a row.
- The Auto sector has edged a marginal salary increase over the India average. Auto volumes for January 2012 were largely in line or marginally better than estimates across segments and players. It is expected that the pent-up demand owing to last year’s supply constraints will support the growth in 2012-13 as supply eases.