You may get a better pay hike this year

Bengaluru: India Inc is likely to hand out an average salary increase of 7.9% to employees in 2021 against an actual average increment of 6.9% in 2020, a survey by global organisational consulting firm Korn Ferry has said.Close to 78% of the organisations covered in Korn Ferry’s ‘Salary Increment & Rewards Survey Trends’ report plan to give salary increases in 2021, while only 62% of organisations gave increments to employees last year as a direct impact of the pandemic.The report, which surveyed 650 organisations across sectors, said the trend of giving single-digit salary increases will continue in 2021 even as a majority of businesses are getting back on track as consumer demand continues to grow and with the vaccine rollout well underway. “India Inc witnessed double digit salary increments even until a couple of years back,” Amer Haleem, client partner at Korn Ferry Digital, told ET.“But this year’s projections look more optimistic than last year, riding a more positive sentiment from companies.” Life sciences, consumer goods, chemical and hi-tech/IT are projected to receive increments at a higher rate this year. The Korn Ferry report also finds that the variable pay payout was drastically lower than the target in 2020. At an overall general industry level, the average payout stood at 79% of the target, significantly less than in 2019 when the average was 91% of the target. The sectors giving highest variable pay are life sciences, industrial – essential goods and logistics. While the focus last year was on business continuity and survival in tough times, this year companies are thinking about back-to-work models, safety for employees coming back to the workplace, and navigating business in the new normal, Haleem said.The demand for digital talent has seen a consistent rise.The skills that attracted the highest premium were machine learning, artificial intelligence, full stack development, data science, user interface design, digital marketing, cyber security, cloud architect, robotics engineering, and robotics process automation.

from Economic Times https://ift.tt/38ba57k