Average increments to drop to 9.1% in 2023 from 9.4% in 2022: Survey
India's expected average salary increment in 2023 is predicted to decrease to 9.1% from 9.4% in 2022, according to the debut edition of Deloitte India Talent Outlook 2023. Most sectors are expected to have lower increments in 2023 compared to 2022, indicating it may be lower than previous years. However, the life sciences sector is likely to see the highest increments, with the IT sector experiencing a significant drop
Source | economictimes.indiatimes.com | Sreeradha Basu, ET Bureau
Average India increment in 2023 is expected to go down to 9.1% from 9.4% in 2022, the debut edition of Deloitte India Talent Outlook 2023 has revealed.
The study finds that 2023 increments are expected to be lower across almost all sectors, compared to 2022 actual increments. While the Life Sciences sector is expected to witness the highest increments in 2023, the IT sector will likely witness a major drop in increments as compared to 2022. Survey findings indicate that one in every three organisations is planning to give double-digit average increments.
Anandorup Ghose, Partner, Deloitte Touche Tohmatsu India LLP (Deloitte India), said, “The significant attrition levels across industries in late 2021 continued until early 2022. We saw Indian organisations budgeting the highest increment in 2022 over the last four years. What they also did was hire aggressively. This led to employee costs rising faster than revenue growth over the last 3–4 years in almost every other company. Stubborn inflation, higher interest rates, and a slowing economy are likely to make organisations more cautious this year. We expect increments and attrition to witness lower trends in 2023”.
