Happy Times are Here Again – Indian Companies Set to Announce Pay Hikes

by sweta

After more than a year of money crunch, job loss and pay cuts; employees all over India have something to cheer about. As the corporates start recovering after the dreadful economy slowdown, the companies are gearing to reward their employees with bonus and pay hikes.

According to the latest report by Economic Times, employees across corporate India can expect a salary hike anywhere between 9 to 18 percent this year.

As per current trends, employees across sectors may get moderate to fat increments and salary hikes in the 9-18 percent range this year around. Pay-cuts, layoffs and heightened austerity measures are becoming a thing of the past, as it gets replaced with a buzz of promising bonuses.

The salary hike is expected in most companies belonging to telecom, retail, FMCG, automobiles and consumer durables sector. Last year a majority of companies had to bring down their head count. While many had resorted to a pay cut across the organisation, some had fired people in bulk.

Sandeep Chaudhary from Hewitt Associates was quoted as

“If we take a realistic look on expected salary hikes this year, it is surely going to be around 9-9.5 percent across sectors.”

He added, “Companies will focus on a more realistic approach towards salaries, as well as hiring.”

Where auto and mobile sector have been profitable and quite generous with their employees. While Maruti Suzuki is looking at a hike of 10-15 percent and an average bonus of about 100 percent this year, mobile giant Airtel is had offred an average bonus of 140-150 for junior level employees and 125 percent for senior level last year.

IT companies who have always been the highest paying sector have also decided on a good hike for its employees this year. Cognizant,SAP, VMware, Mahindra Satyam, TCS, Wipro, Infosys and Genpact are said to offer an increment of 7-15 percent at the operational level and 12-18 percent to the seniors. Wipro was among the first one to announce a hike of about 8-12 percent. At Stayam, employees can expect a hike anywhere between 8 to 20 percent and Infosys is looking at a salary hike in april even after a hike of 8% last year in October.

The job market which has been very slow for some time now has also started showing good signs lately. How do I know?

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