By IANS,
New Delhi : Employees in India can expect a salary increase of about 11.9 percent at the end of the current financial year, a study said Tuesday. Pharmaceutical and engineering services are projected to give the maximum hike.
“India has outpaced Asia Pacific yet again with the highest salary increase in the region, followed by China and the Philippines, projecting a 9.5 percent and a 6.9 percent salary increase in 2012, respectively,” Aon Hewitt, the global human resource consulting and outsourcing business of Aon Corporation, said in its annual India salary increase survey.
However, the hike is lower as compared to 12.6 percent during the like period of the previous financial year.
“The number mirrors a positive yet cautious outlook as organizations strive to take a balanced view in light of the uncertain economic environment.”
The junior and middle management were still expected to get the highest increase for 2012 at 12.3 percent and 12 percent respectively, it added.
The frontrunner pharmaceutical industry is projected to give 13.3 percent hike to its employees. The industry is riding high on surging year-on-year growth with a compound annual growth rate of 11.1 percent.
“The domestic industry’s long-established position as a world leader in the production of high-quality generic medicines is set to reap significant new benefits as the patents on a number of drugs are scheduled to expire over the next few years,” the survey said.
Engineering services, which are expected to give the second highest salary increase of 13 percent, is a niche sector and is slated to reach $15-$16 billion by 2015.
The power sector, affected extensively by the fuel (coal) price problem, project delays due to challenges in land acquisition, and regulatory and environmental clearances, projects a modest 11.1 percent salary increase.
Information Technology (IT) and outsourcing sectors report a relatively positive outlook on salary increases with 11.9 percent and 11.8 percent projections respectively despite their continuing concerns with the global economy.
Telecom and financial institutions are projecting the lowest salary increases for 2012 at 11 and 10 percent respectively, plagued as they are by various regulatory hurdles, policy issues and the slowdown in the global economy.