Base Salary Expected to Rise By 10.5 Percent: Report

BENGALURU: 2016 is all set to be deliver bumper offers to most of the employees in the country. According to the latest report of ET, companies in India are expected to hike base salary by 10.5 percent and as much as half 50 percent of the companies are planning to increase their headcount.

The survey was conducted by the consulting firm Mercer and reports revealed the trend. As per the survey, during the current year one in every two companies is planning to increase their employees count and shared services. The salaries are expected to be hiked from 10 percent to 11 percent and the estimation is similar to that happened in 2015.  In addition, bonus pay is also expected see an inclination as last year also saw rise in bonus percentage.

Ruchika Pal, Principal & India TRS Product Leader, Mercer said "Largely, the current pay increase points toward an optimistic economic outlook driving positive sentiment, with companies expecting to increase their headcount. The salary forecasts are the lowest for consumer, auto and shared services. Companies in India are assertive of their growth plans and will continue to hire, especially engineers and computer science experts."

While, situation is proven grim for consumer, auto and shared services, overall actual wearing away was 12.6 percent; relatively the shared services sector recorded the highest attrition at 17.8 percent and consumer sector ranked second at 17.6 percent. Further, employees of the marketing sector continue to face the highest challenges in the business.

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