Salaried Indians can look forward to a positive boost in their incomes in 2024, with a projected increase of 9.5% according to a recent survey conducted by professional services company Aon. While this growth is slightly lower than the 9.7% seen in 2023, it still signifies a steady rise in salaries for individuals in India.
The survey, based on data from 1,414 companies across 45 sectors in the country, highlighted that the trend of higher single-digit salary increments has been consistent since 2022, following the peak reached after the challenges posed by the COVID-19 pandemic.
Despite this slight dip in salary growth by 20 basis points, attributed to adjustments made by companies in response to the global economic environment, the Indian job market remains competitive. This is evidenced by an attrition rate of 18.7% in 2023, down from 21.4% in 2022, indicating a stable employment landscape.
In terms of sector-specific forecasts, industries such as infrastructure and manufacturing are anticipated to experience notable growth, offering higher salary raises. On the other hand, certain sectors may see comparatively lower hikes in incomes.
Compared to major economies worldwide, India’s projected salary increase of 9.5% places it among the top contenders for substantial income growth. The country’s scale and capabilities position it favorably for the upcoming wave of AI/ML disruption, according to insights from the Aon survey.
Industry leaders are expected to focus on creating supportive work environments to enhance employee engagement, navigating the dynamic landscape of the job market. Jang Bahadur Singh, Director for Talent Solutions at Aon in India, emphasized the importance of fostering an environment conducive to employee growth and satisfaction.
Despite the global economic challenges outlined in the survey, India’s strong growth projections offer a promising outlook for the country’s workforce. With a strategic focus on addressing industry-specific challenges and leveraging emerging technologies, India is poised to lead the way in the next phase of technological disruption.
Overall, the forecasted rise in incomes for salaried individuals in India signals positive growth opportunities in the coming year, supported by a competitive job market and evolving industry landscapes.
