Companies in India are expected to give a salary hike of 10 per cent in 2023 as they struggle with rising attrition in the tight labour market, according to a report.
Global advisory, broking and solutions company Willis Towers Watson’s Salary Budget Planning report found that companies in India are budgeting an overall increase of 10 per cent for 2022-23, compared with the actual 9.5 per cent growth in the previous year.
According to the report, more than half (58 per cent) of the employers in India have budgeted for higher salary increases for the ongoing fiscal year compared to last year, while a quarter of them (24.4 per cent) made no change in the budget.
Only 5.4 per cent have reduced the budget as compared to 2021-22, it added. The report revealed that at 10 per cent, salary increases in India continue to be the highest in the Asia Pacific (APAC) region.