Average salary hike to be lower at 10-15pc in India: Kelly

country this year will be in the range of 10-15 per cent

across industry, lower than the last few years.

Kelly Services India Salary Handbook 2008/09 said the

salary range for the covered positions has widened and this is

attributed to a greater emphasis on pay for performance.

Over and above the standard annual increments on base

salaries for all employees, across levels and functions,

organisations are more open to rewarding their key performers

and talent with rare and sought after skill sets and

experience, it said.

“Higher employment will continue in sectors like

insurance, financial services, healthcare, retail, hospitality

and real estate as well as in the growing and diversifying

services sector,” Kelly Services India Country General Manager

Rajiv Mehrotra said.

“We expect an increased demand for talent with relevant

industry work experience and also with specialised skills

across functional verticals in the year ahead. These would

include professionals in marketing and business development,

engineering, finance, IT software, research and medicine,” he

said.

Commenting on the emerging compensation trends in India,

he said, “We also observe that base salaries are stagnating

and showing marginal increases whereas variable pay is being

used as the key differentiator to retain talent.”

“Performance linked salary components are coming in play

and vanilla incentives covering a group or level of employees

are giving way to more employee specific profit or

productivity linked incentives,” he said.