India Inc is expected to dole out salary hikes of up to 10.2% across industries in the financial year 2026-27 (FY27), according to a recent report. The increase will be primarily led by high-growth sectors including Electric Vehicle (EV) and EV Infrastructure, FinTech, Healthcare, and Pharmaceuticals.
Key Findings of the Report
The report highlights that the overall salary increment in FY27 is projected to be around 10.2%, reflecting the robust economic recovery and demand for skilled talent. Sectors such as EV and EV Infrastructure are anticipated to see the highest hikes, followed by FinTech, Healthcare, and Pharmaceuticals.
Sector-wise Breakdown
- EV and EV Infrastructure: Expected to witness salary hikes of up to 12-14% due to rapid expansion and talent scarcity.
- FinTech: Likely to see increments of 11-13% as digital payment and lending platforms grow.
- Healthcare and Pharmaceuticals: Projected to offer 10-12% raises, driven by increased healthcare spending and innovation.
- IT and IT-enabled Services: Anticipated to have moderate hikes of 8-10% as demand stabilizes.
Factors Driving the Hikes
The report attributes the salary increases to several factors, including strong corporate earnings, a competitive talent market, and the government's push for manufacturing and green energy. Additionally, companies are focusing on retaining top performers amidst a war for talent.
Industry Experts Weigh In
Industry experts believe that the salary hikes will help attract and retain skilled professionals, especially in emerging sectors. However, they caution that inflationary pressures and global economic uncertainties could impact the actual increments.
Overall, the outlook for salary growth in FY27 remains positive, with India Inc showing confidence in the economic trajectory.
