A double-digit salary hike for you may depend on these skills. Do you have it?1 min read . Updated: 14 Oct 2021, 03:33 PM IST
- Companies gave an average salary hike of 8.8% in 2021 and the same is expected to hit 9%-11% in 2022
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Emerging from the depths of coronavirus pandemic, India's technology companies have doubled-down on hiring and at a pace higher than pre-pandemic levels to tackle the levels of high attrition, according to a report by Deloitte and Nasscom.
Large-cap IT firms like Infosys and Wipro have reported attrition levels over 20% in the September quarter and the trend is expected to continue for the next two to three quarters. Not just large firms, even mid-and- lower level companies are grappling with high attrition levels.
To address this, companies are hitting the colleges to rope in as many fresher graduates as possible. About 90% of organisations have resumed the hiring at the same pace as they used to hire prior to the pandemic, said the report, adding that the talent war is emerging as a key trend in the industry.
However, companies are no longer looking for functional experts alone. The need of the hour is a workforce that understands and adapts to technology in all shapes and forms across areas of business.
And the good news for employees is that salary hikes have resumed after a setback in 2020. On an average, the salary increments have dropped from 9.5% in 2019 to 5.2% in 2020. However, companies gave an average hike of 8.8% in 2021 and the same is expected to hit 9%-11% in 2022, said the report.
Performance continues to remain one of key drivers for differentiating salary increments. About 60% of About 63% are adopting a differentiated approach to increments across functions.
For instance, the report says if an increment given to an average performance is X, the degree of differentiation in increment given to the top performers can range up to 1.7X or 1.8X.
As a result of the demand and supply gap, some skills are commanding premiums in the market. They include emerging technologies like Blockchain, Artificial intelligence, Machine Learning, Robotics, cloud computing and many others.
Employees with the above skill sets are expected to have increments in double digits next year, according to the report. Those with Blockchain as a skill are at an advantage to gain an increment ranging between 20-22%.
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