Buckle up, Indian employees – salaries are set for a 9.1 percent average boost in 2026, edging out 2025’s 8.9 percent, according to a fresh report from a top-tier services firm. Released mid-week, it offers a deep dive into compensation trends shaping the nation’s job scene.
High performers include real estate and infrastructure at a stellar 10.2 percent, with NBFCs at 10.1 percent riding high on financial sector momentum. Tech, consulting, and services lag at 6.6 percent, grappling with cost controls and AI disruptions.
Don’t overlook retail’s 9.5 percent, life sciences’ 9.4 percent, global centers’ 9.3 percent, or asset managers’ 8.5 percent. Sectors like autos, engineering design, manufacturing, and retail promise above-average gains, fueled by consumer demand and supply chain tweaks.
Drawing from 1,400 organizations in 45 industries, findings show bosses laser-focused on tech, engineering, and client skills. In today’s cutthroat talent market, securing niche experts is make-or-break for adaptation.
Great news on retention: voluntary exits dipped to 16.2 percent in 2025, down from 17.7 percent in 2024 and 18.7 percent in 2023. Smarter hiring, engagement initiatives, career ladders, and steady workplaces are paying off.
With loyal teams and solid talent foundations, companies can now channel resources into skill honing, vital future competencies, and long-haul growth strategies.
An India-based talent expert from the firm warns of labor code upheavals – the biggest in decades. Standardized wages and enhanced security nets are spurring compensation overhauls. Employers must communicate clearly to sustain morale and steadiness.