IT sector employees are expected to get better increments

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Professionals working in IT Sector can look forward to better annual increments this year than last time, as well as more opportunities owing to growing demand in emerging segments such as machine learning and robotics, said industry association Nasscom and compensation experts. –Economic Times

According to Nasscom, Last year, the average salary hike in the IT industry was 6-8%,. “This year would see increments of 8-10% across the IT industry, but talent in niche technologies may get almost double the increments of an average performer,” said Sangeeta Gupta, senior vice-president, Nasscom.

Aon and HR consulting firm Mercer have also pegged increments for the IT sector at around 10%. However, top performers and those with niche skills in areas such as artificial intelligence, cyber security and block chain are likely to command higher salary hikes of up to 20%, they said.

“The IT industry is demonstrating a positive outlook this year with a salary increase of 0.6% compared to last year. The business outlook exhibits an upswing driven by a greater uptake of solutions focused on automation, analytics, deep domain expertise and cloud deployment,” said Anirban Gupta, senior consultant at Aon India Consulting.

Infosys, for instance, hired 55,000 people in the first nine months of this financial year, compared with 44,000 in the entire 2017-18. “As of December 2018, our total number of employees stands at 2,25,500, compared with 2,04,100 employees for fiscal ending March 2018,” said Richard Lobo, head of human resources at Infosys.

Mercer estimates suggest an overall increment forecast of 10%, with 10.5% for IT products against 10% in 2018, 9.5% in IT services (compared with 8% last year) and 8% for India-headquartered services firms (up from 6.5% last year). “Clearly, the industry is looking up in comparison to 2018 and there is focus on differentiated rewards,” said Mansee Singhal, rewards consulting leader for high tech, mobility and Sri Lanka at Mercer.

Willis Towers Watson studies indicate that employers are setting aside about 40% of their budgets for top performers. “The actual increase for top performers could be in the range of 12%-plus and may extend up to 20% while for the average it will be around 8%,” said Arvind Usretay, director, rewards, Willis Towers Watson India.- Economic Times

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