Big paydays for top talent in tech, consumer, lifesciences even as overall hikes mode

livemint.com:

Subscribe to enjoy similar stories. Top performers are likely to be handsomely rewarded—in some cases getting raises double that of their peers—in an appraisal season that will see overall increment lower than last year’s, according to a report by consulting firm Aon. “Top performers in IT product firms are expected to get a 1.9x hike versus 1.73x that differentiated him/her from his/her peers in 2024," said Roopank Chaudhary, partner for human capital solutions at Aon, adding that key talent in consumer and life sciences will get 1.76x and 1.67x raise, respectively.

“The consumer sector is expected to see one of the lowest hikes in four years at 9.1%. But its top talent is always in demand from other sectors like e-commerce, technology and life sciences," pointed out Chaudhary, explaining the performance differential. The consulting firm estimates that salaries across industries will rise by 9.2% in 2025, a marginal decline from the actual 9.3% hike rolled out on an average in 2024.

Aon pegs it on “global uncertainty and softening growth". Interestingly, the firm had projected 9.5% hike for the year gone by. Another estimate, from Mercer’s Annual Total Remuneration Survey, predicts 9.4% overall salary increase across industries in India for 2025 versus estimate of 10% last year.

Also read | Fatter pay checks coming for Tech Mahindra employees as company rolls out increments For some sectors, a generous hike is critical to retain their best even as attrition slows on the back of a lethargic job market. This is good news for top performers as their employers will stretch to retain them. Mint in its 7 February edition had written how pay hikes would fall below the 2024 numbers.