This year almost 11 out of 17 sectors hiked salaries by less than 10 per cent. These include Automobile & Allied, Banking, Financial Services and Insurance, Construction & Real Estate, FMCD, FMCG, Hospitality and Industrial Manufacturing
The COVID-19 pandemic has not only impacted the employment landscape, it has also disrupted the way India Inc rewards its talent. The salaries in FY20 grew in the range of 4.26 per cent (minimum) and 11.22 per cent (maximum) across sectors and cities. The corresponding figures in FY19 stood at 10.02 per cent (minimum) and 11.11 per cent (maximum).
The findings are part of the Jobs and Salaries Primer report by staffing firm Teamlease that analysed the salary payouts of more than 252,000 candidates across 17 sectors and 9 cities.
This year, almost 11 out of 17 sectors hiked salaries by less than 10 per cent. These include Automobile & Allied, Banking, Financial Services and Insurance, Construction & Real Estate, FMCD, FMCG, Hospitality, Industrial Manufacturing & Allied, Media & Entertainment, Power & Energy, Retail and Telecommunication.
While salary growth may range from a marginally positive to stagnant or even negative (given the dire situation created by COVID-19), the increment for some of the "super-specialised" profiles can go beyond 15 per cent. This shows how employers are cherry-picking job roles crucial for their business.
The best increments went to highly specialised profiles such as roles of a cold chain executive in FMCG, GM-Technology (IT) in Construction & Real Estate, Warehouse Executive in E-Commerce & Tech Startups, all of whom got upwards of 15 per cent salary hike.
Some profiles where impact of COVID-19 was not seen are: Hadoop Developer in BFSI, a Product Expert in Ecommerce and Tech Start ups, Animator, Collection Officer in Industrial Manufacturing and Allied, Digital Marketing Head in Information Technology and Knowledge Services.
"While businesses will stay conservative with salary increments, they have not shied away from rewarding specialised skills. In fact, the pandemic has amplified the importance of skilled profiles in the world of work. It has bought to forefront the trinity between skills, performance and rewards. The 15 per cent increment that companies are willing to offer to specialised profiles is a testimony of this," says Rituparna Chakraborty, Co-Founder & Executive Vice President, TeamLease Services.
She adds that this trend is likely to continue as more and more organisations are opting for asset-light and debt-free model. "The COVID world or the post-COVID world will be one that appreciates and reward outcomes. Filling ones armoury with skills that will help in driving outcomes either through up-skilling or re-skilling is the way forward for talent to stay in demand and to command the desired compensation."
The sectors that could allow their employees to work from home and thus ensure business continuity benefitted such as profiles in Banking, Financial Services and Insurance, E-Commerce & Tech Startups, Information Technology and Knowledge Services. Sectors with WFM roles but unlikely to benefit on business continuity are Agriculture and Agrochemicals, Automobile & Allied Industry, Healthcare & Pharmaceuticals, Industrial Manufacturing & Allied.