Expectations of an increase in pay is high among workers in India.
As per a survey coducted, 90% of workers expect a pay rise this year. Of them, close to 20% of the employees surveyed are anticipating an increase of 4-6%, followed by 19% anticipating a 10-12% hike. This is as per ADP Research Institute's report titled - People at Work 2023: A Global Workforce View.
The report revealed that in India, 78% of workers received a pay rise last year, and the hikes averaged 4-6%.
This year, even if there is an absence of salary hike in the country, a substantial 65% of employees express a desire for some form of merit bonus, paid holidays or travel compensation, it stated.
'Getting a pay rise has become increasingly important, particularly for those in lower- and middle-income brackets. With the rising cost of living, disposable incomes have been affected, and even higher earners are feeling the pressure. People are struggling to afford essentials and are unable to indulge in luxuries due to the financial constraints caused by increasing interest rates, higher rents, and food costs. Though inflation may have reached its peak, it appears that it will take a while for it to return to more manageable levels,'ADP India Managing Director Rahul Goyal noted.
The report, People at Work 2023: A Global Workforce View, by US-headquartered human capital management (HCM) solutions provider ADP is based on a survey among 32,000 workers in 17 countries, including 2,000 employees in India.
The report further revealed that demands for higher pay come after around six in 10 workers (62%) were given a pay rise last year averaging at 6.4%.
The findings come amid the ongoing cost of living crisis and as workers in many countries demonstrate a willingness to take industrial action in order to force their employers to be more generous on pay and conditions, it said.
Globally, more than four in 10 workers (44%) believe they're underpaid for their job, it added.