ArdorComm Media News Network
October 9, 2025
Amid global economic headwinds, salaries in India are projected to rise by 9% in 2026, driven by strong domestic demand, steady investments, and supportive government policies, according to Aon’s Annual Salary Increase and Turnover Survey 2025–26.
The forecast represents a slight uptick from the 8.9% average salary growth recorded in 2025, highlighting the continued resilience of India’s economy even as many other markets experience slower expansion.
The 30th edition of Aon’s survey draws insights from 1,060 organisations across 45 industries, revealing significant variations in salary hikes by sector. Real estate and infrastructure firms are expected to see the steepest pay increases at 10.9%, followed closely by non-banking financial companies (NBFCs) at 10%. Other key sectors — including automotive, engineering design services, retail, and life sciences — are likely to post average salary hikes of around 9.6–9.7%, reflecting ongoing investments in critical and skilled talent areas.
“India’s growth narrative remains strong, propelled by infrastructure investments and policy support. Organisations are adopting a strategic approach to compensation to ensure sustainable growth and workforce stability amid global uncertainty,” said Roopank Chaudhary, Partner and Rewards Consulting Leader, Talent Solutions, India at Aon.
The report also notes a continued decline in employee attrition, which fell to 17.1% in 2025 from 17.7% in 2024 and 18.7% in 2023 — signaling greater workforce stability. With reduced churn, companies are increasingly focusing on upskilling and development initiatives to strengthen their talent pipelines and prepare for future growth opportunities.
Source: PTI