The years 2008 and 2009 have been the years of lay-offs, salary freezes and salary reductions. The trend in 2010, however, is expected to be quite different as depicted by various salary survey reports conducted.
Salary increments are generally calculated on the basis of assigning weights to the following factors:
- employee performance
- department performance
- company profits
- market trends
All these points mentioned above were not paid much heed during the economic downturn that the world had been facing. However, some employees were luckier than others in retaining their current jobs as well as current salaries. Others had to face job losses, salary freeze or reductions in compensations and benefits.
According to many salary surveys conducted by major research companies across the world for all major regions and industries, many companies are expected to give salary increments to employees. India is projected to lead followed by China in the Asian region.
Another interesting report was published by SuperCFO after they carried out a research for CEOs, CFOs, HR and Financial Consultants and a few other Management Executives across 36 countries. 70% companies in India, according to the research results, are expected to give salary increments between 5 – 15%, while 55% of the companies in US are planning salary increments ranging between 5 – 10%. Overall 68% companies are planning to give annual incentives as well as bonuses. For further information, download the full report using the following link: