India's Salaries Set for Moderate Growth Amid Global Uncertainties

Salaries in India are expected to rise by an average of 9.2% in 2025, according to Aon plc, marking a slight decline from previous years. Despite global uncertainties and economic challenges, India's economic prospects remain stable, with various industries projecting varied salary increases.

Salaries in India are projected to grow by an average of 9.2% in 2025, slightly down from last year's 9.3%, according to Aon plc. The Annual Salary Increase and Turnover Survey 2024-25 highlighted that despite global uncertainties, India maintains a stable growth outlook.

Data from over 1,400 companies across 45 industries indicate easing attrition rates in India Inc. The study noted a consistent decline in salary increments since 2022, post the Great Resignation, with overall attrition falling to 17.7% in 2024.

The survey suggests salary hikes will vary by industry, with engineering design services and auto manufacturing planning the highest increases. Adapting to economic and geopolitical pressures, companies are expected to balance market challenges with talent retention strategies.