Deloitte’s Annual Compensation & Benefits Trends Survey India 2014 projects that the pharmaceutical sector will see the highest increment (12.4 per cent) this year. In its fourth edition, the survey projected that the average salary increment across sectors will be 10.3 per cent in FY 2014, which is 0.3 per cent points lower than the previous FY 2013 (10.6 per cent). The average variable pay across sectors is projected to grow at 1.2 per cent to 18.5 per cent in FY 2014, against 17.3 per cent in FY 2013. Companies from more than 18 sectors participated in the survey which was conducted online for the first time.
The average variable pay percent in the pharma sector is projected at 18.4 per cent in FY 2014 (up 0.3 per cent points than FY 2013) and voluntary attrition rate for this sector in FY 2013 on an average is 12.8 per cent. Highest attrition rate is observed for the Clerical Cadre at 15.6 per cent.
Speaking on this, P Thiruvengadam, Senior Director, Deloitte in India said, “Increment levels this year are more or less the same. Employers are following a balanced, measured approach. That said pharma industry has a future potential and it is going to grow going forward.”
209 companies from sectors such as auto & auto components, BFSI, chemical, consumer business, engineering & manufacturing, energy & natural resources, Hi-Tech, IT-enabled Services, infrastructure & real estate, logistics, media & advertising, pharma, life sciences & healthcare, retail etc were represented. The lowest projection was observed in the retail sector at 9.1 per cent and the highest projected variable pay is in the BFSI sector at 20.2 per cent, the lowest being in the logistics sector at 16.9 per cent. The highest attrition is projected in the ITeS sector at 16.4 per cent and the lowest is in the logistics sector at 10.5 per cent.
Attrition rates have reduced marginally across sectors. However, it continues to be a concern in the BFSI, Hi-Tech, ITeS and Media and advertising sectors. Highest attrition rate had been recorded in the clerical cadre in the ITeS sector at 26.2 per cent. The logistics sector has reported the lowest overall attrition at 10.5 per cent. The consumer business sector has seen the least attrition among the top management level at 8.2 per cent. Organisations across sectors attribute better career prospects, better pay opportunities and personal reasons as the top three reasons for attrition. While career management, developing potential leaders, and retaining and rewarding critical talent are the top three HR challenges faced by organisations.
EP News Bureau – Mumbai