Corporate India set for salary hikes of up to 10.2 per cent in FY27: Report

Salaries in corporate India are expected to rise up to 10.2 per cent in the current financial year, with businesses to reward specialised and highly-skilled talents, according to a new report.

With the increase in demand for skilled and execution focussed talents, TeamLease Services’ report projected an average salary increment of 8.6 per cent to 10.2 per cent across industries. The rise is primarily led by high growth sectors including EV and EV Infrastructure, FinTech, Healthcare and Pharmaceuticals.

‘Sector-specific growth’

"India's salary landscape in 2026-27 is becoming more differentiated and execution-led. Increment trends are increasingly being shaped by sector-specific growth and specialised skills. At the same time, compensation growth is no longer concentrated only in traditional metro markets.

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"Emerging cities are steadily strengthening their position in the talent economy, supported by industrial expansion, enterprise investments, and evolving business ecosystems," TeamLease Services Senior Vice President Balasubramanian A said.

Increment projection

The high-growth industries led by EV and EV Infrastructure are expected to register salary increments in the range of 9.6 per cent to 10.2 per cent, the report based on inputs from 1,268 businesses across 23 industries and 20 cities said.

Salary increments for Electrical Engineers are projected at 11.2 per cent, Quality Control Inspectors at 10.9 per cent, IT Support Executives at 10.3 per cent, and both Quality Assurance Engineers and Site Engineers at 10.2 per cent.

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Meanwhile, industries under the sustainable growth category, including Automotive, Retail, Insurance, and BPO, are expected to follow with increments between 8.9 per cent and 9.5 per cent.

While overall growth remains moderate, select roles continue to push beyond this band, led by Project Engineers at 10.7 per cent, and EHS Officers, IT Support Executives, and Relationship Executives at 10.1 per cent.

Gradual growth industries

A more measured compensation trend is visible across gradual growth industries such as banking, construction and real estate, telecommunications, and textiles, where increments are projected between 8.6 per cent and 8.8 per cent.

Even within this conservative range, certain roles stand out, including Site Engineers at 9.8 per cent, Telecallers at 9.7 per cent, and IT Support Executives, along with Financial Reconciliation Analysts at 9.5 per cent each.

According to the report, across functional areas, growth momentum is most visible in Sales and Marketing, Engineering, and IT.

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In IT, Associate Software Engineers are projected to grow at 9.7 per cent, while IT Support Executives continue to see steady demand across Information Technology, Healthcare, and Pharmaceuticals, reinforcing the importance of foundational digital roles in enterprise transformation.

Growth markets

At the city level, Chennai at 9.7 per cent, Pune and Hyderabad at 9.6 per cent each, and Ahmedabad at 9.5 per cent are set to lead salary increment markets in FY27.

Emerging cities, such as Visakhapatnam at 9.5 per cent and Nagpur at 9.4 per cent, are also gaining traction, supported by manufacturing expansion and industrial corridor development.

In contrast, cities including Surat at 8.4 per cent (down from 8.9 per cent), Chandigarh at 8.5 per cent (down from 9.9 per cent), and Lucknow at 8.7 per cent (down from 9.1 per cent) are witnessing lower levels of growth compared to the previous year, added the report.

(With agency inputs)