India Set for 9% Salary Hike in 2026: Real Estate and NBFCs to Lead the Way
India is on track to see a 9% salary increase in 2026, with the real estate and infrastructure sectors leading the charge at 10.9%. Improved workforce stability and strategic compensation approaches are contributing to this positive trend.
Salary HikeReal EstateNbfcsWorkforce StabilityEconomic GrowthReal EstateOct 07, 2025
Real estate and infrastructure are expected to lead with the highest projected salary increase at 10.9 per cent, followed by non-banking financial companies (NBFCs) at 10 per cent. Other key sectors such as engineering design services (9.7 per cent), automotive manufacturing (9.6 per cent), retail, and life sciences (both at 9.6 per cent) also forecast robust growth in employee compensation.
“India’s growth story remains strong, supported by infrastructure investments and policy measures. Our survey shows that key sectors like real estate and NBFCs are leading the way in talent investment, and businesses are taking a strategic approach to compensation to ensure sustainable growth and workforce stability, even amid global uncertainty,” said Roopank Chaudhary, Partner and Rewards Consulting Leader, Talent Solutions for India at Aon, as quoted by PTI.
The survey also indicated a steady improvement in workforce stability, with attrition rates declining to 17.1 per cent in 2025, compared to 17.7 per cent in 2024 and 18.7 per cent in 2023. The report noted that improved retention is enabling companies to focus more on targeted skill development and long-term talent building. This trend is particularly significant as it indicates a shift towards a more sustainable and strategic approach to human resource management in the corporate sector.
For Aon, a leading global professional services firm, this survey is a crucial tool for understanding the dynamics of the Indian job market. The company’s insights help organizations make informed decisions about compensation, benefits, and talent management. With a focus on sectors like real estate and NBFCs, Aon’s survey provides valuable data for businesses looking to stay competitive and attract top talent in a rapidly evolving economic landscape.
As the Indian economy continues to grow, the focus on workforce stability and strategic compensation is likely to become even more critical. Companies that invest in their employees and adopt a forward-looking approach to talent management are well-positioned to thrive in the coming years. The 9 per cent salary hike in 2026 is a positive indicator of this trend and signals a brighter future for the Indian workforce.
Frequently Asked Questions
What is the projected salary increase for India in 2026?
India is projected to see a 9 per cent salary increase in 2026, according to Aon’s Annual Salary Increase and Turnover Survey 2025–26 India.
Which sectors are expected to see the highest salary increases?
The real estate and infrastructure sectors are expected to lead with the highest projected salary increase at 10.9 per cent, followed by non-banking financial companies (NBFCs) at 10 per cent.
How has the attrition rate changed in recent years?
The attrition rate has declined to 17.1 per cent in 2025, compared to 17.7 per cent in 2024 and 18.7 per cent in 2023, indicating improved workforce stability.
What factors are contributing to the salary hike and workforce stability?
Factors such as stable consumption, investments, and supportive policy measures are contributing to the salary hike and workforce stability. Strategic approaches to compensation and talent management are also playing a significant role.
How does Aon’s survey help organizations?
Aon’s survey provides valuable insights into the dynamics of the Indian job market, helping organizations make informed decisions about compensation, benefits, and talent management to stay competitive and attract top talent.
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