New Year 2016 to bring 'achche din'; job market to see more hiring, better increment

For the coming year 2016, HR experts forecast pay hikes of 12-15 percent across various sectors, while top talent can look forward to up to 30 percent increase in pay packets.

New Delhi: High on hope street, the job market promises pay hikes in the range of 10-30 percent and aggressive hiring by the private sector in 2016, but a push will need to come from e-commerce and 'Make in India'.

Another boost can come from the Seventh Pay Commission, which will trigger a big hike in salaries of the government employees, and a domino's effect can be seen on pay packets of many in the private sector as well.

As 2015 draws to a close, HR experts and headhunters feel green shoots of 'achche din' were visible in the job market as hiring activities grew by nearly 10 percent this year and broadly an upward trend was witnessed as the months passed by, barring a few blips around May-June.

Data compiled by various agencies show that the companies have doled out average pay hikes of 10-12 percent this year while the average increment has been higher at about 25 percent for the top talent.

For the coming year, HR experts forecast pay hikes of 12-15 percent across various sectors, while top talent can look forward to up to 30 percent increase in pay packets.

Some surveys have already pegged Indian companies as the most optimistic globally in terms of their hiring outlook for the new year, while the most of the hiring activities are expected in the e-commerce and Internet-related sectors, as also in the manufacturing space as the companies wait for the 'Make in India' projects to hit the ground.

Experts said the job market remained a mixed bag in 2015 but it was definitely better than the previous year as many companies pumped up hiring activities on expectations that the promises of a better investment climate and the government push to manufacturing industry will soon start bearing fruit.

"Yes, it's really starting of 'Achche Din' in job market. Manufacturing and engineering sector is heading to create more jobs compare to last few years. Coming year outlook is very optimistic and more positive compared than earlier," recruitment platform MyHiringClub.com CEO Rajesh Kumar said.

Summing up the year in terms of hiring, executive search firm GlobalHunt MD Sunil Goel said, "Though there is lot of back-end work happening to bring the 'good days', it is still reflected at sentiment level only. It may start reflecting on ground level in year 2016."

Leading quarterly hiring surveys also predict a bullish start for the year 2016.

According to Antal Global Snapshot, nearly 88 percent of companies in the country have hiring plans for 2016, while the quarterly Manpower Employment Outlook Survey puts India as the most optimistic among 42 countries in terms of hiring plans for the first three months of 2016.

According to Korn Ferry-Hay Group 2016 Salary Forecast, workers in India are projected to see a real wage hike of 4.7 percent in 2016 -- the highest in three years -- while the overall salary increase is expected to be 10.3 percent.

As per Towers Watson' 2015-16 Asia-Pacific Salary Budget Planning Report, India is expected to see an overall projected salary increase of 10.8 percent, while 'top performers' might get higher increases averaging 12.5 percent.