IT Services Firms Projected to See Lowest Salary Hikes at 6.6% in 2027: Aon

Companies in India are projected to offer average salary hikes of 9.1% in 2027, marginally higher than the actual 9% recorded in 2026. According to Aon’s Annual Salary Increase and Turnover Survey for India 2026-27. Non-banking financial companies (NBFCs), energy and real estate are expected to offer some of the highest salary increases.

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The 33rd edition of the survey analysed data from more than 1,200 organisations across 45 industries. The findings indicate that employers are maintaining relatively stable salary budgets while managing workforce costs and competition for skilled employees.

NBFCs, Energy Expected to Lead Salary Hikes

NBFCs are projected to record the highest average salary increase in 2027 at 10.1%, followed by energy at 9.9% and real estate and infrastructure at 9.8%.

The projected salary increases for other sectors include:

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• Funds and asset management: 9.6%
• Life sciences: 9.6%
• Automotive and vehicle manufacturing: 9.5%
• Global capability centres (GCCs): 9.4%
• Banking: 8.5%
• Technology consulting and services: 6.6%

Technology consulting and services firms are projected to record the lowest increase among these sectors, with the figure unchanged from 2026.

Roopank Chaudhary, Partner and Rewards Consulting Leader for Talent Solutions India at Aon, said strong domestic consumption, sustained investment and export growth continue to support business confidence.

He added that companies are taking a more targeted approach to salary decisions, with greater attention to market alignment, scarce skills and critical roles.

Also Read: Accenture Issues Internal Memo on Employee AI Spending

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Employee Attrition Rises to 18%

The survey found that overall employee attrition increased to 18% in 2026, compared with 16.2% in 2025 and 17.1% in 2024. The rise indicates that employers continue to face retention challenges despite relatively stable salary budgets.

The findings also point to wider changes in workforce investment as companies adopt artificial intelligence tools. Established adoption of AI productivity tools increased to 56% in 2026 from 46.1% in 2025, while around 60% of employers are prioritising employee upskilling.

Aon also reported that pay premiums for roles in artificial intelligence, machine learning and data science increased by approximately 10% compared with 2025.

For HR leaders, the projections indicate that salary planning will continue to involve balancing pay increases, employee retention and demand for specialised skills.

However, the 9.1% figure is an average projection, not a guaranteed increment for every employee. Actual salary increases will vary by employer, industry, role and individual performance.