The FY22 Increments Benchmarking Study aims to assess trends in salary increments and compensation budgets, by function and level of management, across companies. Over 220 organisations across a wide gamut of industries and of varying size and ownership participated in a survey on these issues, conducted in January 2021. The report provides data on parameters such as overall compensation budgets, the share of variable pay and increments across levels/functions.
Compensation budgets and Increments data is presented for each function (sales/marketing/customer service, business/operations/manufacturing, finance/treasury, HR, shared services, facilities/IT/administration) and management level (C-level, senior management, middle management, junior management, blue-collar workforce). Detailed data-splits are offered for each parameter by sector/sub-sector, revenue, ownership (foreign vs Indian), listing, domain (manufacturing vs services) and orientation (B2B vs B2C). Additionally, increments data is provided for talent groups (HiPos, top/average/low performers).
People Costs: Holding Steady
The report aims to offer actionable inputs for CHROs and other decision-makers towards their salary-related decisions for the coming financial year, and covers the following parameters:
- Total people cost: As a percentage of total cost and total revenue for FY20 and FY21 and forecasts for FY22.
- Compensation budgets by function: How have compensation budgets changed in the last financial year? What is the expected change next year?
- Variable pay shares by function and management level: For FY21 (actual) and FY22 (anticipated).
- Pay increments (FY20, FY21 and FY22 (anticipated) by
- Management level
- Talent group (high potentials, and top/average/low performers)
1. Introduction and Overview
- Methodology and Definitions
- Glossary of Terms
- Company Demographics
- Executive Summary
2. Compensation: Cost and Structures
- People Cost as a % of Total Cost and Revenue: FY20, FY21, FY22
- Change in Compensation Budgets by Function
- Variable Pay as a % of CTC: FY21, FY22: By Function and Level
3. Trends in Increments
- Salary Increments Planned in FY22: By Management Level and Function
- Trends in Increments: By Function, Management Level and Talent Group
- Increments, FY22: By Sector and Function; By Revenue/Ownership and Function; By Sector and Level; By Revenue/Ownership and Level; By Sector and Group and By Revenue/Ownership and Group
- Increments, FY21 and FY22: By FY Starting Month
- Comp Budgets vs Increments
- Average Midpoint-to-Market Delta: By Function and Management Level
4. Annexure: Detailed 7-way cross tabs by revenue, ownership, sector, domain, orientation, listing, etc.