Foundit, a job marketplace platform, reported that over 60% of entry-level employees in India have not received a raise this appraisal season. Employers are considering non-cash forms of compensation, such as bonuses and employee stock ownership plans (ESOPs), to reward workers. The report also revealed that the majority of workers in the healthcare and BPO/ITES industries received pay raises this year. 38% of respondents felt the raises fulfilled their demands, and 52% considered the evaluation procedure fair. 76% of employees expressed openness to job changes after receiving performance reviews.
This appraisal season, no raises for more than 60% of entry-level employees
According to the report, employers gave bonuses and employee stock ownership plans (ESOPs) to the 49% of workers who did not receive performance reviews.
In its most recent report, the job marketplace platform Foundit, formerly Monster APAC and ME, stated that more than 60% of entry-level employees in India have not received a raise this appraisal season.
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The majority of entry-level employees do not receive hikes
“Salary increases for Entry-level workers (0-3 years’ experience) expressed a striking trend, with 62% asserting that they didn’t get any appraisal this year,” the report’s excerpt from the study stated. 10% of them saw increases in pay of between 5 and 10 percent, while only 9% saw increases of between 0 and 5 percent.
Concentrate on non-cash forms of compensation
Aside from monetary increases in pay, the report also showed that businesses are considering other ways to reward workers. The CEO of foundit, Sekhar Garisa, stated that “the foundit Appraisal Patterns Update indicates that businesses also look at extra and substitute variable factors to salary increases, such as ESOPs, incentives, and even promotions.”
According to the report, employers gave bonuses and employee stock ownership plans (ESOPs) to the 49% of workers who did not receive performance reviews. Additionally, 20% of those who did not receive raises received promotions, showing that chances for professional advancement exist without regard to immediate financial gain.
According to the report, the majority of workers in the healthcare and BPO/ITES industries received pay raises this year. In the healthcare industry, 29% of employees received a 5–10% raise, while 27% received a 15%–29% raise. Nearly 50% of respondents, or 49% of employees, received a 0–5% appraisal in the BPO/ITES industry in FY23, while 26% received a 5–10% rise.
In the BFSI sector, 20% of employees received hikes of 10% and 15%, and 30% received promotions of between five and 10%. Similar trends occurred in IT, where 30% received an increase of 10-15% and 21% received an appraisal of 5–10%. 20% of those surveyed who worked in the engineering/construction sector received pay hikes that were higher than 20%.
According to the report, 38% of respondents said the rise they obtained this year fulfilled their demands, and 52% thought the evaluation procedure was fair. Based on the survey results, 76% of employees said they would be open to looking at a job change after receiving their performance reviews.