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Modest salary hikes in store for IT employees

Financial Express Lucknow

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March 21, 2025

THE PERFORMANCE APPRAISAL cycle for FY25 is set to bring modest salary increments for IT employees, with an average hike of around 5% for the bulk of the workforce.

- URVI MALVANIA

THE PERFORMANCE APPRAISAL cycle for FY25 is set to bring modest salary increments for IT employees, with an average hike of around 5% for the bulk of the workforce. However, professionals with expertise in high-demand areas such as artificial intelligence (AI), machine learning (ML), big data, and blockchain are expected to receive significantly higher salary increases in the range of 10-12%, according to staffing experts.

IT services firms have witnessed a surge of over 50% in hiring demand since mid-January, driven by global clients seeking faster deliveries and AI/ML-driven solutions. However, companies are becoming increasingly selective about salary hikes, prioritizing professionals with niche skills while keeping general IT salary increments restrained.

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