Whether the salary will increase or decrease in 2026 largely depends on the economic condition of the country, inflation, growth of the industry and financial health of the companies. But a new survey suggests that salary growth in Indian business may remain low in 2026, while employee turnover is expected to remain the same as last year. According to human resource consulting firm OMAM’s Salary and Attrition Trends: Increment Outlook Report 2026, the average salary growth in 2026 is 9.1% compared to last year. It is estimated to be 8.9%. While the average attrition across various industries is expected to be around 13.6%.

Bad condition of IT sector

The survey, conducted between September and October this year, shows that employers are reining in their compensation budgets due to increased focus on economic uncertainty and recession. According to OMAM’s report, the average salary growth in the IT sector may decline from 8.2% in 2025 to 7.0% in 2026, while in e-commerce it is expected to decline from 10.0% to 9.2%. For FMEG and FMCD it is expected to decline from 9.5% to 8.7%, while in the automobile sector it is expected to decline from 10.5% to 9.8%.

There will be growth in communication sector

The deceleration in wage growth is most visible in sectors like IT, e-commerce, fast-moving consumer goods (FMCG), fast-moving consumer durables (FMCD) and automobile. OMAM’s survey shows that wage growth is slowing down even in key industrial sectors. Wage growth in the insurance sector is expected to remain at the level of 9%. Telecom is the only sector which has seen growth, which may increase from 9% to 9.1%.

Maximum migration in IT sector

The migration of employees is highest in the IT services sector, here one out of every 5 (20%) employees is considering changing jobs in search of better opportunities. Attrition in other high-demand sectors like banking and financial services and retail and e-commerce is also seen rising to 17–18% levels.