TeamLease forecasts 8.9%-9.5% pay hikes for retail, FMCG, logistics and e-commerce
India’s salary increments are projected at 8.6%-10.2% across industries in FY26-27, according to TeamLease. Retail-linked sectors fall within its sustainable-growth group, with technical and customer-facing roles expected to command stronger increases.
What happened
TeamLease projects Indian salary increments of 8.6%-10.2% in FY26-27. Retail, FMCG, logistics and e-commerce fall in its sustainable-growth group, with expected
Key facts
- 8.6%-10.2% projected salary increments across industries in FY26-27
- 8.9%-9.5% projected increments for retail, FMCG, logistics and e-commerce
- 10.1% projected hike for IT Support Executives in sustainable-growth sectors
- 10.7% projected hike for Project Engineers
- 4.2% projected permanent-temporary salary gap in travel and hospitality
Why this matters
Factor higher compensation costs and scarce technical talent into target valuations, synergy models and post-deal retention plans for retail-linked businesses.
What to watch
- Quarterly attrition and vacancy rates for store, warehouse, delivery and digital roles.
- Increment announcements and hiring incentives from quick-commerce, e-commerce and logistics competitors.
- Growth in revenue per employee, orders per delivery worker and warehouse throughput.
- Consumer demand strength and retailer ability to pass costs through via pricing.
- Minimum-wage revisions, labour-code implementation and urban cost-of-living changes.
- Benchmark compensation by role and city rather than applying uniform annual hikes.
- Shift a larger share of increments toward retention-critical technical, supply-chain and customer-facing roles.
- Link wage budgets to measurable productivity targets such as sales per employee, fulfilment cost per order and store labour hours.
- Expand automation and scheduling tools in warehouses, delivery operations and high-volume stores.
- Review pricing, private-label mix and supplier terms for ability to absorb labour-cost inflation.