global salary survey 2021 · 2020. 12. 17. · 10 9 8 7 6 5 4 3 2 1 + 10 5 4 3 2 1 6 7 8 9 alb ni...
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10
9
8
7
6
5
4
3
2
1
+
10
5
4
3
2
1
6
7
8
9
ALBANIA
BELARUS
VIETNAM
BULGARIA
THAILAND
CROATIA
TAIWAN, CHI
NA
CZECH REPUBLIC
SINGAPOR
E
ESTONIA
PHILIPPI
NES
HUNGARY
PAPUA
NEW GU
INEA
KAZAKHSTAN
PAKIS
TAN
LATVIA
MALA
YSIA
LITHUANIA
KORE
A
POLAND
JAPA
N
ROMANIA
INDO
NESI
A
RUSSIAN FEDERATION
INDI
A
SERBIA
HONG
KO
NG, C
HINA
SLOVA
KIA
CHIN
A
TURKEY
TUN
ISIA
UK
RAIN
E
SOU
TH A
FRIC
A
AR
GEN
TINA
MO
RO
CC
O
BO
LIVIA
MA
UR
ITIU
S
BR
AZ
IL
EGY
PT
CH
ILE
BO
TSW
AN
A
CO
LOM
BIA
ALG
ERIA
CO
STA
RIC
A
UN
ITED K
ING
DO
M
DO
MIN
ICA
N R
EPU
BLI
C
SWITZ
ERLA
ND
ECU
AD
OR
SWED
EN
EL S
ALV
AD
OR
SPAIN
GUA
TEM
ALA
PORTU
GA
L
HON
DURA
S
NO
RWAY
MEX
ICO
NETHERLA
NDS
NICA
RAGU
A
LUXEMBO
URG
PANA
MA
ITALY
PARA
GUAY
IRELAND
PERU
GREECE
URUG
UAY
GERMANY
BAHR
AIN
FRANCE
KUWAIT
FINLAND
OMAN
DENMARK
QATAR
CYPRUS
SAUDI ARAB
IA
BELGIUM
UNITED ARAB EMI
RATES
AUSTRIA
CANADA
NEW ZEALAND
UNITED STATES OF AMERICA
AUSTRALIA
2.0%
5.5%
7.1%
5.0%
4.1%
1.6%
3.0%
2.4%
2.0%
3.6%
5.5%
4.8%
3.5%
7.3%
8.0%
2.7%
5.0%
3.5%
3.4%
4.3%
2.0%
5.0%
3.5%
4.3%
7.2%
3.4%
2.0%
2.9%
5.0%
13.3%
7.6%
13.3%
4.0
%
39.4%
2.9%
4.9%
3.5%
4.4
%
7.8%
3.9%
4.0
%
4.6%
5.2%
3.4
%
1.9%
4.8%
1.5%
1.8%
2.0%
2.9%
1.0%
3.3%
1.6%
4.5%
2.2%
4.3%
2.8%
4.5%
2.9%
2.8%
1.6%
7.1%
2.0%
3.6%
1.7%
7.4%
2.5%
2.0%
1.3%
1.5%
1.8%
3.0%
2.4%
1.2%
3.0%
3.1%
2.6%
2.6%
2.5%
2.0%
2.0%
3.0%
2.0%
+
10
9
8
7
6
5
4
3
2
1
+
10
5
4
3
2
1
6
7
8
9
ALBANIA
BELARUS
VIETNAM
BULGARIA
THAILAND
CROATIA
TAIWAN, CHI
NA
CZECH REPUBLIC
SINGAPOR
E
ESTONIA
PHILIPPI
NES
HUNGARY
PAPUA
NEW GU
INEA
KAZAKHSTAN
PAKIS
TAN
LATVIA
MALA
YSIA
LITHUANIA
KORE
A
POLAND
JAPA
N
ROMANIA
INDO
NESI
A
RUSSIAN FEDERATION
INDI
A
SERBIA
HONG
KO
NG, C
HINA
SLOVA
KIA
CHIN
A
TURKEY
TUN
ISIA
UK
RAIN
E
SOU
TH A
FRIC
A
AR
GEN
TINA
MO
RO
CC
O
BO
LIVIA
MA
UR
ITIU
S
BR
AZ
IL
EGY
PT
CH
ILE
BO
TSW
AN
A
CO
LOM
BIA
ALG
ERIA
CO
STA
RIC
A
UN
ITED K
ING
DO
M
DO
MIN
ICA
N R
EPU
BLI
C
SWITZ
ERLA
ND
ECU
AD
OR
SWED
EN
EL S
ALV
AD
OR
SPAIN
GUA
TEM
ALA
PORTU
GA
L
HON
DURA
S
NO
RWAY
MEX
ICO
NETHERLA
NDS
NICA
RAGU
A
LUXEMBO
URG
PANA
MA
ITALY
PARA
GUAY
IRELAND
PERU
GREECE
URUG
UAY
GERMANY
BAHR
AIN
FRANCE
KUWAIT
FINLAND
OMAN
DENMARK
QATAR
CYPRUS
SAUDI ARAB
IA
BELGIUM
UNITED ARAB EMI
RATES
AUSTRIA
CANADA
NEW ZEALAND
UNITED STATES OF AMERICA
AUSTRALIA
2.4%
5.5%
7.2%
5.0%
4.4%
2.4%
3.2%
3.1%
3.0%
3.8%
5.8%
5.0%
3.5%
6.9%
8.2%
3.7%
5.0%
4.8%
3.9%
4.8%
2.0%
5.1%
5.0%
5.0%
7.8%
3.8%
2.6%
3.7%
5.0%
13.3%
7.6%
13.9%
4.8%
42.5%
2.9%
5.4%
3.8%
4.6%
9.6%
4.0
%
4.0
%
4.6%
6.0
%
3.4
%
2.3%
4.8%
1.5%
2.2%
2.0%
2.9%
1.5%
3.8%
2.2%
4.5%
2.3%
4.8%
3.0%
4.5%
3.0%
2.8%
2.1%
7.1%
2.5%
4.3%
2.0%
7.4%
2.5%
3.0%
1.7%
3.2%
2.0%
3.0%
2.5%
3.0%
3.0%
4.0%
2.6%
3.1%
2.5%
2.0%
2.4%
3.0%
2.3%
10% 10%
20% 20%
30% 30%
40% 40%
50% 50%
60% 60%
70% 70%
80% 80%
90% 90%
100% 100%%
16%
0%
10%
25%
7%
50%
5%
75%
5%
80%
3%85%
8%
90%
11%
95%
35%
100%0% 0%
% of all employees likely to receive increase
All
emp
loye
es
Data including organizations planning zero increases, at headline median values.
Data excluding organizations planning zero increases, at headline median values.
Making informed decisions about pay.How to use this data.
We are sharing this salary increase data to help you make better, more informed decisions about pay for 2021. But while the report’s data is an excellent place to start, it’s by no means the full story.
You should use this data alongside other efforts, thinking about business strategy, cost structure, and the employee base. And it is critical, given the sector-based impacts of the COVID-19 pandemic, that organizations evaluate decisions within the context of their specific talent markets and benchmark them against regional or country averages.
“The COVID-19 pandemic has brought unprecedented levels of uncertainty to all areas of our lives—and salaries are no exception. This year’s survey should provide organizations with much-needed clarity and enable them to gauge, in these difficult-to-read times, whether proposed changes to their reward programs are too cautious, too extreme, or just right,” says Don Lowman, Korn Ferry Global Leader, Rewards and Benefits.
Editors Notes.
• These are planned and not actual increases. The data is a moving target dependent on recovery.
• Regional averages exclude Argentina due to
particularly high inflation.
• Inflation figures from Economist Intelligence Unit, 4 November 2020.
• Figures correct at the time of data collection.
Including zero:
Excluding zero:
The percentage of organizations planning no salary increases for most of their employees is significantly higher than in previous years.
For companies choosing to award salary increases, these will be lower than previous years. And given the uncertain months ahead, actual increases could be lower than planned.
The differentiated impact of COVID-19 has resulted in a greater variation in planned salary increases with those companies and industries that were more negatively impacted opting not to provide annual increases.
Organizations planning increases to a portion of their workforce are targeting their limited funds at critical talent and functions.
Including zero:
Excluding zero:
Including zero:
Excluding zero:
Including zero:
Excluding zero:
Including zero:
Excluding zero:
Including zero:
Excluding zero:
Including zero:
Excluding zero:
Including zero:
Excluding zero:
2.5% 2.5%
1.
2.
3.4.
2.1% 2.3%
5.0% 5.4%
4.4% 4.8%
2.0% 2.4%
5.0% 5.5%
4.3% 4.4%
2.2% 3.2%
MARKET HIGHLIGHTS
COUNTRY SALARY INCREASE DATA
Trends from the 2021 global salary increase survey.More businesses are planning no raises for most employees.
The most significant shift in the anticipated salary increases for 2021 is that the percentage of organizations planning no salary increases for most of their employees is significantly higher than in previous years. A third of organizations are planning increases to 50% or fewer of their general employee population and more than three times as many organizations as last year are planning to skip increases altogether. Only 35% of survey participants said that 100% of employees will be eligible for increases in 2021. With the recent resurgence in COVID-19 cases across the globe resulting in an increase in government-imposed lockdowns, there is a possibility that even fewer employees will receive an increase.
To make the biggest impact with the limited funds available organizations need to target rewards at critical talent and the highest performers. Organizations we surveyed in our third global pulse survey in May told us that performance management was a top priority for them during the balance of the year and heading into 2021—and with good reason. If businesses are choosing to be more targeted in who they give salary increases to, rather than handing them out across the board, then it is critical that they can objectively identify the key functions and individuals who contribute to their success.
Headline increases are lower than in previous years.
For those organizations who are providing salary increases the headline figures are lower than this time last year. Expected salary increases are 2.5% for North America, 2.1% for Western Europe, and 2.0% for the Pacific, representing a decrease in year-on-year headline increases of 0.3%, 0.4% and 0.5% respectively. Last year, Eastern Europe’s expected salary increase was 6.2%, but this is down to 5.0% in the coming year. Africa has the largest year-on-year decrease, with a headline increase for the coming year of 5.0%, which is 2.9% lower than the previous year.
© Korn Ferry 2020 All rights reserved.
NON-CASH REWARDS MATTER MORE THAN EVER
COUNTRYHEADLINE INCREASE
DATA(INCLUDING ZERO)
HEADLINE INCREASE DATA
(EXCLUDING ZERO)
REAL INCREASE DATA (INCLUDING ZERO)
REAL INCREASE DATA (EXCLUDING ZERO)
Australia 2.0% 2.3% 0.6% 0.9%
Brazil 4.4% 4.6% 1.5% 1.7%
China 5.0% 5.0% 2.2% 2.2%
France 1.3% 1.7% -0.2% 0.2%
Netherlands 2.8% 3.0% 1.5% 1.7%
Singapore 2.0% 3.0% 1.1% 2.1%
Turkey 13.3% 13.3% 2.5% 2.5%
United Arab Emirates 2.6% 3.1% 1.6% 2.1%
United Kingdom 1.9% 2.3% 1.5% 1.9%
United Statesof America 3.0% 3.0% 1.5% 1.5%
REGIONAL SALARY INCREASE DATA
PERCENTAGE OF EMPLOYEES LIKELY TO RECEIVE SALARY
INCREASES GLOBALLY
GLOBAL SALARY SURVEY 2021
How the pandemic has made organizationsrethink pay increases.
We’ve combined annual compensation survey data and recent rewards and benefits pulse surveys to provide anticipated salary increases for 2021.
A number of organizations are not planning to provide salary increases in 2021. We have provided the data both including these ‘zero increase’
organizations, and excluding them.
All country salary values are the median increases presented at headline values—which include inflation—unless otherwise stated.
NORTH AMERICA
WESTERN EUROPE
EASTERN EUROPE
ASIA
PACIFIC
AFRICA
LATIN AMERICA
MIDDLE EAST
The results of this survey show that as salary increases stall, employers will need to get
creative about non-cash rewards to retain and engage employees. To find out what creative
approaches you can be taking, contact us here.
The data shows four key trends impacting pay in the coming year:
Data presented at headline (including inflation) and real (excluding inflation) values, both
including and excluding organizations planning zero salary increases.
Including zero:
Excluding zero:
Headline increases including organizations not planning an increase.
Headline increases excluding organizations not planning an increase.
Only 35% of survey participants said that 100% of employees will be eligible for increases.
A third of organizations are planning increases to 50% or fewer of their employees, and more than three times as many organizations as last year are planning to skip increases altogether.
https://www.kornferry.com/contact?utm_source=outreach&utm_medium=nurture&utm_term=link&utm_content=infographic&utm_campaign=20-11-gbl-rewards-optimization
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