Companies around the world will see salary increases rise or at least stabilize in 2010, along with continued popularity of variable pay plans, according to a recent survey by Hewitt Associates of 6,000 large organizations in 46 countries. More than 80% of companies worldwide are offering variable pay plans in 2010.
Select data on 2010 projected salary increases and variable pay budgets (as % of payroll) from the Hewitt results:
North America
Average 2010 variable pay spending as % of payroll in the United States is projected to be 11.8%; in Canada 9.6%.
Projected 2010 salary increase budgets...
United States: 2.7%
Canada: 2.8%
Asia Pacific
87% of companies in the Asia Pacific region offer variable pay plans; average 2010 variable pay spending as a % of payroll is projected to be 13.0%.
Projected 2010 salary increase budgets...
China: 6.8%
Japan: 2.1%
Indonesia: 8.8%
India: 9.7%
Europe
91% of companies in Europe offer variable pay plans; average 2010 variable pay spending as a % of payroll is projected to be 12.5%.
Projected 2010 salary increase budgets...
Italy: 3.3%
Switzerland: 1.9%
Czech Republic: 3.0%
Turkey: 6.8%
Latin America
91% of companies in Latin America offer variable pay plans; average 2010 variable pay spending as a % of payroll is projected to be 17.5%.
Projected 2010 salary increase budgets...
Brazil: 5.7%
Argentina: 15.2%
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