Who could get the biggest salary hike in 2027? These 5 sectors lead as AI reshapes jobs

If you are hoping for a bigger pay cheque next year, your industry could make all the difference. As AI reshapes jobs and the skills employers value, some sectors are better placed to reward employees than others.

In Short

• India's salaries to rise 9.1% in 2027, varying by sector
• NBFCs lead with 10.1% average hike, highest among sectors, says report
• AI skills and upskilling key amid steady salary growth and rising attrition

If you are hoping for a better salary next year, the sector you work in could make a difference. Salaries in India are projected to rise by 9.1% in 2027, but not everyone may get the same pay hike. Some sectors are expected to offer increases of more than 9.5%, while others are likely to see more modest growth.

According to Aon's Annual Salary Increase and Turnover Survey for India 2026-27, salary increases are expected to remain largely stable next year, rising slightly from the actual 9% increase in 2026. The survey analysed data from more than 1,200 organisations across 45 industries.

The findings come at a time when employers are trying to balance salary budgets with rising costs, competition for skilled employees and the growing use of artificial intelligence (AI) at work. So, which sectors are likely to lead salary growth in 2027?

NBFCs LEAD THE SALARY HIKE RACE

Employees working in non-banking financial companies (NBFCs) could see the biggest salary increases next year. The sector is projected to offer an average hike of 10.1% in 2027, up from 9.6% in 2026.

NBFCs provide financial services such as personal loans, vehicle finance and business loans, often serving customers who may not be fully covered by traditional banks. As lending and other financial services evolve, companies need employees who can combine financial knowledge with an understanding of customers, technology and risk.

The projected increase also puts NBFCs ahead of other sectors in Aon's salary hike estimates for 2027. However, the figure is an industry average and does not mean every employee will receive a 10.1% raise.

ENERGY SECTOR SET FOR A STRONGER YEAR

The energy sector is expected to record the second-highest salary increase, at 9.9% in 2027, compared with 9.7% in 2026.

The sector covers businesses across oil, gas and power. As energy companies respond to changing demand, invest in infrastructure and adopt new technologies, the need for specialised skills remains important.

The projected increase suggests that salary budgets in the sector could strengthen slightly next year, even as employers remain mindful of costs.

REAL ESTATE, INFRASTRUCTURE REMAIN AMONG THE TOP PAYMASTERS

Real estate and infrastructure companies are projected to offer salary hikes of 9.8% in 2027. However, this would be lower than the 10.3% increase recorded in 2026.

Despite the expected moderation, the sector remains among the top three in Aon's salary projections for next year.

The sector includes businesses involved in property development and infrastructure projects. Employees with skills in project management, engineering, planning and related areas may be important to companies managing complex projects. However, individual pay increases will depend on employers' budgets, roles and performance.

Life sciences companies are projected to increase salaries by 9.6% in 2027, slightly higher than the 9.5% increase in 2026.

The sector includes businesses involved in areas such as pharmaceuticals, biotechnology and related scientific research. Specialised knowledge and technical expertise can be important in these fields, making the availability of skilled employees a key consideration for employers.

The projected increase places life sciences among the sectors expected to offer higher salary hikes next year.

Funds and asset management companies are also expected to offer average salary increases of 9.6% in 2027, compared with 9.4% in 2026.

The sector covers businesses that manage investments and financial assets for individuals and institutions. Employees with expertise in investment analysis, portfolio management, risk assessment and data are important to these businesses.

With employers increasingly looking at how technology can support decision-making and improve productivity, specialised financial and analytical skills could remain valuable. Aon's projections, however, do not guarantee higher raises for every role within the sector.

Where do technology, banking and other sectors stand?

While AI is changing the way businesses operate, the salary outlook for technology employees is far from uniform.

Technology platform and product companies are projected to offer an average increase of 9.5% in 2027, unchanged from 2026. Technology consulting and services companies, on the other hand, are expected to offer a more modest 6.6% hike, also unchanged from this year.

The difference highlights how salary trends can vary even within the same broad industry. Companies may have different budgets and talent requirements depending on their business models and the skills they need.

Global capability centres (GCCs) are projected to offer a 9.4% increase, up from 9.3% in 2026. Wealth management companies are also expected to raise salaries by 9.4%, compared with 9.2% this year.

Retail salaries are projected to rise by 9.4%, up from 8.9% in 2026. Fast-moving consumer goods companies are expected to offer a 9.1% increase, compared with 9% this year.

Automotive and vehicle manufacturing companies are projected to offer a 9.5% hike, slightly lower than the 9.7% increase in 2026. Engineering design services are also expected to see salary growth moderate from 9.6% to 9.5%, while engineering and manufacturing companies are projected to offer a 9.3% increase, down from 9.5%.

Banking salaries are expected to rise by 8.5%, compared with 8.6% in 2026. Life insurance companies are projected to increase salaries by 8.4%, up from 8.3%, while chemical companies are expected to see a slight moderation from 8.1% to 8%.

Overall, the figures suggest that salary growth will remain relatively steady across much of corporate India, with some sectors likely to do better than others.

Salary budgets are only part of the picture. Employers are also changing the way they hire, train and retain employees as AI becomes more common in everyday work.

According to Aon, the adoption of AI productivity tools rose from 46.1% in 2025 to 56% in 2026. Around 60% of employers are prioritising employee upskilling, while demand for AI-related capabilities continues to grow.

The survey also found that talent premiums for roles in AI, machine learning and data science increased by approximately 10% from 2025.

This points to a growing focus on skills that can help businesses use AI effectively. For employees, learning new tools and building relevant technical or analytical skills could improve their position in the job market. However, the survey does not suggest that all employees working with AI will automatically receive higher salary increases.

Rising attrition keeps employers on their toes

Even as salary budgets remain stable, retaining employees continues to be a challenge.

Aon's survey found that overall attrition rose to 18% in 2026, compared with 16.2% in 2025 and 17.1% in 2024. The increase suggests that competition for talent remains strong.

For employers, this creates a balancing act. They need to control costs while ensuring that employees with critical skills do not leave for better opportunities. This could explain why companies are increasingly focusing on targeted pay adjustments rather than simply increasing salaries across the board.

The survey also examined the impact of the new Wage Code on payroll costs. While 65.4% of employers said they were already compliant and another 20.9% expected to be ready within six months, 42.8% anticipated payroll cost increases of at least 1%.

Meanwhile, for employees planning their next career move, the salary projections offer a useful indication of where pay budgets could be stronger in 2027. NBFCs, energy, real estate and infrastructure, life sciences, and funds and asset management lead Aon's estimates.

But a higher industry average does not automatically translate into a bigger raise for every employee. Individual increases will depend on factors such as performance, experience, job responsibilities, skills and the company's financial position.

As AI changes the skills businesses need, employees may also have to look beyond annual appraisals. Building relevant skills, adapting to new technology and demonstrating the value they bring to an organisation could become increasingly important in determining their pay growth.

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