Yesterday, Mercer said its survey of 625 companies spread across 11 key sectors found that companies here are offering employees an average of 3.7 per cent salary increase this year. Increased demand and the need to retain key talent would lead to an even higher 4.4 per cent increase in pay packets next year, it added.
However, there is a concern among HR experts that the wage growth might not be matched by a corresponding increase in productivity levels - making it unsustainable over the longer term.
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