Besides discussions on “subsistence wage,” wage rise in the private sector is an issue of concern. According to studies of consulting firms, the wage rise in 2016 will be 8 percent, which is almost equivalent to the annual inflation rate.
A consulting firm, Korn Ferry Hay Group, predicts the rise as 9 percent. According to a study by Hay Group on 51 different sectors in Turkey, the software sector takes the lead with a 10 percent increase.
The metal and automobile sub-industry follow with the second highest wage increase, while the lowest salary increase will be the in investment sector with 7.3 percent.
Based on this study, Turkey will be the first country to increase wages, after Ukraine.
However, it should be taken into consideration that the inflation rate in Turkey is high. So, this increase will not reflect. The real wage increase in Turkey in 2016 is expected to be 0.6 percent.
Another study on wage increase was conducted by Tower Watson. In 2016, private sector employees will get a wage increase between 7.2 percent and 9 percent, which means average 8 percent increase, however, the expected inflation rate in Turkey is 7.2 percent, according to the results of the Tower Watson study.
Meanwhile, Turkey ranks eighth in world wage increase, while Venezuela holds the top position with 56 percent. However, when predicted inflation of 122.6 percent is taken into account, employees in Venezuela can expect real wage cuts of 52.6 percent.
The highest real wage increases are foreseen in Lebanon (11.5 percent), Vietnam (7.3 percent), China (6.3 percent) and Thailand (6.1 percent).
