MEI sector salary jumps 9.4 pc in FY27: Report
New Delhi, July 28
India's Manufacturing, Engineering and Infrastructure sector is expected to see salary increments rise to 9.4 per cent in FY27, up from 7.9 per cent in previous year, driven by a recovery in project activity, semiconductor expansion and Industry 4.0 capabilities rollouts, a report said on Tuesday.
The report from TeamLease Services said Project Engineers are expected to lead projected salary increments with 10.7 per cent growth, followed by EHS Officers and Site Engineers at 10.1 per cent each, while Mechanical Design Engineers are expected to see 9.9 per cent increases.
The report highlighted that engineering roles are emerging as the strongest salary growth engines within the sector.
At a functional level, it leads salary growth in the MEI sector at 9.9 per cent, closely followed by IT at 9.8 per cent and Finance at 9.5 per cent. This reflects the changing nature of industrial operations, where technical execution is increasingly supported by digital systems, automation and stronger cost discipline.
At regional level, Gurgaon and Coimbatore topped the list with salary growth of 10.9 per cent and 10.8 per cent respectively, while Hyderabad and Pune recorded 10.1 per cent increments and Vadodara stood at 9.9 per cent.
"The concentration of salary growth across these cities reflects the continued importance of industrial clusters, manufacturing ecosystems and engineering-led expansion," the report said.
As manufacturing and infrastructure projects become more complex, organisations are placing greater value on specialised capabilities that combine technical expertise with execution discipline.
The demand for project engineers, EHS professionals, site engineers and mechanical design talent reflect the growing importance of delivering projects efficiently, safely and at scale.
Balasubramanian A, Senior Vice President, TeamLease Services, said that the premium is increasingly shifting towards professionals who can translate capital investments into operational outcomes, whether on the factory floor, at the project site or through digitally enabled engineering systems.
"As industrial expansion deepens, organisations that invest in specialised engineering and execution capabilities will be better positioned to build long-term competitiveness," he added.
— IANS
Reader Comments
Great to see Coimbatore and Gurgaon leading the salary growth charts. Coimbatore is becoming a real manufacturing hub with all the engineering colleges nearby. Finally the Make in India push is showing results on ground level for workers.
As someone who works in the MEI sector, I'd say the 9.4% bump is welcome but the distribution matters more. Companies need to ensure site engineers and EHS officers—who work in toughest conditions—actually see these numbers. Too often the hike is watered down by different levels.
Interesting that IT roles within MEI sector are growing at 9.8%. Shows Industry 4.0 is real—all the automation and digital twins need skilled folks. But salaries in semi-conductor expansion roles? That's where India should focus if we want to compete globally.
One point often missed: salary growth in tier-2 cities like Vadodara and Coimbatore is crucial for balanced regional development. Hopefully this means more jobs near home for engineering graduates rather than everyone rushing to Bangalore or Mumbai.
Good data but the report only covers organised sector. What about the thousands of contract workers and SMEs who are the backbone of India's manufacturing? Real improvement only when salaries rise at the bottom of pyramid, not just for project engineers.
A We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.