Accenture, one of the largest global professional services companies, has announced Accenture Salary Hikes for 2024 for its employees across all levels for the fiscal year 2024. Let’s take a closer look at the key details of Accenture’s compensation review and new salary structure.
Higher Increments Across the Board
Accenture has proposed average increments of 10-15% for most of its employees in India for 2024. Some of the key increments announced are:
- Freshers & Analysts: 15-20%
- Associates: 12-15%
- Delivery Managers: 10-12%
-Senior Managers: 8-10%
-Directors: 6-8%
-Partners: 5-7%
Compared to the average 10% hike last year, the increments are higher this time to retain talent amid high attrition. Junior employees are getting the maximum hikes to attract new recruits.
Tiered Increments Based on Performance
For the first time, Accenture is introducing a tiered approach where increments will vary based on an employee’s performance rating:
- Top Performers (Rating 9-10): Eligible for higher end of increment range
- Good Performers (Rating 7-8): Median increment
-Average & Below (Rating 5-6): Lower end increment
This aims to reward top billers who drive maximum business value. Those coasting or underperforming may get lower or nil increments in Accenture Salary Hikes for 2024.
Higher Stocks for High Potentials
Accenture will also grant Restricted Share Units (RSUs) to about 2000 top performers this year. Earlier, stocks were only given to senior managers.
The number of RSUs granted will be 2-4 times the annual cost-to-company based on criticality, potential and past performance. Vesting will be 25% each year over 4 years.
This will help retain critical talent, especially tech experts in short supply. It also aligns top performers to company growth over the long term.
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Additional Increments for Transitions
Employees transitioning to higher roles either through promotion or lateral move will be eligible for additional increments up to 15% on the promotion date apart from annual increments. For example:
- Associate to Senior Associate promotion: 10% immediate jump
-Manager to Director promotion: 15% immediate increment
This aims to monetarily reward and motivate employees taking on larger responsibilities through role transitions.
Higher Increments for Critical Skills
Given the current talent crunch, Accenture is also providing market adjustments and higher salary packages for skills in high demand. Examples:
- Data Scientists & Cloud Experts: 20-30% hikes
-Security, AI/ML Experts: 15-25% hikes
-Project Managers: 10-15% hikes
The increments are calibrated to match rising market salaries for these niche roles and retain such critical talent.
Better Allowances and Benefits
In addition to higher pays, Accenture is also enhancing some of the allowances:
- City Compensatory Allowance doubled for metros
- Children Education allowance raised by 25%
- Medical insurance cover increased to Rs.5 lakhs
- 50% hike in food coupons and conveyance allowances
The refreshed benefits package aims to improve cost of living support for employees in Accenture Salary Hikes for 2024.
New Competency-based Structure
Accenture is introducing a more nuanced competency-based structure from 2024 to determine increments more accurately:
- Technical/Functional skills
- Leadership attributes
- Culture fit parameters
-Business impact metrics
The appraisals will assess employees across these dimensions to decide hikes rather than just years of experience. This aims for a more merit-based, equitable approach.
Higher Salary Budget Allocation
To fund this revised compensation structure, Accenture’s total salary budget for India has been increased to a whopping Rs. 3000 crores – a 25% jump over last year.
This signals the company’s strong commitment to competitive people investments and retaining top talent through attractive packages.
Implementation and Roll-out Plan
The policy will be implemented in a phased manner:
- Appraisals ongoing till March across projects
- Increments effective from April payroll
- RSU allocation process by September
- Options will vest as per the grant letters
- Salary structures enhanced in HR systems
Accenture will also organize series of townhalls and one-on-one discussions to ensure smooth announcement and address employee queries.
Dedicated implementation teams are assigned across locations for effective operationalization. The new policy aims to positively impact over 1,50,000 employees in India.
Impact and Analysis
With above-market increments, performance-linked tiered hikes, stocks for top performers and upgraded benefits, Accenture’s revamped pay policy is well-calibrated to meet current talent market demands.
Accenture Salary Hikes for 2024
The enhanced salary budget also underscores management’s vision of making Accenture an ‘Employer of Choice’ amid the ongoing Great Resignation. It establishes the company as a leader offering competitive compensation.
While the new structure brings more transparency, it also puts pressure on consistent high performance. On the whole, it has the potential to strengthen employee engagement and organizational productivity over the long term.
With technology dominating every industry, talent wars have intensified. Accenture’s progressive compensation package for 2024 aims to gain an edge in this landscape.
By focusing on meritocracy, market-relevant wages, long-term wealth creation and perks, the policy holistically enhances employee value proposition.