Average Salary in India 2020

Average Salary in India 2020


India is a developing country so the average income of the mass population greatly differs from other developed countries. It is one of the few developing countries where salary has increased tremendously in recent years and has a lot of potentials.

Let’s see some of the Income Structure of First, Second, and Third World Countries.


Sr. No




First World Country









United States



United Kingdom









Second World Countries


















Third World Countries












The average salary in India depends from 295-300 $. It has ranked at 72nd position among 106 countries in terms of average wage per month. Compared to other developed nations average salary is quite low but as the standard of living is low and cheap so it is manageable. Daily needs item like the household item and average rent is quite low as compared to other countries. Transportation is cheap in India.

Salaries in Big Metropolitan (Delhi, Mumbai, Kolkata, Chennai) cities are higher than those of Mid-level cities. The cost of living is high in these Metropolitan cities as compared to smaller cities.

However, if you compare these Metropolitan cities with other global cities like New-York and London, it is quite cheap.

Education is also cheap in our country as compared with other Western Countries (especially the US). So people with a medium salary can survive in our country

Salary 2

In recent times growth in the Private Sector has been tremendous. Nowadays Private companies are providing more salary as compared to Government Jobs. People are now attracted to Private jobs for better Salaries and opportunity. Especially post-liberalization this trend has increased. Many Multinationals have come to India and providing million of Jobs to Indians. However, compared to the Private sector, salary in the Government sector has nearly stalled. The government is outsourcing jobs to many private companies on a contract basis.

The government is emphasizing more on Skill development and entrepreneur development. They are providing loans to SMEs. It is expected that SMEs will provide a very important role in Job creation and helping our economy. Many youths (in the village) are already employed in these SMEs and earning a decent income.

Qatar (2.42 lakh) tops the list when it comes to the highest average salary in Asia followed by UAE and Japan. Qatar and UAE have oil and tourism business which brings foreign revenue to them while Japan is a highly industrialized county which depends on it’s a high-class product which is very much in demand globally.

Salary can be divided on Your skills and your experience. Below are some of the Profession which enjoys comparatively large salary as compared to another sector. It is normally seen that Service sector has comparatively higher salaries as compared to other sectors like Agriculture or Manufacturing.

  • Commercial Pilot
  • Software Engineer
  • Doctor
  • Management Graduate
  • HR Manager
  • Civil Engineer
  • Class 1 Government Officer

However, the above professional has a very low salary if you compared with the same professional of First World country. Like there is an average salary in the US is at least 10 times more than that of India. The average salary of a Software Engineer is about 500k – 700k annually while with the same skill and experience he can earn up to 5000k-7000k annually in the USA. But the cost of living in the US is much more than that of India so this high salary is easily adjusted with the cost of living and a high standard of life.


  • As India is a developing country as an average salary is very less as compared to that of Western countries, big Multinational tends to shift their offices and factories to India.
  • They get benefitted by our skilled labor at much competitive price and high quality.
  • As jobs are outsourced from overseas we get foreign exchange which is very crucial for our economy.
  • Unemployment has been reduced to a large extent and the private sector has played a large role in giving employment to the people.

Salary Inequality

  • Salary inequality is one of the major problems in our country.
  • In rural India, people earn as low as 2$ a day which is a deep concern.
  • The top class especially in cities enjoys a very high salary with all benefits compared to mid-level cities.
  • Due to lack of employment and skill, even people with technical degrees like B.Tech/MBA are forced to work at a low salary.
  • Normally it is seen that people with less experience have less salary and it grows steady with experience.

How to Increase Your salary

It is seen that skill always adds to your salary. Companies are ready to pay any amount to a suitably skilled person. Many companies find it very difficult to hire skilled resources as a result many seats go vacant. However, they also spend millions to train their resource. In recent times it is seen that knowledge of IT skill has become very important. Some basic concept of computer is always advantageous to your career. Learning some computer language like C, Java, HTML will always give you advantages over your peer.

Nowadays even government jobs also require computer knowledge. To overcome this problem Government has opened many ITIs (for Industrial training) and helping people with various programs.

Many private sectors are giving training in various sectors and helping people to get skilled in various sectors.

For example, for Software Engineer it is very much required to upgrade himself. Everyday new technology is coming into the market. So it becomes very essential for him to get updated. Even in companies Technology changes in five to six-year. So learning new technology will always give an edge over other peers.

It is seen that a person with new skill likely to get a job easier with good package compares to person with old or no skill. A skilled person is demanded in International Market also.

Effect of New Technology on Market

It is predicted that Automation will eat millions of Jobs in the coming future. Therefore it will have the very worst effect on people’s income and Job Market. So companies have started training their resource from now only.

Robots are going to take a large number of jobs in the Manufacturing Sector. Many companies have already started using Robots (Automobile companies like Tesla are using robots extensively). Robot operator has a lot of demand in the manufacturing sector with a very good salary. So a person with this skill has a lot of chances to get a job in the manufacturing sector with a good package.

This is the same for other sectors also.

Post-Corona Situation

Corona has changed the Job Market in many ways. This has caused Mega loss to the economy but also has led to a new opportunity. This has started a new “WORK FROM HOME” culture. Many companies (especially IT Companies) have given Work From Home to their employee. This way Companies are saving their Cost and their productivity has also increased.

People are doing work from their native place. The cost-benefit of the company will ultimately be shared by companies in terms of a higher salary. As the cost for running a business has decreased, companies tend to hike employee salaries.

Current and Future Situation

It is expected that 2020 may not be very good in terms of Jobs or Salary hike but the condition would be better in 2021. There will be more opportunities in 2021. Due to the change in Government policy some sectors like IT, Manufacturing, Pharmaceutical will perform well.

18 thoughts on “Average Salary in India 2020

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