BRUSSELS, August 19, 2021 — Employers in Belgium plan to give their staff an average annual pay rise of 2.7% in 2022, amidst signs of strength in the labour market following the turmoil of the global pandemic, research by Willis Towers Watson revealed today.
The rise is an improvement on the 2.3% average increase paid this year and, with inflation forecast at 1.3% in 2022, gives 1.4% real terms rise.
377 Belgian firms took part in the authoritative global study about salary budgets and recruitment by Willis Towers Watson (NASDAQ: WLTW), a leading global advisory, broking, and solutions company.
Some industries plan to be more generous than others. Average rises in 2022 are set to be higher in medtech (3.1% rise), chemicals (3.0%), high tech (2.9%) and Automotive (2.9%) sectors. Workers in financial services (2.3) and business & technical consulting (2.4%) are due to fare less well.
In 2021, Belgium businesses fought to motivate and retain the best talent by paying top performers a pay rise that was 2.3 times greater than that given to those getting average performance ratings.
Angel Hoover, Head of Willis Towers Watson Benelux, said: “After a serious period of difficulty for employers and employees, our research has confirmed improvements in pay rises in parallel to the economic recovery related to the recession of the COVID threat. Some industries are faring better than others, but overall optimism is strong, and many employers are focusing on a balanced work and reward strategy to manage their business and protect and sustain the wellbeing of employees - almost every company’s greatest asset.”
The study revealed clear signs of optimism and recovery among employers. Over half (54%) of Belgium firms said their business outlook is ‘ahead’ or ‘well ahead’ of where they thought it would be, while just 2.8% said it was below expectations.
And nearly 27% plan to recruit more staff in the coming 12 months, while 8% expect to cut headcount. Over half (54%) of firms said they are trying to fill roles in sales, while technical skilled trades (37%) and engineering (46%) are also hotspots. The least active recruitment areas are in finance (3%), HR (6%), and marketing (18%).
“The job market looks optimistic and business outlook is better than many expected. Businesses are keen to fill roles in sales and product creation. Support roles like HR and finance are less active at this moment, but that is likely to change as the recovery continues,” said Hoover.
Willis Towers Watson (NASDAQ: WLTW) is a leading global advisory, broking and solutions company that helps clients around the world turn risk into a path for growth. With roots dating to 1828, Willis Towers Watson has 45,000 employees serving more than 140 countries and markets.
We design and deliver solutions that manage risk, optimize benefits, cultivate talent, and expand the power of capital to protect and strengthen institutions and individuals.
Our unique perspective allows us to see the critical intersections between talent, assets and ideas — the dynamic formula that drives business performance.
Together, we unlock potential.
