Nearly 60 Percent of Indian Professionals Report Mismatch Between Job Titles and Compensation: Indeed Report

A recent quarterly hiring tracker report by Indeed reveals that nearly 60 percent of professionals in India feel their job titles do not reflect their pay. Around 80 percent of surveyed employees noted that inflated designations have become common across industries, often used by organizations as a talent retention tool when salary budgets are constrained.

A significant percentage of professionals in India feel there is a mismatch between their job titles and compensation, highlighting a growing disconnect between recognition and rewards in workplaces, according to a report released on Tuesday.

The findings are part of Indeed's quarterly hiring tracker report, which is based on inputs from 1,211 employers and 2,533 employees across India. The survey was conducted by Valuvox on behalf of Indeed in May and June 2026.

According to the report, nearly 6 in 10 professionals stated that their job title does not reflect their compensation. Furthermore, nearly 80 per cent of employees interviewed believe that inflated job titles have become common across industries, noting that colleagues are frequently receiving more senior-sounding titles without a matching increase in pay.

Highlighting the impact of this trend, the report revealed that nearly 1 in 3 employees who received a title change over the past two years experienced either no salary increase or an increment of less than 5 per cent.

Despite this disconnect, professionals are not dismissing titles altogether. The report showed that 70 per cent of respondents believe their designation plays an important role in shaping future career opportunities, while almost 73 per cent feel a stronger title improves how potential employers perceive them. Additionally, 57 per cent stated that their designation has a significant impact on their overall job satisfaction.

When considering new opportunities, compensation continues to define career value for a majority of the workforce. The report found that 52 per cent of professionals would choose a higher salary over a better designation.

On the employer side, 57 per cent of surveyed organisations admitted to using senior-sounding or enhanced job titles to attract or retain talent. The report indicated that for many businesses, designations have become an increasingly important tool to attract candidates, retain high-performing employees, and recognise growth, particularly during periods when salary budgets remain constrained.

Commenting on the findings, Indeed India Managing Director Sashi Kumar said, "A job title has always carried professional identity. Titles remain meaningful because they signal opportunity and capability, but they are most effective when they reflect genuine career progression rather than becoming a substitute for it. Building that alignment will be increasingly important for organisations looking to attract and retain talent in a competitive market."

"The trend of using inflated job titles as a substitute for financial compensation points to tighter salary budgets within certain corporate structures. While designations can serve as a short-term lever to attract or retain talent, organizations must recognize that long-term employee retention relies heavily on fair and equitable monetary rewards. When career progression and title upgrades are consistently disconnected from actual financial growth, it can eventually lead to employee dissatisfaction and higher attrition rates in a competitive market." — Dr. Shishir Gupta, Founder & CEO, StartupLanes