Inflation
Inflation plays a big part in real wage increasesGetty

Wages in Asia will see the biggest surge in 2016 as the whole world is expected to get a pay rise. Advisory firm Korn Ferry Hay Group forecasts in its salary report that average pay is set to rise by 2.5% in 2016.

The global salary increase is the biggest since 2013 and takes in account low inflation. In Vietnam, a wage hike of more than 7% is expected on average, leading the world, with Asia overall seeing the highest increases.

UK workers are expected to get a 2.3% real pay rise as employers have to pay the new living wage from 1 January 2016.

China and the Dominic Republic follow Vietnam, while Venezuela is the heavyweight dragging down the global average with a huge drop of over 50% in real wages. In Europe, wages are set to increase 2.8%, but real wages will only rise by 2.3% because of 0.5% inflation.

"Asia continues to drive growth in wages globally as companies look set to increase wages," Hay Group executive Philip Spriet said. "However, the global labour market is in flux as the ageing workforce in advanced economies begins to take hold."

Despite the growth slowdown in emerging economies, many of which are Asian, the biggest surge is still there. However, inflation plays a major role. The BRIC countries are clearly divided, erasing any significant pattern for emerging countries.

Although both China and India's average wages are set to increase, Brazilian and Russian wages are among those experiencing the biggest downturn. Especially in Russia, this is linked to high inflation.

"In emerging economies, upskilling workers is crucial for companies to maintain competitive advantage and those skilled employees can expect to see wages rise as talent shortages in certain regions drives salaries up," Spriet said.

Argentina's salaries are expected to rise by 31%, but people will not be able to buy much more as inflation will increase by 27%. In both Venezuela and Ukraine, the heavy inflation plays a very significant part in offsetting the real wage increase.

Below are the countries and their perspective salary movement listed, based on data provided by Korn Ferry Hay Group.

Region Country 2016 Salary Forecast 2016 inflation forecast
'Real' increase 2015 Salary Forecast
Africa Algeria 6.0% 5.1% 0.9% 6.6%
Latin America Argentina 31.0% 27.4% 3.6% 32.5%
Pacific Australia 2.5% 1.9% 0.6% 3.0%
Europe Austria 3.0% 1.0% 2.0% 2.7%
Middle East Bahrain 4.5% 1.8% 2.7% 5.0%
Europe Belgium 1.7% 0.5% 1.2% 2.0%
Africa Botswana 6.0% 3.2% 2.8% n/a
Latin America Brazil 7.7% 8.9% -1.2% 6.1%
Europe Bulgaria 4.0% 0.1% 3.9% 4.2%
North America Canada 2.6% 1.3% 1.3% 2.6%
Latin America Chile 5.0% 4.4% 0.6% 5.0%
Asia China 8.0% 1.7% 6.3% 8.0%
Latin America Colombia 4.7% 4.4% 0.3% 3.5%
Latin America Costa Rica 5.5% 1.4% 4.1% 6.0%
Europe Cyprus 1.8% -0.5% 2.3% 0.0%
Europe Czech Republic 2.0% 0.5% 1.5% 2.0%
Europe Denmark 2.2% 0.6% 1.6% 2.5%
Latin America Dominican Republic 6.2% 0.8% 5.4% 6.0%
Latin America Ecuador 5.3% 4.2% 1.1% n/a
Africa Egypt 10.0% 10.4% -0.4% 10.0%
Latin America El Salvador 3.9% 0.2% 3.7% 4.1%
Europe Estonia 3.0% 0.1% 2.9% 2.8%
Europe Finland 1.0% 0.0% 1.0% 1.0%
Europe France 1.9% 0.2% 1.7% 2.0%
Europe Germany 2.9% 0.2% 2.7% 2.8%
Europe Greece 2.0% -1.4% 3.4% 1.3%
Latin America Guatemala 5.1% 2.3% 2.8% 5.4%
Latin America Honduras 6.4% 4.2% 2.2% 5.5%
Asia Hong Kong 4.5% 3.1% 1.4% 4.0%
Europe Hungary 3.0% 0.6% 2.4% 3.0%
Asia India 10.3% 5.6% 4.7% 10.5%
Asia Indonesia 9.1% 6.7% 2.4% 10.0%
Europe Ireland 2.0% -0.2% 2.2% 1.4%
Europe Italy 2.5% 0.4% 2.1% 2.7%
Asia Japan 2.0% 1.0% 1.0% 2.0%
Middle East Jordan 5.0% -0.3% 5.3% 6.0%
Europe Kazakhstan 7.4% 5.8% 1.6% 7.8%
Asia Korea 5.0% 0.7% 4.3% 5.0%
Middle East Kuwait 5.0% 3.4% 1.6% 5.0%
Europe Latvia 3.7% 0.7% 3.0% 2.4%
Middle East Lebanon 9.3% -2.2% 11.5% 6.7%
Europe Lithuania 4.0% -1.0% 5.0% 3.3%
Europe Luxembourg 2.9% 0.1% 2.8% 3.2%
Asia Malaysia 6.0% 2.1% 3.9% 6.4%
Latin America Mexico 4.6% 2.7% 1.9% 4.8%
Africa Morocco 3.6% 1.5% 2.1% 4.5%
Europe Netherlands 2.5% 0.3% 2.2% 2.3%
Pacific New Zealand 3.0% 0.7% 2.3% 3.0%
Latin America Nicaragua 6.0% 4.4% 1.6% 6.1%
Europe Norway 2.6% 1.7% 0.9% 3.2%
Middle East Oman 4.0% 0.9% 3.1% 5.5%
Latin America Panama 4.9% 0.7% 4.2% 5.4%
Latin America Peru 5.0% 3.6% 1.4% 5.5%
Asia Philippines 7.0% 1.8% 5.2% 7.5%
Europe Poland 2.6% -0.8% 3.4% 3.0%
Europe Portugal 1.3% 0.9% 0.4% 1.0%
Middle East Qatar 5.0% 2.1% 2.9% 5.0%
Europe Romania 4.8% -0.6% 5.4% 4.6%
Europe Russian Federation 7.0% 14.5% -7.5% 6.8%
Middle East Saudi Arabia 5.0% 2.4% 2.6% 5.0%
Asia Singapore 4.0% 0.3% 3.7% 4.4%
Europe Slovakia 2.5% -0.3% 2.8% 2.0%
Africa South Africa 6.9% 4.8% 2.1% 6.2%
Europe Spain 1.8% -0.4% 2.2% 1.1%
Europe Sweden 2.4% 0.1% 2.3% 2.3%
Europe Switzerland 1.4% -1.1% 2.5% 1.4%
Asia Thailand 6.0% -0.1% 6.1% 6.0%
Africa Tunisia 6.8% 4.9% 1.9% 7.0%
Europe Turkey 8.0% 7.4% 0.6% 9.0%
Europe Ukraine 11.5% 48.3% -36.8% 6.8%
Middle East United Arab Emirates 5.0% 4.1% 0.9% 5.0%
Europe United Kingdom 2.5% 0.2% 2.3% 2.5%
North America United States of America 3.0% 0.3% 2.7% 3.0%
Latin America Venezuela 70.0% 122.6% -52.6% 40.3%
Asia Vietnam 8.6% 1.3% 7.3% 11.4%