Mercer, a business of Marsh & McLennan Companies Inc. $(MMC)$, has released its 2026 Total Remuneration Survey, revealing that the average employee salary in China is projected to increase by 4.0% in 2026, up from 3.8% in 2025. The survey, covering 4,000 companies, indicates a cautious but optimistic outlook, with 91% of companies planning salary increases. First-tier cities expect salary growth between 4.0% and 4.3%, while some second-tier cities anticipate slightly lower increases. The high-tech sector leads with a projected 4.9% increase, followed by petroleum, life sciences, and chemicals. Companies are also expanding flexible benefits, reflecting a shift toward high-quality, innovation-led growth and a focus on technical expertise and specialized skills.