According to a new report, the Indian job market is expected to grow modestly during the coming year after remaining mostly flat in the current year.

It is estimated that the pay hikes may range between 10 and 15 per cent in the country during 2013. The public sector might be the key sector to large scale hiring in the country while other sectors like technology and like sales and marketing in other sectors might depend on economic conditions in India.

Public sector banks might hire about 50,000 to 70,000 people in 2013, while the private sector might also increase hiring if the government agrees to allow new players into the country. Retail sector is also expected to see large-scale hiring in India following the decision to allow foreign players to set up stores in the country.

As for salary hikes, Manpower India Managing Director A G Rao said that the companies might increase salaries by about 10 to 15 percent for high performers in 2013. H also warned that some companies will remain very cost focused in the coming year due to economic slowdown.

"We also see a growing trend of organisations using new age tools like work from home, flexi working and performance linked bonus, ESOP's, Global opportunity etc. as tools of retention / compensation of employees," Rao said.