Bulgaria boasts the highest average pay increases in Europe at over 6%, shows Hay Group’s Global Pay Day Report, compiled using PayNet, one of the world’s most comprehensive global pay databases worldwide.

However, the country also has the biggest gap between senior management and administrative workers: senior managers in Bulgaria can expect the largest real pay rise of any in Eastern Europe, with a predicted real increase of 7.8%, while administrative workers can expect a rise of only 4.3%.

Slovakia and Lithuania are also forecast healthy pay increases, and more consistent increases across the board, with both countries featuring in the top 5 for all levels. Slovakia is expecting real raises of 5.5% across the board, while Lithuania ranges from 5.3% for administrators, 5.6% for professionals and 6.1% for senior managers.

Wages in Romania are also buoyant, with salaries predicted to increase by 3.1% on average across the three job levels.

The report exposes a revealing pay divide in Europe, with real pay in Eastern Europe accelerating at a rate far above that in the West.

China, India and Eastern Europe will top the global pay rise ladder in 2007 - while real pay rises for workers in the West are expected to fall below average.

Impressive economic acceleration in India and China is having a dramatic impact on pay packets, according to the Hay Group study.

China tops the tables for each of the three job categories, with a predicted 7.9% increase for administrative workers, 7.8% for professionals and an impressive 8.9% for senior management.

Extremely high pay rises in India last year – 7.2% across the board – look set to continue into 2007. The country boasts the second highest pay increase predictions for 2007, with hefty salary increases of 6.2% forecast across the three job levels. Senior managers can anticipate a real rise of 6.9%, professionals and administrators 5.9% each.

By contrast, salary increases in the West will be much more moderate in 2007. Workers in the major continental economies - Germany, Italy, Spain and France - face predicted increases below 1.5% across all job three categories, the only exception being Italian senior management, who will enjoy an increase of 2.3%. Administrative staff in Italy will receive a meagre 0.5% real pay increase.

British workers can expect only a 1.5% real increase across the board, with real wage rises highest for professionals (1.7%). Senior managers will receive increases of 1.5%, administrative staff just 1.2%.

The study suggests that rises for Irish workers in real terms, will be negative in 2007.