Pay Hikes Estimated At 14.4% This Year
According to a study by global management consultancy firm Hay Group, salaries will rise by 14.4 per cent during the year 2008. This will be the fifth consecutive year of double-digit growth for Indian employees. The growing demand for experienced employees is driving pay hikes and creating a culture of job-hopping. Last year, the middle management level witnessed the highest increase in average annual base salary (16 per cent), while supervisory, senior management and the executive level had an average annual increase of 14 per cent in their base salaries. In 2007, the wage inflation in India was far ahead of China and second only to Sri Lanka. While India is considered a source of talented, educated and English-speaking employees, particularly in the IT and service sectors, there is concern about the quality of new recruits. According to Nasscom, only around 25 per cent of engineering graduates and 15 per cent of general college graduates are considered employable.
Asians Quit Jobs Mainly Over Salary: Report
A study by the human resources firm Hewitt Associates has identified unhappiness with salary as the top reason why Asian employees quit jobs. The study also found that 70 percent of the best employers see a large connection between improved performance and higher salaries. When it comes to discontentment with salaries, Japan leads with 73 percent of employees unhappy with their pay followed by 71 per cent in China, 51 percent in Hong Kong, 44 percent in India, and 42 percent in Singapore. Dissatisfaction with compensation averages 54 percent for Asia as a whole.
How Top 4 IT Companies Hired In Last Fiscal
The top four IT companies, Tata Consultancy Services, Infosys, Wipro and Satyam spent Rs 28,322 crore on staff cost in 2007-08. The amount is 18 per cent higher than the previous year’s spending of Rs 23,941 crore. TCS added 22,116 employees in 2007-08 at a staff cost of Rs 7,854 crore. The top four added 48,000 employees and had a combined strength of 3.23 lakh at the end of 2007-08 compared with 2.87 lakh a year ago, an increase of 13 per cent. Slowdown in the US and the sub-prime did not show much effect on hiring of these companies last year and trend is likely to continue this year too.
H1-B Hopefuls Not The Best And The Brightest: Report
A report published in the May issue of the Centre for Immigration Studies (CIS) in the United States says that the vast majority of H1-B workers, including those at most major tech firms, are not ‘innovators’ but just ‘average’ workers. Thus, the report presents a case against the extension of the popular guest worker programme. The report titled ‘H1-Bs: Still not the best and the brightest’ is authored by Mr Norman Matloff, professor of computer science at the University of California, Davis. He has based his argument on ‘Talent Measure’ or TM, which is the ratio of the foreign worker’s salary to the prevailing wage figure stated by the employer. A TM value of 1.0 indicates that the worker is merely average, not of outstanding talent. The report states that the median TM value for majority of foreign workers was just a little over 1.0 thus indicating their worth.