At a time when most workers are experiencing wage cuts and job losses, people in the software business are dealing with a completely different problem. Even for global players in India, rising tech salaries have made hiring tough. Due to soaring salaries, several global players hunting for highly trained individuals at relatively lower salaries in India are finding it difficult to do so. According to an article in the Economic Times, more organizations are restructuring their budgets to suit changes in the IT marketplace.
For someone with 10 years of expertise, the salary might be as high as Rs 50-60 lakh ($70,000-$80,000). According to Vinu Nair, managing partner of Antal India, which works with global firms on their India recruitment strategy, this renders global in-house centers (GICs) of companies in India uncompetitive from an outsourcing standpoint. Companies are paying as much as a 50%-100 percent raise to top employees, according to Vikram Ahuja, co-founder of Talent 500. This unexpected increase in salary will make India less appealing to international companies looking for lower-cost staff. Although India remains a popular destination for international recruiters, the recent boost in pay packages has caused many to reconsider their greater reliance on the country, according to Ahuja.
Companies from around the world are balancing their Indian talent pool with talent from other parts of the world. Poland, Vietnam, the Philippines, and Ukraine are quickly emerging as alternative locations for global IT companies to hire.
According to experts, there is a global shortage of highly qualified workers, resulting in inflated salaries. According to Prasad Mandava, managing director and vice president of engineering at cloud delivery platform Akamai India, the phenomenon is global and not unique to India.
Despite the fact that Eastern Europe is becoming a more appealing destination for recruiters, India has a head start in the industry. Additionally, the local talent’s talents, as well as their ability to communicate in English, making them desirable to other hiring destinations.
(News source: Times Now)