Hi Viren Doshi,
Thank you for taking your time out in posting such valuable information about the current market scenario and most importantly focusing on ways as to how to tackle the current situation.
I felt that the message posted covers most of the aspects that the present market is facing. It not only gives us insight but is also preparing us as to what can possibly happen in the companies if not affected by recession till now...
It would be great if everone can give a reading to his article..
Once again thankyou for sharing it with us.
Regards
Rakesh
From India, Secunderabad
2Thank you for taking your time out in posting such valuable information about the current market scenario and most importantly focusing on ways as to how to tackle the current situation.
I felt that the message posted covers most of the aspects that the present market is facing. It not only gives us insight but is also preparing us as to what can possibly happen in the companies if not affected by recession till now...
It would be great if everone can give a reading to his article..
Once again thankyou for sharing it with us.
Regards
Rakesh
From India, Secunderabad
Sonia,
Agree with the comments shared by colleagues on the increments % which would be mostly a single digit or in a double digit based on the following :
- Purely on the project based performance and ROI.
- Industry norms/practices on increment percentages/ slabs (so that you are in synch with competitors and not lose retainable talent)
- Paying capacity of your Company (how large is it, how much is it affected by the current recession, the sector/industry you are in (some sectors are more badly affected), Govt. sops/stimulus packages to prop up your sector, financial turnaround plans)
- Financials - networth/cash- funds flow situation/free reserves
- Mission critical projects that would need retention of key personnel/technical hands
- Mindset of your top management
Frankly, some Companies within a sector may do away with any increments this year (ie employees may barely save their jobs) due to lack of projects/business/ business sustainability issues while some may accord a 5% increase to keep afloat the motivation levels.
This all will depend on the dynamics of the business situation of your Company at the moment - a situation internally best known to you. The mindset of the management is another factor that would dictate this issue.
The era of 20 to 40% increments are passe even for those high flyers in the sunrise industries like IT, BPO, Finance, Insurance, etc. Even the boom in the real estate/infrastructure sector of the recent past is pretty much passe as they are just able to stay afloat.
Progressive companies would delay the increments by two or three months depending upon the market conditions but they have to award the performers or sooner or later otherwise they would lose credibility and they would be prone to be poached by the competitors. This situation would put them in a discomforting situation one once the market improves. Here what is important is the clarity in the Employee communications by the Management to dispel the fears and rumours which paint the picture dim than the reality!.
The industries which are not affected badly are the SMEs and those who are fundamentally strong in Operations and command sizeable market share and innovative products.
However, the situation is not that bad as made out in the following above discussions..please refer to the link herein;
http://spartanvikas.wordpress.com/20...-in-recession/
To sum it up today’s times is a certainly challenge for HR.
This is not a moment to despair but to upgrade oneself and prepare for the future. We have been experiencing the good times for quite sometime and this shall pass soon.
Regards,
Rajat
From India, Pune
Rajat,
Thanks for your inputs.
We are a US MNC with low manpower but high turnover, a IT product company.
Our India office is requesting our headquarters for a hike for the India employees.The number of employees in India is also less.It is yet to be decided whether we will get a hike.
Do you have any article or facts, statistics to substantiate that some companies are giving atleast 5% hike to their employees in India.I need to provide the document to my Country Head, so that a decision at a CEO(US) level can be made.If you have any article to show the comparision of hike between IT and other sectors in India, that would also be helpful.I gave my Boss, my inputs after discussing with my industry friends, but he wants any document, article which can substantiate this for proof, which would be helpful in convincing the senior management.
Your fast response would be appreciated.
Thanks
Sonia
From India, Bangalore
Thanks for your inputs.
We are a US MNC with low manpower but high turnover, a IT product company.
Our India office is requesting our headquarters for a hike for the India employees.The number of employees in India is also less.It is yet to be decided whether we will get a hike.
Do you have any article or facts, statistics to substantiate that some companies are giving atleast 5% hike to their employees in India.I need to provide the document to my Country Head, so that a decision at a CEO(US) level can be made.If you have any article to show the comparision of hike between IT and other sectors in India, that would also be helpful.I gave my Boss, my inputs after discussing with my industry friends, but he wants any document, article which can substantiate this for proof, which would be helpful in convincing the senior management.
Your fast response would be appreciated.
Thanks
Sonia
From India, Bangalore
Hi Sonia,
We are in the same boat as you are in though not in It sector but manufacturing...
GroundReport | India | Survey predicts lower salary hikes in 2009
Perhaps this report may help and as mentioned in my post that it;s your Managment in India has to take a call and take a stance with the above arguements.
Regards,
Rajat
From India, Pune
We are in the same boat as you are in though not in It sector but manufacturing...
GroundReport | India | Survey predicts lower salary hikes in 2009
Perhaps this report may help and as mentioned in my post that it;s your Managment in India has to take a call and take a stance with the above arguements.
Regards,
Rajat
From India, Pune
Dear Sonia ,
Its high inpredictable to pass a comment on the sal hike we can analyse on all market situations , companies sales and business contracts etc .
salary increment in IT department is 15-20 percent only for all departments like hardware & networking or software industry
for Finance its 25-30 percent hike sales and Insurance is 30 percent around in recession only industry booming is Isurance and Pharma sector
Thanks & regards
Shruti
CMS HR
From India, Mumbai
Its high inpredictable to pass a comment on the sal hike we can analyse on all market situations , companies sales and business contracts etc .
salary increment in IT department is 15-20 percent only for all departments like hardware & networking or software industry
for Finance its 25-30 percent hike sales and Insurance is 30 percent around in recession only industry booming is Isurance and Pharma sector
Thanks & regards
Shruti
CMS HR
From India, Mumbai
Hi,
The information posted is useful but not exhaustive. I am also working on anyalsing the trend of increment .
I am looking for contacts of HR in IT companies with a strength of 325-350 people. The companies would preferable be in Product Engineering and OPD streams.
Please let me know about such contacts
Regards
Varsha
From India, Mumbai
The information posted is useful but not exhaustive. I am also working on anyalsing the trend of increment .
I am looking for contacts of HR in IT companies with a strength of 325-350 people. The companies would preferable be in Product Engineering and OPD streams.
Please let me know about such contacts
Regards
Varsha
From India, Mumbai
Hi,
can i know what kind of questions are expected from the employees after once we give them a hike which is less than their expectation
this is an urgent query to be solved..
can i have a reply in an hour..
Thanks & Regards,
Rajani
From India, Delhi
can i know what kind of questions are expected from the employees after once we give them a hike which is less than their expectation
this is an urgent query to be solved..
can i have a reply in an hour..
Thanks & Regards,
Rajani
From India, Delhi
Hi Sonia,
I am heading the HR & Admin of an IT Infotech product company.
As a guide line the cash flow will dictate the hike s to the employees.
If the cash flow is restricted than only inflationary hike of 5 to 7% can be granted........however those employees who are business critical are compensated more with some perks thrown in (even though FBT has been removed).
Hence if the company concerned is making profits and signing in new clients than the hike could be approx 10% with minor variation for high performers.
My Mob No is 9867685524 and I will be able to answer any other queries as well.
Regards
Neeraj Bharadwaj
From India, Mumbai
I am heading the HR & Admin of an IT Infotech product company.
As a guide line the cash flow will dictate the hike s to the employees.
If the cash flow is restricted than only inflationary hike of 5 to 7% can be granted........however those employees who are business critical are compensated more with some perks thrown in (even though FBT has been removed).
Hence if the company concerned is making profits and signing in new clients than the hike could be approx 10% with minor variation for high performers.
My Mob No is 9867685524 and I will be able to answer any other queries as well.
Regards
Neeraj Bharadwaj
From India, Mumbai
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Salary hike projection.doc