Increment In Indian offices of MNC’s

Its have been many years when many of MNC’s entered in Indian market. But from past 2-3 years there operation cost in India is increasing at a very high rate. And they are now started saying Indian software professional are asking for more salaries and it’s difficult for them to fulfill their needs. But due to market rate and offers from other companies they have to give them appropriate compensation. But then they have to normalize this during their increment.
Some of the companies are giving increment of only 8-10% or 12-15%. They are giving the excuse that this increment factor is decided globally by the company and it’s not only for Indian employees.
But I couldn’t digest such kind of things told by HR to their employees. My question is where this concept of global compensation some years ago was when Indian software industry was in slump. That time they use to exploit the employees by offering them very less salary on global scale of their own company. And people have to except that because they don’t have much option that time. But now they have more that 1 offer to choose best out of lot.
Now what I can recall is 6 years ago if a person touches a 5 digit salary per month then he was considered as well salaried person. But then BPO industry starts picking up and starts paying college graduate a handful salaries of around 15-20k. Indian software industry was also picking up that time, so they also started paying higher salaries.
Then these companies start competing within themselves by offering better pay to attract employees to their companies and to meet the market rate. I think that was the worst they had done that time, for which they have to pay now. Now everybody is demanding a higher salary as every 2nd company is ready to pay good amount.
But when they give less increment ESPECIALLY PRODUCT BASED COMPANIES then the satisfaction level of employees will go automatically because his other colleagues are getting much better then what he is getting there. These companies are considering their operational cost and economy growth of the countries in which they have their head office, which is correct as a business point of view but not good if you want to sustain in market for long time.
Now if we look at Indian economy, it is growing at a rate of 9% but inflation is also increasing at a office rate of almost 7% which is effectively 10-12% for common man. In budget taxes also increases like this year education tax is increases by 1%. This is not just 1% but as it is applicable to all the service tax also so it add 2-3% of burden on common man. Property prices are increasing at very fast rate, so does the prices of rental house. Other factors like petrol prices and new tolls of various roads our annual expenditure is increasing by around 16-18%.
So if a company offers you 10% of increment then I think that is not sufficient for the increasing prices. At the end you will be having more expenditure and less of saving then the last year. And most important is you have to bear with these prices for the whole next year till your next increment comes. That means employees are actually gone through a negative increment process in there salaries.
Companies have came to India for many factors, whatsoever they may be but now whatever they have done some years ago they have to pay for that now and they cannot neglect the factors which are effecting most of the employees working in their Indian offices.

Violation of Ethics and Laws in IT companies

Most growing and popular industry for India is IT industry. India has shown a exponential increase in attracting new software companies and there by providing more jobs to people here and also adding to economic growth of country. Not only engineer and software guys many other people are getting benefits by this industry like hospitality, security agencies, builders/developers, food chains, transport services etc.
Companies are spending a lot of money on brand making and maintain its reputation among various companies. They are providing number of facilities to its employees and attract talent from market. But did you ever get time to find what is happening inside that company. These companies are spending a lot of money in infrastructure etc but still they are breaking many laws on daily basis.
Many of IT companies are using pirated software/operating systems etc in there companies. Or sometimes they purchase 10 license companies for 100 users. And there is no restriction on usage of small misc. software in that company. This practice is followed by small and mid size companies but large companies also cannot deny this. Are they doing right thing? They are eating up business of one member that too from there own family. It’s hardly matter for them in purchasing the license for them but there is no strict cyber and copyright laws in India.
I can tell you one amazing example which many companies are doing these days. On one hand whole bollywood is fighting against piracy and copy right, and on other hand software companies are violating it without any worry. A new practice on showing bollywood movies on projector on roof top or cafeteria in various companies on Friday is very much popular these days. They just hire on CD/DVD from market and show it in company to its employees. Even they don’t know that they are doing savior crime by violating the copyright act. You cannot show movie publicly without the permission of concern authority. If these companies have to show such movies then why don’t they book a theater screen on weekend for its employees? Same as licensing, they do if sometime but not every time.
If you find the security and preparations for any kind of emergency then you hardly find any good facilities in companies. They are now forming so called Disaster management committee but everybody knows how effective it is and how trained they are? And there are many other things also which they are violating.

Some proper measures and best practices need to be followed. Companies should come forward to take some good initiatives and show some responsibility. Not only for there publicity but ethically also.