| But now the fact is rising pay scale may dull India's IT | | | | rise in the pay scale would make MNCs to search for |
| Outsourcing Industry. It is found that country's IT | | | | some other overseas destinations. So the country |
| services is getting more and more expensive day by | | | | should take some steps towards this trend. |
| day. Pay scales of the employees in the country are | | | | Outsourcing firms are now falling prey to mounting pay |
| also rising rapidly. | | | | scale costs for specialized skills and talents and the |
| Demands and expectations of the employees are also | | | | requirement to constantly supporting reward exercises |
| increasing with their increasing demand in the market. | | | | to the market continues. |
| Inspite of the fact that with an anticipated rise of | | | | IT Outsourcing industry |
| around 28% in the financial year 2005-06, scorching | | | | If the pay scale of the employees in IT Outsourcing |
| rise carry on to be the trend this year also. Till date | | | | industry would continue to grow in the same manner |
| country has the monopoly in the IT industry as far as | | | | than within a short period of time country may loose |
| IT Outsourcing is concerned. Along with Offshore | | | | many of its Offshore Outsourcing contracts. This |
| Software Development country is also demanded for | | | | effect may play major role in BPO industry as the |
| BPO services. Lots of overseas big giants have their | | | | rising pay scale ratio is very high in that sector. India is |
| presence in India for such IT services. | | | | also that much famous for BPO services also. Most |
| But now the time has come to think something about | | | | organizations in IT & ITeS have now selected to |
| the rising salary of the employees in India. Foreign | | | | tolerate the tax load themselves rather than pass it |
| countries used to come to India as they found the | | | | over completely to the staff. This step of the |
| lower labor rate in the country. But the recent survey | | | | companies is to manage the rise in the pay scale of |
| taken place by NASSCOM suggests that the average | | | | the employees. Over the years IT sector has observe |
| pay scale of the employees has increased between | | | | almost double digit growth in the pay scale. This area |
| 16 and 18%. This is really very serious matter. Because | | | | really requires attentions of the authority. |