Saturday, November 8, 2008

Employee Cost In Top IT Majors Rise 30-Pc In Fy 08 - Nov 08, 2008

Due to the slowdown in the US financial service, the hiring of employees by the top Indian software firms came down. However, employee cost went up in the second quarter of this fiscal year. The combined employee cost for the top four companies went up by around 30 per cent to Rs 9,576 crore in the second quarter of the current fiscal as against Rs 7,388 crore in the corresponding quarter last year.

The industry sources told that the reason for the increase to the annual salary hike - ranging between 8 per cent and 12 per cent - that happens during the second quarter. On the other hand, the net employee addition in the second quarter of this year dropped by 35 per cent to 14,946 compared with 22,931 in the corresponding period last year.

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