Indian Shining But Indian IT Employees Are Still Among The Lowest Paid Ones

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Indian IT industry is known as one of the fastest emerging software industries all across the world. Its software professionals have been recognized as one of the most renowned in IT industry. Despite of that global IT industry has ranked India Inc as one of the lowest paying employers.

A recent study, conducted by MYHiringClub, states that the average salary paid to employees by IT employers in India is quite low compare to other countries’ IT employees. On an average, mid-to-senior employees are pocketing around $36,120 (about Rs. 18.84 lakh currently) per anum which is one-fourth of the average salary paid to employees by Swiss companies. The major reason behind such low perks has been claimed to be lack of employment opportunities in India. Also, Indian talent pool is far bigger than many other countries. In a year more than 10 lakhs of engineers graduate from various colleges in India against fewer fresh employment opportunities every year. This has triggered the intense competition among the candidates and they are settling down with low package job to avoid unemployment.

Interestingly, Swiss employees are the highest paid across the world in IT sector. They get an average salary of $167,890(about Rs. 87, 58, 821 currently) per annum as per the study Title “Worldwide IT Salary 2011”.


It has also been found that India is on 7th position in the list of worst IT paymasters all across the world, while Switzerland is on the top spot among the highest paying nations in IT sector. Study was conducted over employees having work experience of more than 6 years, working in India as well as other countries in IT field. Report has been prepared on the basis of CTC paid to the employees by the IT companies. It includes staffs from more than 6,000 companies across 41 different companies. It has been found that Western Europe employers are the best payers all across the world.

“The impact of outsourcing and off-shoring on IT roles in North America and Western Europe helps explain the pattern of global pay. Lower-level roles are being moved to regions where talent is cheaper,India continues to be amongst the leading destinations for IT development, given its cost advantage. However, salary inflation and talent shortage could emerge as major challenges in maintaining this position in future,” as said by Rajesh Kumar,, CEO.

However, IT managers in India have been paid much higher than IT managers in Vietnam, Bulgaria, Philippines, Indonesia, Thailand and Malaysia, where the average salary paid is even lower than $28,940(about 15.09 lakhs), $32,560(about 16.98 lakhs), $32,980(about 17.2 lakhs), $33,000(about 17.21 lakhs) and $35,870(about 18.71 lakhs) respectively. The large pay gap is between the junior and senior level employees in India,Indonesia,Chile,Brazil and Vietnam as reveal in the survey.

do you thin that low package is proving fertile for Indian Inc as outsourcing business is flourishing for long OR it’s time for Indian employees to look with better life style with higher pay package ? Do share your views in comment section.

(1$ = Rs. 52.17)


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