Bangalore: Bangalore based techie Rakesh was not excited to join the all hands meeting after the company announced its last quarter earnings. Like last few times he knew his company will give same set of reasons like global recession, challenging business environment for which there will not be any salary hike for this year.
He was in for a pleasant surprise when his company announced ten percent annual hike for its offshore employees.
Rakesh said, “I could not believe what I was hearing and had to pinch myself when I heard about the hike. I was not interested in any other material which our top management was presenting. I was busy calculating how many installments it will take for me to purchase the new iPhone 6s which will be launched soon in India.”
However, Rakesh got the shock of his life the day he got his next month salary. “After a quick calculation I found it is less than three percent increment to my take home salary. As such my take home had nothing substantial to call it take home, on top of it only three percent hike. My manager always wanted to retain a talent like me who never complained about salary hike, directed the HR team to explain the fine print behind the hike,” Rakesh told us.
“As I understood, hike had two parts, one which will be reflected in my in-hand salary, another part which will come to my account if I stay sometime in the company without asking for on-site opportunity. Also, hike is linked to my individual performance, my business unit performance and company performance. The targets were set in such a way that only Usain Bolt might have met them,” he added.
Rakesh further said, “HR explained it to me nicely. See it’s raining so much in Bangalore but not much water is available for household supply. The point is rain has to happen in catchment areas for adequate availability of water. Similarly your business unit and company should do well too so that your take home will go up by some percentage.”
“I did not get a satisfactory answer when I asked my HR how I can encourage my business unit and company to do well. The only response I got was, this is part of the some complex formula which top management has prepared years back and as an employee I should respect ‘shared sacrifice’ and be a part of it. HR did not forget to remind me how it is more important to be a team player rather than an individual contributor,” he concluded.
Rakesh realized with the spiraling inflation, he will have a tough time with this negligible increment. For him the immediate challenge was to find a second hand phone through OLX which he can manage through his current salary as he already donated his old phone to his office security guard.