Hiring: As IT hiring improves, executives get huge pay hikes – The Economic Times

Clipped from: https://economictimes.indiatimes.com/jobs/as-it-hiring-improves-executives-get-huge-pay-hikes/articleshow/84364133.cms

SynopsisThe current job market is favouring IT employees as they can demand as much as 50-70% hikes while switching jobs, compared with 15-30% before Covid-19, according to recruitment firms like TeamLease, ABC Consultants, Quess, Taggd and Randstad.

Spoilt for choice, IT services executives are cherry-picking jobs, turning down several offers in the process.

The current job market is favouring IT employees as they can demand as much as 50-70% hikes while switching jobs, compared with 15-30% before Covid-19, according to recruitment firms like TeamLease, ABC Consultants, Quess, Taggd and Randstad. This is true for profiles rich in experience in areas such as SaaS (software as a service), edtech, health-tech, gaming, artificial intelligence, machine learning, automation, digital transformation, blockchain and cybersecurity.

“It is a war for digital talent as corporates of all sizes are transforming businesses to go digital … this has got accelerated by the pandemic,” Nasscom senior vice president Sangeeta Gupta told ET.

Fiscal first-quarter numbers revealed by the country’s largest IT firm, Tata Consultancy Services, are an indication of this high demand. The company added 20,409 new employees during April-June, its highest ever net headcount addition in a quarter.

Other IT services companies like Capgemini, Genpact and Publicis Sapient that ET spoke to are also looking at ramping up hiring in the coming months.

Capgemini, which has more than 125,000 employees in India, is hiring professionals in areas like cloud, digital, cybersecurity, AI, Internet of Things solutions, edge computing and 5G engineering skills, data management, SAP, Java, Microsoft, Testing and Oracle, India talent acquisition head Anil Kumar Singh said.

At Genpact that employs over 90,000 globally, people with cloud programming skills are in high demand, said Akhilesh Nair, its global hiring leader.

Publicis Sapient is looking for talent to build teams across strategy, product, experience, engineering and data. “In particular, we see heavy demand for big data engineers, product managers and especially full-stack developers,” said Preeti Gogoi Ravat, senior director, talent acquisition.

Recruitment firm Randstad India is currently busy helping a logistics multinational get a candidate with over four years of experience in software development and drawing an annual salary of Rs 15 lakh. While the company offered a 47% hike, the shortlisted candidate got a counteroffer of Rs 25 lakh from his current employer, a product company.

“Our client had to counter with an offer of Rs 27 LPA (lakh per annum), and then he joined. So, it’s a journey from Rs 15 LPA to 27 LPA (80% hike),” said Yeshab Giri, director, staffing & Randstad Technologies at Randstad India.

More than two dozen such cases have come up at Randstad over the last couple of months, where candidates are inundated with offers and counteroffers. The same is the story across other recruitment and staffing firms like TeamLease Services, ABC Consultants, Quess and Taggd (PeopleStrong recruitment brand).

Employees in the IT sector are taking full advantage of the situation. Many are waiting it out for over 50% hikes.

Rituparna Chakraborty, cofounder of TeamLease, pegs the current hikes for candidates in the IT services domain even higher, over 70%, while switching jobs.

“Hiring in the IT sector is at its peak and candidates are getting exorbitant offers and better roles across the industry,” she said.

In addition, well-funded startups are even willing to offer salaries way above the market price, making it tough for IT firms to match, she said.

ABC Consultants that deals in mid- to senior-level executive searches is now getting nearly three times more resumes compared with a few months ago, with most wanting to switch to jobs for better hikes. “We have been overloaded with CXO searches since the end of last year,” said Ratna Gupta, senior director, ABC Consultants.

According to Vijay Sivaram, CEO of Quess IT staffing, since many companies have a long notice period of 60-90 days, it allows candidates to shop during the notice period.

“There is no dearth of talent per se. It’s just that the demand is so high across the industry, candidates have too many options to choose from,” said Devashish Sharma, president, Taggd.

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