Tech Salary 2024: IT Professional’s Salary Packages Drop 30–40% Due to IT Sector Slowdown and Global Macroeconomic Headwinds, Say Reports
Amid these ongoing layoffs in IT sector, reports suggested that the salary packages for IT professionals fell by 40% due to global economic slowdown.
Mumbai, February 19: Indian IT sector is going through some changes after the introduction of new jobs and change in existing payouts. Recently, tech giants have cut jobs from various departments due to multiple reasons. Amid the economic slowdown and rise of automation, the new report suggested that the information technology sector's salary packages in India have fallen 30 to 40% from Rs 1 crore per annum last year.
As per the report by News18, the pay packages of Indian IT professionals have decreased by 40% due to the macroeconomic headwinds and sector slowdown. The report highlighted that the lower pay packages have now become the "new normal" because of the mass hiring during the 2021-22 COVID-19 pandemic. It also said that currently, many early-stage startups have been hiring most of the candidates after their series A funding. NITI Aayog Calls to Proritise Technology and AI for Senior Care in India, Says It Is Time To Start Thinking About Special Dimensions for Senior Care.
The Economic Times reported that IT professionals have been taking cuts on their variables, which is nearly 30% of their total compensation. The report added that Gupta of ABC Consulting said that early-stage startups "are ready to offload 4-5% of their equity to the senior tech talent as they have still not hit operational inefficiencies like other late-stage startups".
Tech Layoffs in 2024 have been a major concern for the employees working in the industry. The Layoffs.fyi published the information that 157 tech companies laid off 39,608 employees this year. From 2023, many tech companies have laid thousands of employees due to multiple reasons like restructuring, adoption of automation, cost-cutting measures, and economic slowdown. Generative Artificial Intelligence To Boost Indian Financial Services and Likely To Add 'USD 80 Billion' to Gross Value Added by 2030: Report.
According to the Layoffs.fyi, the top companies with the highest employee layoffs include Google, Meta, Amazon, Microsoft, Salesforce, Flink, Ericsson, SAP, Dell, Philips, Cisco, IBM, Twitter, and others. According to the News18 report, Infosys secured two significant contracts after it lost a $1.5 billion multi-year contract. The report further explained that Infosys's recent $300 million multi-year contract was successful with Pacific International Lines (PIL), a Singapore-based shipping company which will run till 2027.
(The above story first appeared on LatestLY on Feb 19, 2024 09:17 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).